Tiv Ta'am third-quarter reports: Revenues grew by 5.1% and amounted to NIS 410.9 million

Tiv Ta'am presented its third-quarter reports, which indicated growth in all parameters. The stock is rising about 5 percent on the Tel Aviv Stock Exchange.
Revenues in the third quarter grew by 5.1% and amounted to NIS 410.9 million, compared with NIS 390.9 million in the corresponding quarter last year. Revenues in the first 9 months of the year increased by about 3.5% compared to the corresponding period last year and amounted to about NIS 1,203.9 million.
Revenue and average revenue per square meter in identical stores in the third quarter increased by 3.5% and 8%, respectively, compared with the corresponding period last year.
Operating profit in the third quarter of the year jumped by about 30.9% compared to the corresponding quarter last year and amounted to about NIS 30.5 million. Operating profit in the first 9 months of the year increased by approximately 32.7% compared to the corresponding period last year and amounted to approximately NIS 88.8 million.
Net profit in the third quarter increased by approximately 38.9% compared to the corresponding quarter last year and amounted to approximately NIS 19 million. Profit in the first 9 months of the year increased by approximately 48.9% compared to the corresponding period last year and amounted to approximately NIS 54.7 million.
The customer club has grown by about 37% compared to last year and includes about 428,000 members
The company announced a quarterly dividend of NIS 5.7 million and an intention to repurchase the company's shares up to NIS 20 million.
Revenues from the food retail segment in the third quarter amounted to NIS 360.1 million, compared with revenues of NIS 343.3 million in the corresponding quarter last year, an increase of 4.9%. The increase is due to the continued growth in Tiv Ta'am's customer club as well as the timing of the Tishrei holidays. In the first nine months of the year, revenues amounted to NIS 1,056 million, an increase of 4.2% compared to revenues of NIS 1,013 million in the corresponding period last year. Revenue and revenue per square meter in identical stores in the third quarter of the year increased by 3.5% and 8%, respectively, compared with the corresponding quarter last year, and relative to revenue per square meter in the third quarter of 2019 increased by 34%. In the first 9 months of the year, revenue and revenue per square meter in identical stores increased by 3.3% and 7.7%, respectively, compared to the same period last year, but compared to revenue per square meter in the first 9 months of 2019, it increased by 34.4%.
In the manufacturing sector, total revenues in the third quarter of the year amounted to NIS 83.8 million, compared with NIS 83.5 million in the corresponding quarter last year. In the first nine months of the year, revenues from the manufacturing sector amounted to NIS 245 million, compared with revenues of NIS 250.5 million in the corresponding period last year. Excluding the revenue of the fresh fish activity, as stated above, there is an increase in revenue in the first 9 months of the year by about 14.5% compared to revenue in the same period last year when the company focuses on the profitable and growing categories of wine and alcohol, fresh and thermal meat and cheeses.
The Group's total revenues in the third quarter of the year amounted to NIS 410.9 million, compared with NIS 390.9 million in the corresponding quarter last year, an increase of 5.1% attributed mainly to the retail sector. In the first nine months of the year, the Group's revenues amounted to NIS 1,203.9 million, compared with revenues of NIS 1,163.4 million in the corresponding period last year, an increase of 3.5%.
The Group's gross profit in the third quarter of the year amounted to NIS 134.2 million (approximately 32.7% of revenue turnover), compared with NIS 129.4 million (approximately 33.1% of revenue turnover) in the corresponding quarter last year. An increase of approximately NIS 4.8 million and a rate of approximately 3.7% was mainly due to the retail sector. In the first 9 months of the year, gross profit amounted to NIS 398.4 million (rate of 33.1%), an increase of 6%, compared with gross profit of NIS 375.9 million (32.3% of revenue) in the corresponding period. last year.
The company's operating profit in the third quarter of the year increased by approximately 30.9% compared with the corresponding quarter last year and amounted to approximately NIS 30.5 million, compared with approximately NIS 23.3 million. Operating profit rose to about 7.4% of revenue compared to about 6% in the corresponding quarter. In the first 9 months of the year, operating profit amounted to NIS 88.8 million and at a rate of 7.4% of revenues, an increase of 32.7%, compared with operating profit of NIS 67 million and 5.8% of revenues in the corresponding period last year.
EBITDA in the third quarter amounted to NIS 53.9 million, compared with NIS 46.5 million in the corresponding quarter last year, an increase of 15.9%. The increase is due to an increase in operating profit. In the first 9 months of the year, EBITDA amounted to NIS 155.6 million, compared with NIS 139.1 million, an increase of 11.8%.
Hagai Shalom, CEO and controlling shareholder, said: “We conclude a strong quarter with an improvement in all parameters in accordance with the company's strategic plan. The results of the quarter were affected in light of an increase in the volume of activity, the timing of the Tishrei holidays, as well as an increase of approximately 37% in our customer club, which includes approximately 428,000 members. "During the quarter, there was an increase in revenue and revenue per square meter in the same stores and we continue to maintain an operating profit rate that is above the industry average.