Novolog (NVLG) Q4 2025 earnings summary

Executive summary

• Revenue for 2025 was reported between ₪1,643.5 million and ₪1,805.4 million, reflecting a year-over-year decrease.

• Net income for 2025 ranged from a net loss of ₪39.4 million to a net profit of ₪4.5 million, with significant operational challenges from SAP ERP implementation and related class action lawsuit.

• Adjusted EBITDA for 2025 was between ₪97.2 million and ₪128.8 million, down year-over-year.

• Strategic focus on operational efficiency, technology, innovation, and divestment of non-core assets, including the sale of Nuvhalet and full acquisition of Pronto.

• Q4 2025 saw a net loss, impacted by one-time losses from subsidiary sale, legal provisions, and SAP-related disruptions.

Financial highlights

• Gross profit for 2025 ranged from ₪137.5 million to ₪180.8 million, with gross margin between 7.6% and 10.9%.

• Operating profit for 2025 was ₪24.1 million, with an operating margin of 1.5%.

• Cash balance at year-end was ₪121.7 million; cash flow from operations was ₪158.5 million.

• Equity at year-end stood between ₪369 million and ₪382.1 million.

• Dividend distributions in 2025 totaled ₪20 million, with a payout policy of 70% of net profit.

Outlook and guidance

• No additional financing anticipated for 2026; focus on organic growth, selective acquisitions, and contingency planning for geopolitical and macroeconomic risks.