:. Food Industry News

Categories: Corporate Results

Strauss Group: Continued Growth and International Expansion

Source: Strauss Group
28/08/2008

Tel Aviv, August 26, 2008 - Strauss Group's Chairperson, Ofra Strauss, and Erez Vigodman, President & CEO, announced today, upon publication of the Financial Statements, that the Group presented further accelerated growth in its international activity and its operating profit in the second quarter and first half of 2008.

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Ofra Strauss, Chairperson of Strauss Group, said today: "We continue to expand the Group's international activity while making structural changes that facilitate this process. The business results manifest these processes." Erez Vigodman, President and CEO of Strauss Group, said today:

"We are handling well the challenges facing us with the competitive global environment in the food industry this year. We continue to grow and expand our international activity, while improving the operating results of the group and conducting important structural changes that will facilitate further accelerated and profitable growth in the coming years."

Financial Highlights Second Quarter 2008:

• Group sales in the second quarter totaled NIS 1.53 billion, a 8.0% growth, and the international activity grew by 10.0%. Sales in the first half totaled NIS 3.0 billion, a 8.0% growth, and the international activity grew by 13.0%.

• Operating profit (pro-forma) in the second quarter totaled NIS 128.4 million compared to NIS 118.3 million last year, an 8.5% growth. Operating profit (proforma) in the first half totaled NIS 265.0 million compared to NIS 254.7 million last year, a 4.0% growth.

• Net financing expenses in the second quarter totaled NIS 29.3 million compared to NIS 12.8 million last year, and were affected by accelerated inflation in the quarter. Net financing expenses in the second quarter totaled NIS 53.8 million
compared to NIS 25.9 million last year.

• Due to the increase in financing expenses, the net profit (pro-forma) in the second quarter totaled NIS 65 million compared to NIS 70 million last year. Net profit (pro-forma) in the first half totaled NIS 131 million compared to NIS 149
million last year.

• Net accounting profit in the second quarter totaled NIS 56 million compared to NIS 76 million in the same quarter last year. Net accounting profit in the first half totaled NIS 140 million compared to NIS 143 million last year.

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