G. WILLI-FOOD INTERNATIONAL REPORTS THE RESULTS OF FIRST QUARTER 2025

GROSS PROFIT INCREASED BY 28.8% AND OPERATING PROFIT INCREASED BY 71.7% OVER COMPARABLE PERIOD IN 2024

YAVNE, Israel, May 19, 2025 /PRNewswire/ -- G. Willi-Food International Ltd. (NASDAQ: WILC) (the "Company" or "Willi-Food"), a global company that specializes in the development, marketing and international distribution of kosher foods, today announced its unaudited financial results for the first quarter ended March 31, 2025.

First Quarter Fiscal Year 2025

• Sales increased by 6.5% to NIS 144.8 million (US$ 38.9 million) from NIS 136.0 million (US$ 36.6 million) in the first quarter of 2024.
• Gross profit increased by 28.8% year-over-year to NIS 44.6 million (US$ 12.0 million).
• Operating profit increased by 71.7% year-over-year to NIS 20.0 million (US$ 5.4 million).
• Net profit increased by 5.1% year-over-year to NIS 19.5 million (US$ 5.2 million).
• Basic earnings per share of NIS 1.41 (US$ 0.38).
• Cash and cash equivalents balance of NIS 234.0 million (US$ 62.9 million) as of March 31, 2025.

Management Comment 

Zwi Williger, Chairman, and Joseph Williger, CEO, commented:

"We are pleased to present our financial results for the first fiscal quarter of 2025. During the quarter, the company maintained its growth trajectory, both in sales and profitability.

We continue to expand our product portfolio while simultaneously working to strengthen the shelf presence of our traditional core products. We believe these efforts will drive future sales growth.

In parallel, the company is working to improve the commercial terms with both its suppliers and customers to further enhance profitability.

We are also investing in the development of our new logistics center, which is expected to be completed by the end of the year. We believe this facility will become a key growth engine for the company, enabling continued business expansion — particularly into new categories where we are not yet active, especially chilled and frozen products.

We remain optimistic about our path forward and are confident in our ability to sustain improvements and growth throughout 2025 and beyond."

First Quarter Fiscal 2025 Summary

Sales for the first quarter of 2025 increased by 6.5% to NIS 144.8 million (US$ 38.9 million) from NIS 136.0 million (US$ 36.6 million) recorded in the first quarter of 2024. The increase in sales was attributed to higher inventory levels and improved product availability for customers.

Gross profit for the first quarter of 2025 increased by 28.8% to NIS 44.6 million (US$ 12.0 million), or 30.8% of revenues, from NIS 34.7 million (US$ 9.3 million), or 25.5% of revenues, recorded in the first quarter of 2024. The increases in gross profit and gross margins were driven by the Company's efforts to improve the commercial terms with its customers and suppliers and its focus on selling a more profitable products portfolio.

Selling expenses increased by 3.9% to NIS 17.1 million (US$ 4.6 million), or 11.8% of revenues, compared to NIS 16.5 million (US$ 4.4 million), or 12.1% of revenues, recorded in the first quarter of 2024. The increase was mainly due to an increase in salary and distribution expenses. 

General and administrative expenses for the first quarter of 2025 increased by 15.4% to NIS 7.6 million (US$ 2.0 million), or 5.2% of revenues, from NIS 6.6 million (US$ 1.8 million), or 4.8% of revenues, recorded in the first quarter of 2024. The increase was mainly due to the provision for compensation based on profit to senior management resulting from the increase in operating profit.

Operating profit for the first quarter of 2025 increased by 71.7% to NIS 20.0 million (US$ 5.4 million), or 13.8% of revenues, from NIS 11.6 million (US$ 3.1 million), or 8.5% of revenues, recorded in the first quarter of 2024. The increase in operating profit was primarily due to the increase in gross profit.

Financial income, net decreased to NIS 5.2 million (US$ 1.4 million) recorded in the first quarter of 2025 compared to NIS 11.5 million (US$ 3.1 million) in the first quarter of 2024. Financial income, net for the first quarter of 2025 comprised mainly of income from revaluation of the Company's portfolio of securities to a fair value in an amount of NIS 2.3 million (US$ 0.6 million) and interest and dividend income from the Company's portfolio of securities in an amount of NIS 2.8 million (US$ 0.8 million).

