Supermarket chain Shufersal (TASE: SAE) recorded a moderate rise in revenue last year of 3%, to NIS 15.6 billion, but managed to double its net profit, from NIS 323 million in 2023 to NIS 665 million in 2024. Brothers Yossi and Shlomi Amir took over Shufersal a year ago, after buying a quarter of its shares from financial institutions and subsequently appointing themselves as chairperson and CEO respectively.
Shufersal’s gross profit margin improved from 26.5% of sales in 2023 to 28.3% in 2024. It said that the improvement was a result of higher sales revenue (partly thanks to higher prices) but also of streamlining undertaken by the new management. The operating profit margin improved even more, from 4% of sales revenue to 5.9%, bringing operating profit to NIS 916 million in 2024, up from NIS 605 million in 2023. Here too, streamlining measures by the Amir brothers, which involved the voluntary or forced departure of many senior managers, were largely responsible for the improvement.
Shufersal has a market cap of just under NIS 10 billion. Its share price has risen by more than 40% in the past year. The Amir brothers bought their stake in the company at a valuation of just NIS 6 billion, which means that, on paper, they have made a gain of about NIS 1 billion on their investment.
Published by Globes, Israel business news - en.globes.co.il - on March 26, 2025.
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