Mekorot records increase in revenue and net profit for first half of 2022

Second quarter profits were NIS 65 million, an increase of 23% compared with a net profit of NIS 53 million in the second quarter of 2021. 

Construction work carried out by EMS Mekorot  (photo credit: PR)
Construction work carried out by EMS Mekorot
(photo credit: PR)

Mekorot, Israel's national water company, published its financial statements for the first half of 2022 yesterday, which showed that the company recorded a net profit of NIS 140 million, compared with a net profit of NIS 133 million in the corresponding period last year, an increase of 5%.

Second quarter profits were NIS 65 million, an increase of 23% compared with a net profit of NIS 53 million in the second quarter of 2021. 

What was the total revenue? 

Total revenue for the first half of 2022 amounted to NIS 2.3 billion, an increase of 3% compared to total revenue in the corresponding median last year. Most of the increase is attributed to an increase in the collection from private water producers. 

A breakdown of national consumption data shows that during the reporting period, there was a decline of 13 percent in total water consumption in the agricultural sector, while water consumption in the household sector increased in the first quarter of the year at a rate of 4 percent.

 Mekorot CEO Amit Lang. (credit: MEKOROT) Mekorot CEO Amit Lang. (credit: MEKOROT)

A summary of the data for the first half of the year shows that total water consumption amounted to about 800 million cubic meters, compared with a total consumption of about 825 million cubic meters, a weighted decline of about 3 percent.

At the same time, the supply of water to the Palestinian Authority and Jordan increased by about 25% compared to the first half of 2021 and the first half of 2022, from about 77 to about 96 million cubic meters. 

Amit Lang, Mekorot CEO, said: "Water is not a given, and Mekorot continues to promote its development programs for both domestic and foreign consumers, alongside expanding operations abroad, while focusing on innovation and assimilation of new technologies from the worlds of start-up companies operating in Israel." 

"Water is not a given, and Mekorot continues to promote its development programs for both domestic and foreign consumers, alongside expanding operations abroad, while focusing on innovation and assimilation of new technologies from the worlds of start-up companies operating in Israel."

Amit Lang, Mekorot CEO

Chairman of the Board Yitzhak Aharonovich added: "Mekorot is working around the clock to provide the residents of the country and its neighbors with high-quality water. The company intends to continue marketing its capabilities to foreign countries in order to bring solutions to the water source shortage that has been documented in our region over the past year."