6-K 1 zk1313076.htm 6-K zk1313076.htm


SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C.  20549
 
FORM 6-K
 
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
 
For the month of May 2013
 
G. WILLI-FOOD INTERNATIONAL LTD.
(Translation of registrant's name into English)
 
4 Nahal Harif St., Yavne, Israel 81106
(Address of principal executive offices)

 
Indicate by check mark whether registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
 
FORM 20-F x   FORM 40-F o
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):..........
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):............
 
Indicate by check mark whether registrant by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934:
 
YES o   NO x
 
If "YES" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):  82-________.
 
 
 

 

Attached hereto and incorporated by reference herein is a press release  issued by G. Willi-Food International Ltd. (“Registrant”) on May 8, 2013.
 
This report on Form 6-K is hereby incorporated by reference in the Registration Statements on Form F-3 (File No. 333-11848 and 333-138200) of the Registrant.
 
 
 

 

SIGNATURES
 
In accordance with the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized.
 
 
G. WILLI-FOOD INTERNATIONAL LTD.
 
       
Dated:  May 8, 2013
By:
/s/ Raviv Segal
 
   
Name:  Raviv Segal
 
   
Title:  Chief Financial Officer
 
 
 
 

 
 
 
 
 
FOR IMMEDIATE RELEASE

G. WILLI-FOOD REPORTS Q1 2013 OPERATING PROFIT UP 94% FROM Q1 2012

2013 Q1 Sales up 23% over 2012 Q1 Sales; 2013 Q1 Gross Profit up 36% over Q1 2012 Gross Profit

YAVNE, Israel – May 8, 2013 -- G. Willi-Food International Ltd. (NASDAQ: WILC) (the “Company” or “Willi-Food”), a global company specializing in the development, marketing and international distribution of kosher foods, today announced its unaudited financial results for the first quarter ended March 31, 2013.

First Quarter Fiscal 2013 Highlights
 
 
·
Sales increased 23.0% from first quarter of 2012 to NIS 90.6 million (US$ 24.8 million)
 
·
Gross profit increased 36.4% from first quarter of 2012 to NIS 21.4 million (US$ 5.9 million), or 23.6% of sales
 
·
Operating income increased 94.2% from first quarter of 2012 to NIS 9.2 million (US$ 2.5 million), or 10.1% of sales
 
·
Net income increased 70.8% from first quarter of 2012 to NIS 8.3 million (US$ 2.3 million), or 9.1% of sales
 
·
Earning per share of NIS 0.64 (US$ 0.18) compared to earning per share of NIS 0.37 (US$ 0.10) in the first quarter of 2012
 
·
Cash and securities balance (net of short-term bank debt) of NIS 196.5 million (US$ 53.9 million) as of March 31, 2013

Willi-Food’s operating divisions include Willi-Food, a distributor of a broad variety of kosher foods, and its wholly-owned Gold Frost, a designer, developer and distributor of branded kosher innovative dairy food products.
 
First Quarter Fiscal 2013 Summary
 
Sales for the first quarter of 2013 increased by 23.0% to NIS 90.6 million (US$ 24.8 million) from NIS 73.7 million (US$ 20.2 million) recorded in the first quarter of 2012. Sales increased in the first quarter of 2013 primarily due to the introduction of new products in recent quarters and increased sales and promotion activities initiated during the first quarter of 2013.
 
Gross profit for the first quarter of 2013 increased by 36.4% to NIS 21.4 million (US$ 5.9 million) compared to NIS 15.7 million (US$ 4.3 million) recorded in the first quarter of 2012. First quarter gross margin was 23.6% compared to gross margin of 21.3% for the same period in 2012. The increase in gross margin in the first quarter of 2013 was primarily due to the introduction of new higher-margin products in recent quarters, increased sales of existing higher-margin products and the strengthening of the NIS versus the U.S. dollar and Euro. In addition, gross margins in the first quarter of 2012 were affected by a national protest against the cost of food products that resulted in price reductions of certain products. There was no comparable price pressure in the first quarter of 2013.
 
Willi-Food’s operating income for the first quarter of 2013 increased by 94.2% to NIS 9.2 million (US$ 2.5 million) compared to NIS 4.7 million (US$ 1.3 million) recorded in the first quarter of 2012. Selling expenses increased by 9.4% from the comparable quarter of 2012, primarily due to an increase in promotion expenses as well as vehicles and transport expenses, which increased due to the incremental increase in sales. Selling expenses as a percentage of sales decreased in the first quarter of 2013 to 8.3% compared to 9.4% in the first quarter of 2012. General and administrative expenses increased by 13.4% from the first quarter of 2012, primarily due to an increase in management profit-related bonuses. General and administrative expenses as a percentage of sales decreased in the first quarter of 2013 to 5.2% from 5.6% in the first quarter of 2012.
 
