Damari Reports Higher Apartment Sales in Q2 2026 Despite Project Setbacks

Damari completed the second quarter of 2026 with a significant increase in the number of apartments sold, driven mainly by sales in the "Price for Residents" project in Ashkelon. The company sold 231 apartments during the quarter for a total of 406 million shekels, up from 170 apartments sold for approximately 421 million shekels in the first quarter of 2026, and 168 apartments for 395 million shekels in the same quarter last year. Damari currently has 4,661 apartments under construction across 23 projects nationwide, with 1,401 apartments sold so far.

The rise in sales was largely attributed to the Ashkelon project, where 89 apartments were sold for 227 million shekels. This surge lowered the average price per apartment by about 30%, from 2.47 million shekels to 1.75 million shekels. However, sales performance in other projects negatively impacted the overall results. Notably, there were no sales in the YAMA project at Sde Dov, a key development for the company, and only 40 of 458 apartments have been sold there, representing about 8% of inventory. Moreover, one sale was canceled during the quarter, although two apartments were sold after the reporting period.

Other projects with no sales during the quarter included Neve Park Building 1, Neve Or (Phase A), 14 Sharet, IM Building 2 in Givatayim, and Ramat Hadar Lot 15. Financially, Damari's revenues for the quarter reached approximately 398.9 million shekels, up from 377 million shekels in Q2 2025 but down from 430 million shekels in Q1 2026. Gross profit fell to 129.7 million shekels from 153 million shekels in the previous quarter and 149.3 million shekels a year earlier, mainly due to increased construction costs and project mix.

Net profit declined to 63.8 million shekels from 76 million shekels in Q1 2026 and 90 million shekels in Q2 2025, primarily because of lower operating profit and higher net financing expenses, which rose from 15.1 million shekels to 26.3 million shekels year-over-year. Damari also announced a dividend distribution of 24 million shekels from the second quarter profits.