Terminal X Online (TRX) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 rose 3.4% year-over-year to ₪112.9M, driven by growth in independent sites and new business consolidations, offset by a decline in the Terminal X segment due to the closure of Greek operations and reduced outlet space.

• Net income for Q1 2025 increased 34.1% year-over-year to ₪6.0M, with net margin improving to 5.3% from 4.1% in Q1 2024.

• The company distributed a dividend of ₪23.1M in April 2025, representing 100% of net profit for 2023–2024.

• The group continued its expansion strategy, acquiring majority stakes in Strongful and Ada Lazorgan, and entered negotiations for further acquisitions.

Financial highlights

• Gross profit for Q1 2025 was ₪53.4M (47.3% margin), up from ₪47.0M (43.1%) in Q1 2024, reflecting improved product mix.

• Operating profit before share-based payments rose to ₪8.8M (7.8% margin) from ₪5.3M (4.8%) year-over-year.

• Adjusted EBITDA for Q1 2025 was ₪6.6M, down from ₪15.1M in Q1 2024, mainly due to IFRS16 effects.

• Cash flow from operations dropped sharply to ₪1.3M from ₪28.7M in Q1 2024, mainly due to working capital changes.

Outlook and guidance

• The company is actively seeking further expansion in the Israeli e-commerce market, focusing on synergistic brands.

• Management is evaluating international expansion opportunities.