Maytronics, which manufactures robots for cleaning swimming pools, continues its impressive growth. The company's second quarter net profit rose 31% to NIS 58 million and its revenue was up 22% to NIS 280 million. Maytronics' figures for the first half of the year were similar: a NIS 107 million net profit, 29% more than in the first half of 2017, and 19% growth in in revenue to NIS 521 million.
Simultaneously with its reports, Maytronics announced the distribution of a NIS 45 million dividend to its shareholders, headed by Kibbutz Jezreel. Corresponding to the positive results that it has been reporting for quite some time, Maytronics' share price is at a peak. In response to the results, it jumped 5-6% today, bringing its gains to 65% this year and 330% over the past five years, reflecting a market cap of NIS 2.2 billion.
Maytronics' quarterly results
Most of Maytronics' business consists of the development, production, marketing, and distribution of swimming pool equipment, mainly cleaning robots. More than 80% of the company's revenue comes from robots for cleaning private swimming pools. In its quarterly financials, the company said, "Activity is successful in all of the main territories in which the company operates" and "sales momentum of the S line is continuing" - the line of robots launched three years ago. In addition, Maytronics is also benefiting from improvement in its two other fields of activity - robots for cleaning public swimming pools, about which it said, "sales are rising impressively," and swimming pool safety products and accessories, in which sales of automatic covers for pools are improving, which also supported improvement in the company's second quarter revenue.
The growth in the second quarter revenue of Maytronics, managed by CEO Eyal Tryber, is particularly impressive under the circumstances: "Despite the rainy weather in Europe and US in the quarter, the company continued its sales momentum in the S product line in the second quarter of 2018, maintainng demand for the regular lines and achieving impressive growth in the line of products for public swimming pools."
In an indication of what is in store for the rest of the year, Maytronics reports that its orders backlog totaled NIS 61 million at the end of the second quarter, 21% less than its NIS 78 million at the end of the second quarter of 2017. The company attributes the decline in this figure mainly to "earlier timing last year in receiving orders for the third quarter due to very hot weather that year."
Published by Globes [online], Israel business news - www.globes-online.com - on August 23, 2018
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