Mekorot posts profits of NIS 386m.

A breakdown of all water sector data indicates that the supply of water by Mekorot increased to approximately 1,800 million cubic meters in 2021 from approximately 1,650 cubic meters in 2020.

 President Isaac Herzog launching Mekorot's new water supply system for Jerusalem on February 10, 2022 (photo credit: AMOS BEN-GERSHOM/GPO)
President Isaac Herzog launching Mekorot's new water supply system for Jerusalem on February 10, 2022
(photo credit: AMOS BEN-GERSHOM/GPO)

Mekorot, Israel’s national water company posted a net profit of NIS 386 million in 2021, according to its financial statement published on  Tuesday. That’s up from a net profit of approximately NIS 209m. in 2020.

The company posted a net profit of approximately NIS 206m. in the 4th quarter of 2021, compared with a net profit of approximately NIS 61 million in the corresponding quarter of 2020.

A breakdown of all water sector data indicates that the supply of water by Mekorot increased from 1,650 cubic meters in 2020 to 1,800 million cubic meters in 2021, an increase of 8.2%.

The figure includes approximately 184 m.cu.m of water supplied to the Kingdom of Jordan and the Palestinian Authority, an increase of 29% over 2020.

A breakdown of operating sectors indicates that household water consumption totaled approximately 1,033 m.cu.m. in 2021, an increase of 6.25% over 2020 and that agriculture water consumption totaled 760 m.cu.m meters in 2021, an increase of 11%.

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

The company’s results indicate that revenue totaled some NIS 5.1 billion in 2021, an increase of 8% compared with the revenue of NIS 4.7b. in 2020.

The cost of sales and labor was almost unchanged at approximately NIS 4b., resulting in a gross profit of NIS 1.06 b. in 2021, an increase of about 45% compared with 2020.

Operating profit also rose, totaling approximately NIS 916 m. in 2021 compared with NIS 658 million in 2020, an increase of about 40%. The company also reported an improvement in the reduced value of the Ashdod desalination plant of approximately NIS 186 million.

Mekorot chairman Yitzhal Aharonovich said, “Despite the COVID restrictions, Mekorot continues to show steady improvement in its financial results. The climate crisis and consumption challenges necessitate long-term development of the water sector.”

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