Africa-Israel Investments Ltd. (TASE:AFIL; Pink Sheets:AFIVY) today published its financial report for the third quarter of 2006. The company posted a net profit of NIS 118 million, compared with NIS 215 million for the corresponding quarter of 2005. The company posted a net profit of NIS 432 million in January-September, compared with NIS 519 million for the corresponding period of last year.
Africa-Israel posted a profit of NIS 133 million from construction, land deals and the sale of properties in the third quarter, compared with NIS 236 million in the corresponding quarter. The drop in this item affected all other items in the financials, despite higher profits from the company’s hotel management and property rental operations. The company posted a profit of NIS 558 million from construction, land deals and the sale of properties in January-September, compared with NIS 842 million in the corresponding period.
Africa-Israel’s net profit was also affected by profits from subsidiaries, which fell to NIS 27 million for the third quarter from NIS 133 million for the corresponding quarter. This decline was partly offset by NIS 52 million in capital gains in the third quarter, up from NIS 2 million in the corresponding quarter.
An example of the drop in profit from a subsidiary is Alon USA Energy Inc. (NYSE:ALJ), which fell to NIS 103 million in January-September from NIS 206 million in the corresponding period of last year.
Published by Globes [online], Israel business news - www.globes.co.il - on November 26, 2006
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