 
 

 
 
Willi-Food’s income before taxes for the first quarter of 2013 increased by 66.7% to NIS 10.9 million (US$ 3.0 million) compared to NIS 6.6 million (US$ 1.8 million) recorded in the first quarter of 2012.
 
Willi-Food's net income in the first quarter of 2013 increased by 70.8% to NIS 8.3 million (US$ 2.3 million), or NIS 0.64 (US$ 0.18) per share, from NIS 4.8 million (US$ 1.3 million), or NIS 0.37 (US$ 0.10) per share, recorded in the first quarter of 2012.
 
Willi-Food ended the first quarter of 2013 with NIS 196.5 million (US$ 53.9 million) in cash and securities net from short-term debt. Willi-Food's shareholders' equity at the end of March 2013 was NIS 342.1 million (US$ 93.8 million).
 
Business Outlook

Mr. Zwi Williger, Chairman of Willi-Food commented, “We are very pleased to report another robust quarter with strong organic sales growth of 23 percent and operating income up 94 percent. We achieved these results by continuing to expand sales volume of our higher-margin products to new and existing customers. With sales increases in all of our business segments, we were able to achieve one of the highest quarterly sales and operating profit in the Company’s history.  As we see consumer demand for kosher foods continuing to increase, we believe that our strategy to introduce higher-margin products targeted to health-conscious and kosher consumers is paying off, and we look forward to additional growth and high margins for the remainder of 2013.”
 
Mr. Williger continued, “The expansion of our kosher product line in recent quarters has included different kinds of cheeses (such as monchego, mozzarella, emmental, and iberico), a new line of ice-cream, frozen pizza, frozen pastries, freeze dried instant coffee and a new line of Del-Monte products. These and other new great-tasting, higher margin food products, developed together with our suppliers, have enabled us to deliver increased sales and improved margins. Moreover, we are able to differentiate our company through our success by becoming a high margin business in a low margin industry. We expect to launch additional new products in the remainder of 2013.”

Mr. Williger added, “In addition, we have expanded our sales of existing products, many of which were introduced over the last few years, thanks in part to our continued promotion and hard sale activities, which we believe create broad consumer awareness of our new and existing products and expand our customer base.  While increasing sales of both new and existing products, we have also controlled our SG&A expense growth, contributing to our profitability.”
 
“We believe that our strategy has proven successful,” concluded Mr. Williger.  “Willi-Food is meeting the growing demand for innovative kosher products by both kosher and health-conscious consumers.  We do not intend to rest on our success, however.  Rather, we intend to reinvest in innovation in order to mazimize our profitability and create additional long-term value for our shareholders.”

Conference Call

The Company will host a conference call to discuss results on Wednesday, May 8, 2013 at 11:00 AM Eastern time. Interested parties may participate in the conference call by dialing 1-877-941-8418 (US), or 1-480-629-9809 (International), approximately 10 minutes prior to the scheduled start time. Interested parties can also listen via a live Internet webcast, which will be available on the day of the call through the following link:
 
http://public.viavid.com/index.php?id=104634

A replay of the conference call will be available for 14 days from 2:00 PM Eastern time on May 8, 2013 through 11:59 PM Eastern time on May 22, 2013 by dialing 1-877-870-5117 (US), or 1-858-384-5517 (International), access code 4617957.  In addition, a recording of the call will be available via the following link for one year:
 
http://public.viavid.com/reports/eventparticipantreporttab.php?id=o5ampZqb
 
 
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NOTE A: Convenience Translation to Dollars
The convenience translation of New Israeli Shekels (NIS) into U.S. dollars was made at the rate of exchange prevailing on March 31, 2013, U.S. $1.00 equals NIS 3.648. The translation was made solely for the convenience of the reader.

NOTE B: IFRS
The Company’s consolidated financial results for the three-month ended March 31, 2013 are presented in accordance with International Financial Reporting Standards (“IFRS”).

ABOUT G. WILLI-FOOD INTERNATIONAL LTD.
 
G. Willi-Food International Ltd. (http://www.willi-food.com) is an Israeli-based company specializing in high-quality, great-tasting kosher food products. Willi-Food is engaged directly and through its subsidiaries in the design, import, marketing and distribution of over 600 food products worldwide. As one of Israel's leading food importers, Willi-Food markets and sells its food products to over 1,500 customers in Israel and around the world including large retail and private supermarket chains, wholesalers and institutional consumers. The company's operating divisions include Willi-Food in Israel and Gold Frost, a wholly owned subsidiary who designs, develops and distributes branded kosher, dairy-food products.
 
