Benzinga | Aug 16, 2021 07:52AM EDT

G Willi-Food Q2 Sales Rise 9.8%, Notes Margin Pressure On Higher Costs

* Israeli-based company G Willi-Food International Ltd (NASDAQ:WILC) reported second-quarter FY21 sales growth of 9.8% year-on-year, to $35.10 million.

* Gross profit decreased 6.5% Y/Y to $11.3 million with a profit margin contracting 560 basis points to 32.3% mainly due to increased costs of imported products and increased shipping costs.

* The operating margin was 12%, and operating income for the quarter fell 18.8% Y/Y to $4.2 million.

* The company held $123.6 million in cash and equivalents as of June 30, 2021.

* Net cash from operating activities for Q2 was $5.8 million.

* EPS was $0.37, versus $0.35 prior year.

* "Despite the challenging environment, the Company has succeeded to maintain a high level of sales and operational parameters for the second quarter of 2021," said Co-Chairmen Zwi Williger & Joseph Williger.

* Price action: WILC shares closed higher by 1.97% at $23.29 on Friday.