Max Stock Limited Reports Third Quarter 2025 Financial Results

Appoints Paz Oz Chief Financial Officer

Third Quarter Revenue Increased 7.0% to ILS 399.1 million; Comparable Store Sales Increased 5.0%; Gross Margin Increased 300 Basis Points; Adjusted EBITDA Increased 22.6%; GAAP Net income (100%) Increased 31.1% to ILS 44.9 million

First Nine Month Revenue Increased 7.1% to ILS 1.1 billion; Comparable Store Sales Increased 4.1%; Gross Margin Increased 180 Basis Points; Adjusted EBITDA Increased 20.4%; GAAP Net income (100%) Increased 13.0% to ILS 104.3 million

CAESAREA, Israel, Nov. 19, 2025 /PRNewswire/ -- Max Stock Limited (TASE: MAXO) (the "Company") today reported financial results for the third quarter and nine months ended September 30, 2025.

Third Quarter 2025 Summary

• Revenue increased 7.0% to ILS 399.1 million.
• Comparable store sales increased 5.0%.
• Gross margin increased 300 basis points to 44.3%.
• Net income (100%) increased 31.1% to ILS 44.9 million.
• Adjusted EPS1 (attributable to shareholders) increased 30.3% to ILS 0.29.
• Adjusted EBITDA2 increased 22.6% to ILS 69.3 million.

First Nine Months 2025 Summary 

• Revenue increased 7.1% to ILS 1.1 billion.
• Comparable store sales increased 4.1%.
• Gross margin increased 180 basis points to 43.5%.
• Net income (100%) increased 13.0% to ILS 104.3 million.
• Adjusted EPS1 (attributable to shareholders) increased 13.5% to ILS 0.67.
• Adjusted EBITDA2 increased 20.4% to ILS 173.7 million.

Note: Totals may be sightly impacted by minor rounding differences.

1. As used throughout this release, adjusted Net Income (attributable to shareholders) defined as Net Income + Share-based payment, multiplied by the portion attributable to shareholders. Adjusted EPS (attributable to shareholders) is then divided by the number of basic shares.
2. As used throughout this release, adjusted EBITDA Pre IFRS 16 defined as Net Income + Income Tax Expenses + Net Interest Expenses + D&A + Other Expenses – the impact of IFRS 16 + Share-based payment. 

"We delivered strong third quarter results that included an acceleration of our comparable store sales growth rate, 300-basis point gross margin expansion and a strong double digit growth in our net income," said Ori Max, Founder and Chief Executive Officer. "We are pleased with the  continued strength of our recent performance, on top of strong multi-year comparison, which underscores the success of our business model and our recent actions to enhance the efficiency of our supply chain.  Looking ahead, we believe we are well positioned for a solid finish to 2025 and that our compelling merchandise assortments and tremendous value proposition will drive continued profitable market share gains for years to come."

Paz Oz Appointment as Chief Financial Officer

In September 2025, Mr. Nir Dagan, Deputy CEO and Head of Finance, announced his intention to step down from his position at the end of 2025. Concurrently with the publication of the financial statements, the Company announced the appointment of Paz Oz as Chief Financial Officer (CFO) of the Company, effective December 1, 2025. Paz has held various senior positions within the Company over the years and, more recently, has served as Vice President and Director of Finance.

Third Quarter Results (2025 compared with 2024)

Revenue increased 7.0% to ILS 399.1 million in the third quarter 2025 as compared with revenue of ILS 373.1 million in the third quarter 2024. The increase over the same period last year was largely attributable to a 5.0% increase in comparable store sales driven by an increase in average basket size, increased traffic and higher seasonal sales, combined with the opening of new branches. Revenue growth was also attributable to an increase in sales to franchisees, due to increase in direct imports versus locally sourced inventory (made possible thanks to the new logistics center).

Gross profit increased 14.8% to ILS 177.0 million in the third quarter 2025 from ILS 154.1 million in the third quarter 2024. Gross margin was 44.3% as compared to 41.3% in the prior year period. The 300-basis point improvement in gross margin was primarily attributable to trade and supply chain efficiency gains enabled by the Company's new logistics center, combined with the strengthening of the ILS vs. the USD and lower shipping costs.  

Selling, general and administrative expenses were ILS 107.0 million in the third quarter 2025 compared to ILS 99.3 million in the third quarter 2024. The increase in operating expenses was primarily related to incremental expenses in new branches. As a percent of sales, Selling, general and administrative expenses were 26.8% in the third quarter 2025 compared to 26.6% in the third quarter 2024.

Financing expenses, net, totaled approximately ILS 11.8 million in the third quarter of 2025 compared to ILS 5.7 million in the third quarter of 2024. The increase in net financing expenses was largely attributable to ILS 4.6 million of interest expenses related to revaluation of hedging positions for the next few quarters, due to strengthening of ILS vs. USD.

