חפש בקטלוג

54% rise since beginning of year, sales rose to NIS 274 million.

07/11/06

From: The Marker– 7 November 2006 
Omer Sharvit

 

The third quarter results of Scope Metals Trading and Technical Services Limited. (TASE: SCOP) explain why the company, controlled by general manager Shmuel Shiloh, has risen 54%, and why First Israel Mezzanine Investors Ltd. (FIMI) CEO Yishai Davidi invested NIS 156 million in the company. Scope, an importer and marketer of metals, almost tripled its quarterly net profit, and it is continuing to expand its activities overseas.
 
Scope Metal’s quarterly sales rose at an extraordinary rate of 80% to NIS 274 million. The company’s international activities already account for 35% of sales, and its target is for half of its sales to be made abroad. The jump in sales boosted net profit to NIS 28 million, compared with NIS 22 million for the second quarter and NIS 11 million for the corresponding quarter.
 
Scope Metals imports and markets a range of metal products that it package, store, and deliver to customers within 24 hours. The company has 4,000 customers in Israel and 120 overseas, as well as thousands of customers of its subsidiaries.
 
In February 2006, Scope Metals began operating in the United States through two subsidiaries, and it expects this activity to become an important part of its sales in the coming years. The company has also expanding its activity in the Czech Republic, and has rented warehouses in Romania and China.
 
Scope Metal’s shareholders’ equity rose strongly this year, reaching NIS 530 million at the end of September, compared with NIS 282 million at the end of the corresponding quarter. In March, the company raised NIS 30 million in a stock allocation to Magen and Makefet, and raised NIS 155 million in an allocation to FIMI. The two invested in the company at NIS 53.50 and NIS 55, respectively. Scope Metals is currently traded at NIS 77 per share. In addition to its paper profit, FIMI gets $120,000 per quarter for management services.