The company ended the quarter with revenues of NIS 1.56 billion - the companies acquired, including Bitan Wines, contributed NIS 830 million to sales; Operating profit increased by 41% to NIS 76 million.
Orna Yeffet
14/11/21, 09:15
Electra Consumer's appetite for acquisitions and the consolidation of the results of the companies purchased - Bitan Wines, Office Duty (Ben Gurion Airport Electricity and Electronics Store), and Saar Entrepreneurship - contributed to doubling the Group's sales turnover in the third quarter.
The net profit was cut by 72% to NIS 61 million, compared to NIS 219.1 million in the corresponding quarter - then the company recorded a one-time profit of NIS 177.7 million on the sale of Golan Telecom.
The company controlled by Elco of the Zelkind family - and managed by Zvika Schwimmer - ended the quarter with revenues of NIS 1.56 billion, compared to NIS 741.2 million in the corresponding quarter last year, a 110% growth. The acquired companies contributed NIS 830 million to the sales.
The contribution of the companies acquired and consolidated in the reports was offset by a decrease of 8.6% in revenues from the operation of air-conditioners and white electrical products - the core of the traditional activity of Electra Consumer. This is, inter alia, in view of the decrease in sales of air-conditioners in Israel and the sale of a granddaughter company in France that was engaged in the field. The segment's revenues at the end of the quarter amounted to NIS 320 million.
Sales in the electricity retail sector increased by 8.3% to NIS 471 million - in this sector, the group operates with the chains Electricity Warehouses, Shekem Electric and the online site.
The acquired companies contributed NIS 270 million to the gross profit of Electra Consumer, which is managed by Zvika Schwimmer, and it jumped in the quarter by 141.6% to NIS 445 million. The gross profit margin from sales rose to 28.6% compared to 24.9% in the corresponding quarter.
In conjunction with the profit line, the merger of the acquired companies made Electra's sales and marketing expenses jump by 182% to NIS 342 million. Bitan Wines increased management and general expenses by NIS 16 million to NIS 27 million.
