Hamat Group reported on Thursday a 420% jump in net profit in 2020: NIS 51 million

The Hamat Group reported on Thursday a 420% jump in net profit in 2020, to NIS 51 million, compared with NIS 9.8 million in 2019. Hamat shares responded today with a jump of 12%. Revenues in 2020 increased by 50% to NIS 697 million, compared with NIS 450 million in 2019.
The increase is due to an increase in sales in the retail and ceramics segment following the completion of the acquisition of Aloni marble in February 2020. Revenues from the retail and ceramics segment amounted to NIS 235 million, of which Aloni's revenues per group amounted to NIS 230 million. Gross profit in 2020 increased by about 70% to about NIS 308 million, compared to about NIS 181 million in 2019, following the increase in revenues. Operating profit in 2020 jumped by about 220% to about NIS 76 million, compared to about NIS 24 million in 2019, following expenses of about NIS 17 million in 2019 due to the closure of a pottery factory.
The faucet segment recorded a 1% increase in revenues in 2020 to about NIS 82 million. The sanitary ware sector (sinks, toilets) in Israel recorded a decrease of about 19% in revenues in 2020 to about NIS 39 million. The company said that since opening a sanitary ware plant in Turkey, the sanitary ware sector in Israel has significantly reduced its export activity.
The sanitary ware sector abroad recorded an 86% increase in revenue in 2020, to NIS 21 million due to the opening of the plant in Turkey. This segment only began operating in 2019. The plastics and plumbing sector recorded an 18% increase in revenue to approx. NIS 81 million due to an increase in exports. The distribution sector recorded a 15% increase in revenues in 2020 to NIS 88 million, partly due to the company's move to a new logistics center that will streamline the distribution process for customers. From the completion of the acquisition of Shish Aloni, when revenues increased by 150% in 2020 to NIS 385 million.
Yoav Golan, chairman of the Hamat Group, said that "2020 was a complex year against the background of the corona crisis. We are concluding the year with record results, in light of steps we took even before the corona to increase the volume of activity and improve profitability. "