Income before taxes in the first quarter of 2025 was NIS 25.1 million (US$ 6.8 million) compared to NIS 23.1 million (US$ 6.2 million) in the first quarter of 2024.

Net profit in the first quarter of 2025 was NIS 19.5 million (US$ 5.2 million), or NIS 141.0 (US$ 0.38) per share, compared to NIS 18.6 million (US$ 5.0 million), or NIS 1.34 (US$ 0.4) per share, recorded in the first quarter of 2024.

Willi-Food ended the first quarter of 2025 with NIS 234.0 million (US$ 62.9 million) in cash and securities. Net cash from operating activities for the first quarter of 2025 was NIS 0.3 million (US$ 0.1 million).

Willi-Food's shareholders' equity at the end of March 2025 was NIS 603.0 million (US$ 162.2 million).

NOTE A: NIS to US$ exchange rate used for convenience only

The convenience translation of New Israeli Shekels (NIS) into U.S. dollars was made at the rate of exchange prevailing on March 31, 2024, with U.S. $1.00 equal to NIS 3.718 The translation was made solely for the convenience of the reader.

NOTE B: IFRS

The Company's consolidated financial results for the three-month period ended March 31, 2025 are presented in accordance with International Financial Reporting Standards ("IFRS").

ABOUT G. WILLI-FOOD INTERNATIONAL LTD.

G. Willi-Food International Ltd. (http://www.willi-food.com) is an Israeli-based company specializing in high-quality, great-tasting kosher food products. Willi-Food is engaged directly and through its subsidiaries in the design, import, marketing and distribution of over 650 food products worldwide. As one of Israel's leading food importers, Willi-Food markets and sells its food products to over 1,500 customers and 3,000 selling points in Israel and around the world, including large retail and private supermarket chains, wholesalers and institutional consumers. The Company's operating divisions include Willi-Food in Israel and Euro European Dairies, a wholly owned subsidiary that designs, develops and distributes branded kosher, dairy-food products.

FORWARD LOOKING STATEMENT

This press release contains forward-looking statements within the meaning of safe harbor provisions of the Private Securities Litigation Reform Act of 1995 relating to future events or our future performance, such as statements regarding trends, demand for our products, expected sales, operating results, and earnings. Forward-looking statements include statements regarding the commercial terms with customers and suppliers and timing of construction of the Company's new logistics center and its expected benefits. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied in those forward-looking statements. These risks and other factors include but are not limited to: the inability to improve commercial terms with customers and suppliers: delays in the construction of the Company's new logistics center and the risk that its expected benefits will not be materialized, inability to sustain improvements and growth in the future; monetary risks including changes in marketable securities or changes in currency exchange rates- especially the NIS/U.S. Dollar exchange rate, payment default by any of our major clients, the loss of one of more of our key personnel, changes in laws and regulations, including those relating to the food distribution industry, and inability to meet and maintain regulatory qualifications and approvals for our products, termination of arrangements with our suppliers, loss of one or more of our principal clients, increase or decrease in global purchase prices of food products, increasing levels of competition in Israel and other markets in which we do business, changes in political, economic and military conditions in Israel, particularly the recent war in Israel. Economic conditions in the Company's core markets, delays and price increases due to the attacks on global shipping routes in the Red Sea, our inability to accurately predict consumption of our products and changes in consumer preferences, our inability to protect our intellectual property rights, our inability to successfully integrate our recent acquisitions, insurance coverage not sufficient enough to cover losses of product liability claims, risks associated with product liability claims and risks associated with the start of credit extension activity. We cannot guarantee future results, levels of activity, performance or achievements. The matters discussed in this press release also involve risks and uncertainties summarized under the heading "Risk Factors" in the Company's Annual Report on Form 20-F for the year ended December 31, 2023, filed with the Securities and Exchange Commission on March 21, 2024. These factors are updated from time to time through the filing of reports and registration statements with the Securities and Exchange Commission. We do not assume any obligation to update the forward-looking information contained in this press release. 

This information is intended to be reviewed in conjunction with the Company's filings with the Securities and Exchange Commission.

Company Contact:
G. Willi - Food International Ltd.
Yitschak Barabi, Chief Financial Officer
(+972) 8-932-1000
itsik.b@willi-food.co.il

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SOURCE G. Willi-Food International Ltd.