Yitzhak Frank Steps Down as Bern Group CEO After Five Years
Translated & summarized from Bizportal by baba
Yitzhak Frank is stepping down as CEO of the Bern Group after more than five years, during which the company expanded its operations and financing. Bern recently acquired a 75% stake in Bar-El 27 Industries for NIS 35 million to enhance its production capabilities. The company is also pursuing new projects in Israel and Africa, including metro infrastructure work and a $160 million African project. Despite revenue growth, Bern reported a net loss in the second quarter of 2026, though its order backlog remains strong at NIS 3.4 billion.
The story in 5 lines · by baba
- Yitzhak Frank is resigning as CEO of the Bern Group after over five years.
- Bern acquired 75% of Bar-El 27 Industries for NIS 35 million to boost production.
- The company is involved in new projects, including Israeli metro infrastructure and African developments.
- Bern reported a net loss in Q2 2026 despite a 16% revenue increase.
- The company's order backlog stands at approximately NIS 3.4 billion.
Yitzhak Frank is stepping down as CEO of the Bern Group after more than five years in the role, having served the company for over two decades in various senior positions. His departure comes as Bern is expanding its operations through acquisitions and new projects both in Israel and abroad. The company is currently focused on increasing its exposure to infrastructure, energy, and complex projects, alongside its broad international activities.
In early October, Bern acquired a 75% stake in Bar-El 27 Industries for NIS 35 million. Bar-El specializes in precast concrete elements and solutions for infrastructure, shielding, and security, and this acquisition aims to provide Bern with independent production capabilities to complement its existing design, management, and execution services. In 2025, Bar-El reported revenues of NIS 46.3 million and a net profit of NIS 5.2 million. Bern views this move as a way to internalize more of its value chain rather than relying solely on management and planning.
Bern is also advancing several new projects. In early October, a subsidiary in which Bern holds a 50% stake was deemed eligible to participate in tenders for infrastructure work on the metro project. Earlier, in late August, Bern reported progress on financing a national project in a West African country. In July, the company signed a memorandum of understanding for another African project valued at approximately $160 million.
Despite revenue growth, Bern's profitability has declined. In the second quarter of 2026, revenues rose by about 16% to NIS 212.6 million, and for the first half of the year, they reached approximately NIS 414 million, a 19% increase. However, the company incurred a net loss of about NIS 4 million in the second quarter, compared to a net profit of NIS 17 million in the same period last year. Operating cash flow was stronger, totaling around NIS 49 million for the quarter. Bern's order backlog stood at approximately NIS 3.4 billion, providing a solid foundation for future operations but also highlighting the importance of project execution and profitability.
During Frank's tenure, Bern also expanded its financing sources, completing the institutional phase of a bond offering in June with oversubscriptions of NIS 300 million. This financing expansion aligns with the company's strategy to grow in infrastructure, energy, and EPC projects in Israel and abroad, sectors that require significant capital and financing capacity for large-scale projects. As of mid-October, Bern's market capitalization was around NIS 468 million. The company employs approximately 1,000 people and operates in national infrastructure, buildings and industry, water and agriculture, gas and energy, and technology sectors.