G. Willi-Food announced its unaudited financial results for the third quarter ended September 30, 2023.
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Sales for the third quarter of 2023 were NIS 123.9 million ($32.4 million) remain at the same level as in the third quarter of 2022.
One of the reasons for this stagnation is the timing of the Rosh Hashana Holiday which fell on a weekend in the middle of September this year compared to 2022 when the holiday fell on the middle of the week in the end of September.
Gross profit for the third quarter of 2023 decreased by 30.9% to NIS 23.5 million ($6.1 million), or 19.0% of revenues, compared to NIS 34.1 million ($8.9 million), or 27.5% of revenues in the third quarter of 2022.
The decrease in gross profit was due to
(i) increased costs of the Company's imported products compared to the cost of products in the third quarter of 2022, mainly because of an increase in raw materials and
(ii) the weakening of the Israeli shekel in relation to the euro and $currencies.
Selling expenses decreased by 7.5% to NIS 17.3 million ($4.5 million) compared to NIS 18.7 million ($4.9 million) in the third quarter of 2022. The decrease was primarily due to a decrease in expenses for advertising and promotion.
General and administrative expenses for the third quarter of 2023 were NIS 5.9 million ($1.5 million), remaining at the same level as in the third quarter of 2022.
Operating profit for the third quarter of 2023 decreased by 94.7% to NIS 0.5 million ($0.13 million) compared to NIS 9.5 million ($2.5 million) in the third quarter of 2022. The decrease was primarily due to the decrease in the gross profit.
Financial income, net for the third quarter of 2023 totaled NIS 5.7 million ($1.5 million) compared to NIS 0.04 million ($0.01 million) in the third quarter of 2022. Financial income for the third quarter of 2023 was comprised mainly of
(i) income from revaluation of the Company's portfolio of securities to fair value in the amount of NIS 2.5 million ($0.65 million) and
(ii) interest and dividend income from the Company's portfolio of securities in the amount of NIS 2.6 million ($0.68 million).
Willi-Food's net profit in the third quarter of 2023 was NIS 4.9 million ($1.3 million), or NIS 0.35 ($0.09) per share, compared to NIS 7.6 million ($2.0 million), or NIS 0.55 ($0.14) per share, in the third quarter of 2022. ■
A trailing cold front in connection with a low pressure system currently moving east across the Great Lakes toward New England will bring a chance of rain into the eastern U.S. on this first day of November following an exceptionally dry October for this part of the country.