#Israel #financial results #Willi-Food #kosher food #Yavne

G. Willi-Food International Reports Record Annual Sales and Net Profit in 2024

G. Willi-Food International Ltd. (NASDAQ: WILC) has announced impressive results for the fiscal year ending December 31, 2024. Known as a leader in the development and distribution of kosher food products, the company has seen significant growth amid various challenges, including the recent geopolitical climate affecting logistics.

Fiscal Year 2024 Highlights

In 2024, G. Willi-Food's sales rose by 6% to NIS 575.8 million ($157.9 million), up from the previous year's NIS 543.3 million ($149.0 million). This increase is attributed to improved inventory levels and the effective availability of products in a competitive marketplace. Notably, the gross profit went up a staggering 33.8% year-over-year, reaching NIS 161.3 million ($44.2 million).

The company's operating profit demonstrated similar growth, climbing by 169.1% to NIS 54.9 million ($15.1 million). In addition, the net profit surged by 121.8%, totaling NIS 70.3 million ($19.3 million), with earnings per share (EPS) recorded at NIS 5.07 ($1.39).

Overcoming Challenges

Despite a tumultuous year marked by the “Iron Sword” war in Israel, G. Willi-Food adeptly navigated through various logistical hurdles, including shipping restrictions and supply disruptions from Turkey. The management team, led by Chairman Zwi Williger and CEO Joseph Williger, highlighted their strategic focus on optimizing product mixes and building relationships with suppliers to broaden profit margins.

The challenges didn’t deter the company; instead, they prompted innovation in managing inventory levels. Willi-Food invested in enhancing its logistics capabilities, ensuring a steady supply of products to meet consumer demand. The company also maintained high inventory levels, reinforcing its market position despite external pressures.

New Developments on the Horizon

A significant undertaking for G. Willi-Food is the construction of a state-of-the-art logistics center, expected to revolutionize their operational efficiency. This center will significantly improve their transportation and storage processes and allow entry into new product categories such as frozen and chilled items which were previously untapped by the company.

G. Willi-Food's commitment to improvement is evident as they prepare for an exciting future. The executives remain optimistic about sustained growth in both 2025 and beyond, positioning the company as a central figure in the kosher food market.

Financial Performance Summary

The financial results for 2024 reflect a focused strategy enhancing commercial relationships with customers and suppliers. Selling expenses decreased by 6.7% as a result of lowered advertising costs, evidencing a streamlined approach to expenditures. Among the achievements, financial income climbed significantly, totaling NIS 37.8 million ($10.4 million), compared to NIS 18.8 million ($5.2 million) in 2023. This growth was largely due to favorable investments in marketable securities.

G. Willi-Food's ability to convert revenues into sizeable profits has fostered a secure financial footing, concluding the fiscal year with NIS 246.1 million ($67.5 million) in cash and cash equivalents. Furthermore, shareholder equity reached NIS 612.9 million ($168.1 million), highlighting a strong financial base for future endeavors.

Conclusion

In conclusion, G. Willi-Food International has set new benchmarks in financial success for 2024 while navigating through unprecedented challenges. The company is steadily growing its market presence and enhancing logistical capabilities, positioning itself well for a bright future in the kosher food industry.