Tadiran Group presents a dramatic turnaround: a 140% jump in profit
After a heavy loss of tens of millions of shekels last year, the climate and energy giant concludes an exceptionally strong quarter with revenues of over half a billion shekels and an order backlog that continues to double itself.
Tadiran Group concludes the second quarter of 2026 with a continued growth trend and a significant improvement in profitability. The company's sales revenues totaled approximately 551.7 million shekels, an increase of about 15.1% compared to 479.3 million shekels in the same quarter last year.
The improvement is particularly prominent in the bottom line. The company recorded a net profit of approximately 17.6 million shekels in the second quarter, compared to a loss of about 43.7 million shekels in the same quarter in 2025. This is a jump of about 140.4% in net profit and a profitability rate of about 3.2% of revenues.
Operating profit also continued to strengthen and rose by about 46.6% to 35 million shekels. The operating profitability rate rose to 6.4%, compared to 5% in the same period. The company attributes the improvement, among other things, to a decrease in procurement costs, efficiency processes in the logistics field, and positive effects of exchange rates.
Gross profit grew by about 15% and totaled approximately 103.4 million shekels, while the gross profit rate remained stable at about 18.7%. The improvement was recorded in both of the company's business segments. EBITDA rose by 31.2% and totaled 52.3 million shekels, with its rate out of revenues reaching about 9.5%.
In the energy sector, particularly significant growth was recorded. Sales jumped by about 34% and totaled 335.4 million shekels. The sector's order backlog stood at about 243 million shekels at the end of the quarter, but by the time the report was published, it had already climbed and almost doubled to half a billion shekels.
In the consumer products sector, which includes air conditioning activity, revenues totaled 216.1 million shekels, a slight decrease compared to the same quarter. The company explains the decrease mainly by a drop in the average selling price of air conditioners, against the backdrop of the dollar's decline and changes in the product mix. However, the volume of air conditioners actually sold remained similar to the same quarter, and the company managed to improve profitability in the sector.
The equity of Tadiran Group totaled approximately 474.5 million shekels at the end of June 2026, compared to about 448.7 million shekels at the end of 2025.
Moshe Mamrod, CEO and controlling shareholder of Tadiran Group, said that the strategy the company has built in recent years is "now being translated into clear results on the ground." According to him, the data reflects the "quality of growth" of the company, as operating profit grew by about 47%, compared to an increase of only about 15% in revenues.
At the same time, the company continues to mark the server farm field as a central component of its growth strategy. Within this framework, it is cooperating with Schneider Electric with the goal of providing customers with a comprehensive solution in the field. The company notes that the central goal is to continue and establish its status as a leading and growing group in the fields of climate, energy, and infrastructure.
