IPO costs cut into Tidhar’s Q2 profit

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Despite the weakness in the real estate market, property developer Tidhar Group (TASE: TDHR) enjoyed an increase in its operating volume in the second quarter - its first quarter as a publicly traded company. However, IPO costs of NIS 75 million meant a major fall in profit for the company, led by CEO Uri Levin.

Tidhar's revenue was NIS 754 million in the second quarter, up 4% from the corresponding quarter of 2025. In the first half of 2026, revenue NIS 1.5 billion, up 4.5% from the corresponding period last year, due to recognition of revenue from projects in progress and the sale of new apartments.

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During the first half, Tidhar sold 294 units for NIS 433 million, compared with 239 units in the corresponding period last year. However, the average price of a unit fell during the first half by NIS 900,000 and was NIS 3.1 million.

Sharp fall in profit

Tidhar reported net profit of NIS 5 million, down over 90% compared with a profit of NIS 68 million in the corresponding quarter last year. In the first half, net profit was NIS 70.3 million, down 20% from the corresponding period last year. Behind the drop are extraordinary IPO expenses of NIS 75 million, which resulted from bonuses to employees of NIS 56 million, and grants of NIS 8 million to controlling shareholders.

Excluding one-time expenses, the company recorded an adjusted net profit of NIS 144 million in the second quarter, up 36% from the corresponding quarter last year. In the first half, adjusted net profit was NIS 73 million, down 5% from the corresponding period last year.

Levin said, "The excellent results we are presenting today highlight the strength of Tidhar, the strength of the business model and the significant growth potential of the group. Tidhar continues to grow, even in challenging times, due to the combination of the various sectors - development, construction and income-producing, control of the entire value chain and the strength of each of the sectors."

Tidhar is one of Israel’s biggest real estate companies, with construction, development and management arms and income producing assets. In June, the company completed an IPO on the TASE at a company valuation of NIS 7.8 billion. Since the IPO, the company's shares, which are controlled by Gil Geva, Mark Weissman and Arie Bachar (59% of the capital), have fallen 11% and are traded at a market cap of about NIS 7 billion.

Published by Globes, Israel business news - en.globes.co.il - on August 24, 2026.