Fox Reports Sharp Profit Surge in Q2 2026 Led by Israeli Fashion and Terminal X Growth

Fox Group reported a significant increase in profits for the second quarter of 2026, driven by strong performance in its core Israeli fashion operations and Terminal X, offsetting ongoing weakness in its Retailers division. The group's revenues reached approximately 1.83 billion shekels, marking a 12.8% rise compared to the same quarter last year. Operating profit climbed about 30% to 223 million shekels, while net profit soared 75.5% to around 123 million shekels, recovering from a net loss of 34 million shekels in Q1 2026.

The Israeli fashion and home fashion segment, which includes Fox, Fox Home, Mango, and American Eagle, led the improvement with sales up 15.3% to about 570 million shekels. However, organic growth was more modest, with same-store sales including online rising just 3%. The overall sales increase was also supported by expanded retail space and a comparison to last year’s quarter, which was negatively impacted by the "With a Lion" military operation.

Conversely, the Retailers sports division continued to drag on results, with revenues falling 1.3% to 594 million shekels and operating profit dropping 34% to 30.8 million shekels. Same-store sales including online declined 7.4%. Fox noted that the results already reflect Nike’s participation in operating expenses and purchase terms benefits recognized for the entire first half.

Terminal X was another growth engine, with sales rising 20.5% to 161 million shekels. The "Other Activities" segment, which includes Shilav, Flying Tiger, Sunglass Hut, and Jumbo, posted a sharp 37.6% revenue increase to 434 million shekels, now also including Dyson product distribution in Israel for the first time.

Despite the strong Q2, Fox’s net profit for the first half of 2026 declined about 6% to 89 million shekels, affected by a weak Q1 and higher financing costs. The company plans to distribute a dividend of approximately 150 million shekels at the end of next month.