Willi-Food Declares $7.1M Dividend, Signaling Strength Amid Headwinds

YAVNE, Israel – March 24, 2026 – G. Willi-Food International Ltd. (NASDAQ: WILC) today announced a significant cash dividend distribution of NIS 22 million, equivalent to approximately US$7.1 million, underscoring a period of record profitability and operational fortitude despite regional and global challenges. The move signals strong confidence from the company's board in its financial health and ongoing commitment to delivering shareholder value.

The dividend translates to approximately NIS 1.58 per ordinary share. It is designated for shareholders of record as of the close of business on April 13, 2026, with the payment scheduled for April 29, 2026. This announcement comes on the heels of a banner year for the Israeli-based kosher food importer and distributor, which has solidified its position as a market leader.

A Foundation of Record Financial Performance

The decision to distribute a substantial dividend is directly supported by G. Willi-Food's exceptional financial results for the fiscal year ended December 31, 2025. The company reported a 6.0% year-over-year increase in sales, reaching NIS 610.6 million (approx. US$191.4 million). This top-line growth was driven by robust product demand, improved inventory availability, and strategic market positioning.

More impressively, profitability soared. Gross profit climbed 8.4% to NIS 174.8 million, with the gross margin expanding to 28.6%. This improvement reflects the company's success in negotiating favorable terms with suppliers and customers, as well as a strategic shift toward a more profitable product mix. The bottom line showed even more dramatic growth, with net profit surging by 28.6% to reach a record NIS 90.4 million (US$28.3 million) for the year. This robust performance provided a strong foundation for the company's shareholder return policy, which commits to distributing at least 40% of net profit.

The company's balance sheet reinforces this picture of financial strength. As of the end of 2025, G. Willi-Food held a strong cash position and reported shareholders' equity of NIS 655.1 million (US$205.4 million), providing ample liquidity and a solid capital base for future growth and continued shareholder returns.

Navigating Geopolitical Headwinds with Resilience

Perhaps the most striking aspect of G. Willi-Food's announcement is the context in which it occurs. The company operates in a region marked by significant geopolitical complexity, including the ongoing war in Israel and widespread disruptions to global shipping routes caused by attacks in the Red Sea. These factors were explicitly noted as risks in the company's forward-looking statements.

Despite these considerable headwinds, G. Willi-Food has successfully maintained what it describes as "full business continuity." The ability to sustain operations, protect supply chains, and grow profitability in such a turbulent environment speaks volumes about its operational resilience and strategic planning. The dividend serves as a tangible outcome of this resilience, demonstrating that the company's business model is robust enough to weather significant external shocks.

Further bolstering its long-term strategy, the company is making a significant capital investment of approximately NIS 120 million in a new, state-of-the-art automated refrigerated logistics center in Yavne. This facility, expected to become operational in the latter half of 2026, is designed to dramatically enhance storage and distribution capabilities. It will also enable the company to expand into new product categories like frozen and chilled foods while generating projected annual operating savings of around NIS 10 million. This forward-looking investment is a clear move to de-risk its supply chain and improve efficiency for years to come.

Leading a Growing Global Niche

G. Willi-Food's success is not just a story of financial management but also of market specialization. The company is a dominant force in the global kosher food market, a sector experiencing significant and sustained growth. Valued at approximately US$25 billion in 2022, the market is projected to expand to over US$40 billion by 2030, growing at a compound annual rate of 6.2%.

This growth is no longer driven solely by religious observance. A broadening base of consumers worldwide increasingly associates kosher certification with quality, food safety, and health-consciousness, making it a desirable attribute for a diverse audience. G. Willi-Food, with its portfolio of over 650 products and a distribution network spanning 1,500 customers and 3,000 selling points, is perfectly positioned to capitalize on this expanding global trend. The company's ability to consistently deliver shareholder returns is a direct reflection of its leadership and deep expertise within this specialized and profitable market segment.

A Testament to Investor Confidence

Investors have taken notice of the company's potent combination of profitability, resilience, and market leadership. G. Willi-Food's stock (NASDAQ: WILC) has surged over 70% in the past year, reflecting strong market confidence in its strategy and execution. The latest dividend announcement continues a history of rewarding shareholders, with cumulative dividends since 2021 now totaling NIS 237 million.

Analyst sentiment remains broadly positive, with many pointing to the company's cash-rich balance sheet, consistent profit growth, and attractive valuation metrics, such as a low price-to-earnings-growth (PEG) ratio. The dividend reinforces the investment thesis, providing a clear and immediate return while the company simultaneously invests in long-term strategic assets like its new logistics hub. This balanced approach of rewarding current investors while building a more resilient and efficient future appears to be a winning formula, resonating strongly in a market that prizes both stability and growth.