The following are the main financial results for 2021:
Company revenue Less purchase tax In 2021, they amounted to NIS 549.1 million, an increase of 5.4% compared to revenues of NIS 520.8 million in 2020. The increase in revenues in the past year compared to 2020 is mainly due to an increase in sales of smoking products, which the company management estimates is largely due to the Corona crisis ‘effect on the volume of Israeli residents’ flights abroad and purchases of duty-free and overseas smoking products. In cigarettes in December 2021, of about 1.3% compared to December 2020, as well as an increase in revenue in the field of confectionery and snacks (which is mainly attributed to an increase in sales to existing customers of existing products, expanding product range, increasing sales to new customers and as a result of replacing trucks in the confectionery and snacks division).
In the smoking products segment, there was a 4% increase in net income (88% of total revenue), while in the confectionery and snacks segment there was an increase of about 18% compared to the results in 2020 (12% of total revenue).
Gross profit Amounted to NIS 183.5 million in 2021, an increase of 2.7% compared to a gross profit of NIS 178.8 million in 2020.
The net profit In the past year, it amounted to NIS 72.7 million, a slight increase compared to a net profit of NIS 72.1 million in 2020.
Dividends – Globrands has a dividend distribution policy according to which the company will operate to distribute each year, a dividend to its shareholders at a rate that will not be less than 75% of the company’s distributable profits in that year, when distributed twice each year, based on first and third quarter financial statements. , And all subject to the provisions of the Companies Act. In accordance with this policy, Globrands announced and distributed two dividends totaling NIS 69 million during 2021.
As part of the company’s strategic plan to add synergistic areas of activity to the company’s operations, the company’s board of directors decided in late 2021 to establish a dedicated arm for the distribution and marketing of over-the-counter pharma products as well as additional consumer products to retail customers.