Victory chain celebrates: 150% jump in profits and dividends for investors

The Victory supermarket chain, which operates on a discount model, concludes the first half of 2026 with a significant improvement in financial results. The company's net profit in the first half of the year jumped by approximately 150.2% and amounted to about 29.1 million shekels, compared to about 11.6 million shekels in the same period last year.

In the second quarter, an increase in net profit was also recorded. Profit amounted to about 10.45 million shekels, compared to about 9.51 million shekels in the corresponding quarter, an increase of about 9.9%.

Operating profit in the second quarter rose by about 11.3% and amounted to about 23.9 million shekels, while the operating profit margin reached about 3.76%, compared to 3.23% in the corresponding period. The company notes that a significant part of the improvement was due to other income, and in particular from the sale of the Netanya branch. In the first half of the year, profit from ordinary operations amounted to about 59.9 million shekels, an increase of about 71.4%.

On the other hand, sales in the second quarter decreased by about 3.8% and amounted to about 635.8 million shekels. The company attributes the decline mainly to the timing of the Passover holiday. Out of this amount, about 11.3 million shekels came from sales to the Gaza Strip. In the first half of the year, sales amounted to about 1.4 billion shekels, an increase of about 10% compared to the corresponding period. The main growth was due to sales to the Strip, which amounted to about 105.7 million shekels during the period.

Gross profit in the second quarter decreased by about 2.2% and amounted to about 157.2 million shekels, but the gross profit margin rose to 24.73%. In the first half of the year, gross profit grew by about 8.8% and reached about 332 million shekels.

Online activity also continues to expand. Victory's online sales grew in the first half of the year by about 11.4% and accounted for about 7% of the company's total sales. The chain notes that the goal is to increase the share of online sales to 10% of total sales in the near future.

As of the date of the reports, Victory operates 69 branches across the country, with a total area of about 74.7 thousand square meters. The company opened a branch in Afula and is expected to open two more branches this year, in Be'er Sheva and Tel Mond, while another branch in Be'er Sheva is planned for 2027.

At the same time, the company continues to examine new growth engines. At the end of 2025, Victory began a pilot for the sale of electronics and home appliances, including iPhones, televisions, and Ninja products. Since the beginning of 2026, the activity has been expanded, and the company estimates that this area will continue to grow and contribute to sales turnover and profitability.

The company also presents significant data on the financial level. As of the end of June, cash and short-term financial assets stood at about 92.7 million shekels. Cash flow from current operations for the quarter amounted to about 113 million shekels, equity stood at about 414.4 million shekels, and working capital amounted to about 78 million shekels.

In addition, Victory has a share buyback program in the amount of 20 million shekels. Since the beginning of the year, the company has distributed dividends in the amount of about 15 million shekels.