Fox Group Reports 75.5% Net Profit Surge in Q2 Despite Retailors Weakness

Fox Group, led by controlling shareholder Harel Wizel, reported a strong financial performance in the second quarter of 2026, driven primarily by its fashion, home fashion, and Terminal X e-commerce operations. The group’s revenues rose 12.8% to a record 1.8 billion shekels, with operating profit increasing by about 30% to 223 million shekels. Net profit surged 75.5% to 123 million shekels, prompting the company to declare a dividend distribution of 150 million shekels.

The fashion and home fashion sectors were the main contributors, with revenues up 15.3% to 570 million shekels, offsetting the continued sales decline at Retailors. Retailors suffered from an 8.6% drop in same-store sales, mainly due to falling Nike brand sales globally. Terminal X’s sales grew 20.5% to 161 million shekels, benefiting from acquisitions and organic growth. Other sectors, including brands like Shilav, Saks, Flying Tiger, San Glass, and Jumbo, saw a 37.6% revenue increase to 434 million shekels.

Wizel addressed challenges in the Canadian market, where Fox Home closed eight stores and converted some to Flying Tiger outlets. He noted that while Mango in Canada is slightly profitable and Lalin is improving, Retailors continues to weigh on results. Nike’s expansion in Canada will be cautious due to global difficulties. Fox also holds the Jumbo franchise in Canada but is restructuring its Israeli Jumbo operations by shifting to smaller stores and streamlining supply chains to reduce costs.

Wizel emphasized the company’s financial strength and growth focus, acknowledging ongoing adjustments to improve profitability over the next two to three years. Regarding dividends, he stated that distributing 150 million shekels is prudent given political uncertainties ahead of elections.

Additionally, Fox appointed Oren Brent as its first Chief Data Officer to lead data, analytics, and AI initiatives aimed at operational efficiency. Brent previously founded and led Rise, an AI-based advertising platform.