Y.H. Dimri Construction & Development (DIMRI) Q2 2025 earnings summary

Executive summary

• Operates in residential and investment real estate, with three main growth engines: residential development, urban renewal, and investment properties.

• Net income for the first half of 2025 reached approximately ₪295 million, with a gross margin of 41% and EBITDA of ₪393 million, reflecting strong profitability.

• Market capitalization stood at about ₪7.5 billion as of August 20, 2025, and equity totaled ₪3.2 billion.

• The company is included in the TA-35 index and holds an A1 credit rating with a stable outlook.

Financial highlights

• Revenue for H1 2025 was ₪1,902 million, up from ₪1,780 million in H1 2024.

• Gross profit for H1 2025 was ₪790 million (41.5% margin), down from ₪913 million (51.3%) in H1 2024.

• Net income for H1 2025 was ₪295 million, up from ₪262 million in H2 2024.

• EBITDA for H1 2025: ₪393 million, up from ₪304 million in H1 2024.

• Dividend policy allows for up to 40% of net income to be distributed; a ₪60 million dividend was approved for September 2025.

Outlook and guidance

• Board expects no liquidity issues despite negative operating cash flow, citing strong land inventory and available credit lines.

• Ongoing market uncertainty due to prolonged conflicts and high interest rates may impact project timelines and costs.

• Expected permits for 2025–2027: 9,345 housing units, with 758 permits already issued and 1,053 units approved in 2025.

• Anticipated zoning approvals for 2025–2027: 18,150 units.

• Significant future pipeline includes 39,176 units across various stages of development.