Victory earned NIS 16 million in the third quarter of 2020, an increase of 70%

A sharp increase in sales of identical stores, the opening of new branches and the outbreak of the Corona virus led to a strong growth in the revenues and profits of the food retail company Victory in the third quarter of 2020.
Victory, which is controlled and managed by Eyal Ravid, earned NIS 16 million in the third quarter of 2020, an increase of 70% compared to the corresponding quarter in 2019. Victory's revenues grew by 38% compared to the corresponding quarter in 2019 - and amounted to NIS 616 million. The sharp increase in revenue was due to an 11.6% increase in sales of identical stores, ie stores that operated in full format both in the third quarter of 2020 and in the corresponding quarter in 2019, and a net addition of 10 branches and 8,400 square meters of sales at the end of the third quarter.
Victory's gross profit increased by 39% in the third quarter of 2020 compared to the corresponding quarter in 2019 and amounted to NIS 156 million, which is 25.3% of turnover compared to 25.2% in the corresponding quarter in 2019.
Victory explains the slight improvement in gross profitability in improving terms of trade with suppliers. Victory's rapid growth process, which included the acquisition of five branches in an area of ​​8,500 square meters of Pavilion wines for NIS 63 million at the end of October 2019 and the purchase of two large branches of Pavilion wines in the Malcha Mall and Ayalon Mall for 4,000 square meters for NIS 35 million. Resulted in a strong 37% increase in Victory's sales and marketing expenses in the third quarter compared to the corresponding quarter in 2019 to a level of NIS 124 million - which is 19.7% of turnover compared to 19.8% of turnover in the corresponding quarter in 2019.