The Elco Group reported an increase in revenues and profits: revenues of NIS 2.92 billion

The Elco Group, controlled by brothers Mikey and Danny Zalkind (65%), reported an increase in revenues and profits following an improvement in the profits of the subsidiaries. Elco controls Electra, Electra Consumer, Electra Real Estate, Supergas and HOT CINEMA. About two months ago, the company announced the purchase of about 30% of DSKS for about NIS 400 million.
Elco reported revenues of NIS 2.92 billion in the first quarter of 2021, compared to NIS 2.62 billion in the corresponding quarter in 2020 - an increase of 11%. Operating profit in the first quarter of 2021 grew by 41% to NIS 218 million, compared with NIS 155 million in the corresponding quarter in 2020.
Elco's net profit jumped 66% in the first quarter of 2021 to NIS 167 million (NIS 96 million attributed to shareholders), compared to NIS 100.6 million (NIS 55.7 million attributed to shareholders) in the corresponding quarter in 2020.
Electra Consumer, Electra, Supergas and Electra Real Estate announced the distribution of dividends in the first quarter. Elco's share in them is NIS 55 million. The dividends were paid in April. Elco distributed a dividend of NIS 40 million to investors in April. Elco's shareholders' equity, as of the end of March, amounted to NIS 3.24 billion.
Electra generated a profit of NIS 50 million in the first quarter of 2021, compared to NIS 41 million in the corresponding quarter in 2020. Electra Real Estate generated a profit of NIS 41 million for the company in the quarter, compared to a profit of NIS 16 million in the corresponding quarter in 2020. Electra Consumer Products generated a profit of NIS 36 million for the company, compared to a profit of NIS 27 million in the corresponding period in 2020. Supergas Energy generated a profit of about NIS 25 million in the quarter, compared to a profit of about NIS 29 million in the corresponding quarter in 2020.
The increase in Electra's profits from activity in the field of infrastructure and electrical contracting and the increase in Electra's profits from consumer products Retail electrical products were the leading factors in the increase in Elco's profits.
Elco's subsidiaries are working to expand into various sectors. Electra acquired two public transportation companies in the first quarter and has become one of the largest players in the field. Electra Real Estate has established a fund to purchase properties in the US hotel sector. Electra Consumer Products signed an agreement this quarter to acquire control of the Bitan Wines chain. Supergas is growing in the field of renewable energies and in the field of energy storage.
Avi Israeli, Deputy CEO of Elco, said: "We conclude the first quarter of 2021 with the continuation of the growth trend in revenues and profits - and the continued momentum of business development in the subsidiaries, each in its own field. "Last month, Elco received the approval of the competition commissioner to purchase 29.8% of the shares of DSKS.