GAAP net income (100%) increased 31.1% to ILS 44.9 million in the third quarter of 2025, as compared with GAAP net income (100%) of ILS 34.3 million in the third quarter of 2024.

Adjusted EPS attributable to shareholders increased 30.3% to ILS 0.29 per share, in the third quarter of 2025, as compared with adjusted EPS attributable to shareholders of ILS 0.22 per share, in the third quarter of 2024.

Adjusted EBITDA increased 22.6% to ILS 69.3 million in the third quarter of 2025 from ILS 56.5 million in the third quarter of 2024. Adjusted EBITDA margin increased to 17.4% in the third quarter of 2025 compared with 15.1% in the third quarter of 2024.

First Nine Months Results (2025 compared with 2024)

Revenue for the first nine months of 2025 increased 7.1% to ILS 1.1 billion, compared with revenue of ILS 1.0 billion in the first nine months of 2024. The increase in revenue was driven by a 4.1% gain in comparable store sales and the sales contribution from new branches. The increase in same stores sales was fueled by an increase in average basket size, increased store traffic and higher seasonal sales. Revenue growth was also attributable to an increase in sales to franchisees, due to increase in direct imports versus locally sourced inventory (made possible thanks to the new logistics center).

Gross profit increased 11.7% to ILS 467.6 million in the first nine months of 2025 from ILS 418.7 million a year ago. Gross margin was ~43.5% as compared to ~41.7% in the prior year period. The 180-basis point improvement in gross margin year-over-year was driven primarily by trade and supply chain efficiency gains enabled by the Company's new logistics center, combined with the strengthening of the ILS vs. the USD and lower shipping costs.    

Selling, general and administrative expenses increased to ILS 293.1 million in the first nine months of 2025 from ILS 277.0 million in the first nine months of 2024. The absolute increase in operating expenses was primarily related to incremental marketing, salary and the addition of right of use assets in new branches. As a percentage of sales, selling, general and administrative expenses improved 30 basis-points and were 27.3% in the first nine months of 2025 compared with 27.6% in the first nine months of 2024, primarily reflecting operating leverage. 

Financing expenses, net, totaled approximately ILS 34.0 million in the first nine months of 2025 compared to ILS 15.9 million in the first nine months of 2024. The increase in financing expenses was largely attributable to ILS 15.5 million of interest expenses related to revaluation of hedging positions for the next few quarters, due to strengthening of ILS vs. USD.

GAAP net income (attributable to shareholders) increased 13.0% to ILS 104.3 million.

Adjusted EPS¹ (attributable to shareholders) increased 13.5% to ILS 0.67 in the first nine months of 2025 as compared with adjusted EPS¹(attributable to shareholders) of ILS 0.59 per share, in the first nine months of 2024.

Adjusted EBITDA² increased 20.4% to ILS 173.7 million in the first nine months 2025 from ILS 144.3 million in 2024.

Balance Sheet and Cash Flow Highlights

The Company's cash and cash equivalents balance at September 30, 2025 was ILS 120.7 million compared with ILS 97.1 million at December 31, 2024 and ILS 87.2 million at September 30, 2024. The Company ended the third quarter of 2025 with total debt of ILS 33.4 million compared with total debt of ILS 47.1 million at December 31, 2024 and ILS 14.6 million at September 30, 2024.

Inventories at September 30, 2025 were ILS 191.2 million compared with ILS 240.6 million at December 31, 2024 and ILS 221.4 million at September 30, 2024.

Conference Call Information

The Company will host a conference call on November 19, 2025 at 8:00 a.m. Eastern Standard Time to discuss third quarter 2025 results (LINK). The conference call will also be accessible at https://ir.maxstock.co.il/en/event-en/.There will be a slide presentation that accompanies the call. The slides will be accessible at   https://ir.maxstock.co.il/en/presentation-en/. An archived webcast of the conference call will be available at https://ir.maxstock.co.il/en/presentation-en/.

About Max Stock

Max Stock is Israel's leading extreme value retailer, currently present in 63 locations throughout Israel. We offer a broad assortment of quality products for customers' everyday needs at affordable prices, helping customers "Dream Big, Pay Small". For more information, please visit https://ir.maxstock.co.il    

Forward-Looking Statements

It should be emphasized that this report includes forward-looking information as defined under the Securities Law, 5728-1968. Forward-looking information is uncertain information regarding the future, including forecasts, projections, estimates or other information which refer to a future event or matter, the eventuation of which is uncertain and/or not within the Company's control. The forward-looking information included in this report is based on the current information held by the Company or its current assessments, as of the publication date of this report.

Company Contacts:
Talia Sessler,
Chief Corporate Development and IR Officer
[email protected]

SOURCE Max Stock Limited