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TEL AVIV, Israel,
August 29, 2012 /PRNewswire/ --
Delek Group Ltd. (TASE: DLEKG, OTCQX: DGRLY) (hereinafter: "Delek Group" or "The Group") announced today its results for the three and six month period ended
June 30, 2012. The full financial statements will be available in English on Delek Group's website at:
First Six Months 2012 Highlights
Group operating profit of NIS 1.3 billion, an increase of 5% compared with NIS 1.2 billion in the same period last year;
Net income reached NIS 161 million for the reporting period and NIS 51 million for the second quarter;
Agreement was finalised to supply natural gas between Israel Electricity Corporation and the Tamar natural gas partnership;
The Group sold 5.15% of shares in Delek US for NIS 285 million, generating an expected profit of NIS 134 million that will be recorded as an increase in shareholders equity in Q3 2012
Delek Group announced a dividend of NIS 80 million for the first six months of 2012.
Group revenues for the first six months of 2012 were
NIS 34.7 billion, a 28% increase compared with
NIS 27.1 billion in the first half of 2011. The increase was primarily due to the Lion Oil refinery operations which was consolidated in the corresponding period last year for only two months. The increase in revenues was also due to the rise in fuel prices, which led to an increase in refinery revenues as well as an increased contribution from the downstream energy assets; Delek Europe, Delek Israel and Delek US.
Net income in the first six months of 2012 totaled
NIS 161 million compared with a net income of
NIS 311 million in the first six months of 2011. In the first six months of 2011, net income included
NIS 348 million in capital gains from the sale of Noble Energy shares. Excluding this capital gain in 2011, there is a significant increase in net income, compared to the same period last year.
Group total assets as of
June 30, 2012, amounted to over
NIS 114 billion, compared with
NIS 108 billion as of
December 31, 2011.
Commented Mr. Bartfeld, CEO of Delek Group, "The improvement in our operating profit demonstrates the quality of the Delek Group portfolio and can be attributed to the broad scope of our businesses that allow us to diversify our risks. We continued to maintain a strong balance sheet with
NIS 1.4 billion currently available in cash and the Group's liquid assets are estimated at more than
NIS 12 billion. We continue to work diligently to realize the value in our existing assets. We sold approximately 5% of our shares in Delek US for an expected profit of approximately
NIS 134 million which will be reflected in our third quarter results as an increase in shareholders equity. This transaction is a proof of the Group's financial flexibility and its ability to exercise listed holdings."
Continued Mr. Bartfeld; "In the natural gas sector, we have finalized a number of key supply contracts for the Tamar reservoir including a major agreement with the Israel Electric Company. In addition, we have received all the necessary approvals to utilize the
$800 million project financing. The development of the 9.7 TCF Tamar reservoir remains on track for production, and we are confident this will have an immediate positive impact on cash flow starting from
Main Business Highlights