Gad Dairy Reports 47% Profit Surge and Market Share Growth in Q2 2026

Gad Dairy announced a significant improvement in its financial results for the second quarter of 2026. The company's revenues increased by approximately 10% to around 210 million shekels, while net profit surged by about 47% to 17.1 million shekels. This strong profitability growth was primarily driven by the retail segment, where sales rose to 133.5 million shekels from 119.3 million shekels in the same period last year, and segment profit jumped to 13.5 million shekels from 8.8 million shekels.

The company attributed these gains to higher sales around the Shavuot holiday, organic growth, and improved raw material costs. Notably, a weaker euro saved Gad Dairy roughly 3.5 million shekels in the first half of the year, and a 5.15% reduction in the milk target price in June is expected to lower raw milk purchase costs by about 2.3 million shekels in Q3 compared to Q2. Due to these cost savings, Gad decided not to implement a planned 1.9% price increase on non-regulated products.

Beyond its core dairy products, Gad Dairy is expanding its portfolio. In April, it acquired a 51% stake in Weiler Farm for approximately 42.8 million shekels and began distributing its products in July. Additionally, the company launched Gad Feel, a new brand offering 11 dairy substitute products. By the end of June, Weiler contributed about 5.2 million shekels to revenues and 182,000 shekels to net profit, indicating that most of the quarterly improvement still came from Gad's existing operations.

According to StoreNext data, Gad's market share rose from 6.4% to 6.9%, reflecting its strengthened position in the market. The company’s stock price responded positively to the strong quarterly results.