This press release contains forward-looking statements within the meaning of safe harbor provisions of the Private Securities Litigation Reform Act of 1995 relating to future events or our future performance, such as statements regarding trends, demand for our products and expected sales, operating results, and earnings. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied in those forward-looking statements. These risks and other factors include but are not limited to: monetary risks including changes in marketable securities or changes in currency exchange rates- especially the NIS/U.S. Dollar exchange rate, payment default by any of our major clients, the loss of one of more of our key personnel, changes in laws and regulations, including those relating to the food distribution industry, and inability to meet and maintain regulatory qualifications and approvals for our products, termination of arrangements with our suppliers, in particular Arla Foods, loss of one or more of our principal clients, increase or decrease in global purchase prices of food products, increasing levels of competition in Israel and other markets in which we do business, changes in economic conditions in Israel, including in particular economic conditions in the Company's core markets, our inability to accurately predict consumption of our products and changes in consumer preferences, our inability to protect our intellectual property rights, our inability to successfully integrate our recent acquisitions, insurance coverage not sufficient enough to cover losses of product liability claims and risks associated with product liability claims. We cannot guarantee future results, levels of activity, performance or achievements. The matters discussed in this press release also involve risks and uncertainties summarized under the heading "Risk Factors" in the Company's Annual Report on Form 20-F for the year ended December 31, 2012, filed with the Securities and Exchange Commission on April 30, 2013. These factors are updated from time to time through the filing of reports and registration statements with the Securities and Exchange Commission. We do not assume any obligation to update the forward-looking information contained in this press release.
 
{FINANCIAL TABLES TO FOLLOW}
 
 
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G. WILLI-FOOD INTERNATIONAL LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS

   
March 31,
   
December 31,
   
March 31,
   
December 31,
 
   
2 0 1 3
   
2 0 1 2
   
2 0 1 3
   
2 0 1 2
 
   
NIS
   
US dollars (*)
 
   
(in thousands)
 
ASSETS
                       
                         
Current assets
                       
Cash and cash equivalents
    59,643       57,563       16,350       15,779  
Financial assets carried at fair value through profit or loss
    136,835       158,810       37,510       43,533  
Trade receivables
    83,958       71,340       23,015       19,556  
Other receivables and prepaid expenses
    2,175       5,988       596       1,641  
Inventories
    43,792       49,270       12,004       13,506  
Total current assets
    326,403       342,971       89,475       94,015  
                                 
Non-current assets
                               
Property, plant and equipment
    64,563       63,022       17,698       17,276  
Less -Accumulated depreciation
    22,268       21,394       6,104       5,865  
      42,295       41,628       11,594       11,411  
                                 
Other receivables and prepaid expenses
    507       62       139       19  
Goodwill
    36       36       10       10  
Deferred taxes
    245       20       67       5  
Total non-current assets
    43,083       41,746       11,810       11,445  
      369,486       384,717       101,285       105,460  
                                 
EQUITY AND LIABILITIES
                               
                                 
Current liabilities
                               
Short-term bank debt
    19       9,930       5       2,722  
Trade payables
    18,359       27,268       5,033       7,475  
Employees Benefits
    1,761       1,659       483       455  
Accruals
    -       3,446       -       945  
Current tax liabilities
    1,937       2,117       531       580  
Other payables and accrued expenses
    4,766       5,955       1,307       1,632  
Total current liabilities
    26,842       50,375       7,359       13,809  
                                 
Non-current liabilities
                               
Employees Benefits
    581       581       159       159  
Total non-current liabilities
    581       581       159       159  
                                 
Shareholders' equity
                               
Share capital NIS 0.10 par value (authorized -
  50,000,000 shares, issued and outstanding -
  12,974,245  shares at March 31, 2013;
  (12,974,245 shares at December 31, 2012)
    1,444       1,444       396       396  
Additional paid in capital
    129,902       129,897       35,609       35,608  
Capital fund
    247       247       68       68  
Foreign currency translation reserve
    686       639       188       175  
Treasury shares
    (10,843 )     (10,843 )     (2,972 )     (2,972 )
Retained earnings
    220,627       212,377       60,479       58,217  
      342,063       333,761       93,767       91,492  
      369,486       384,717       101,285       105,460  
 
(*)           Convenience translation into U.S. dollars
 
 
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G. WILLI-FOOD INTERNATIONAL LTD.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
 
   
Three months ended March 31,
 
   
2 0 1 3
   
2 0 1 2
   
2 0 1 3
   
2 0 1 2
 
   
NIS
   
US dollars (*)
 
   
(in thousands, except per share and share data)
 
                         
Sales
    90,585       73,651       24,831       20,189  
Cost of sales
    69,196       57,975       18,968       15,892  
                                 
Gross profit
    21,389       15,676       5,863       4,297  
                                 
Selling expenses
    7,542       6,897       2,067       1,891  
General and administrative expenses
    4,668       4,120       1,280       1,129  
Other Income
    -       (66 )     -       (18 )
                                 
Total operating expenses
    12,210       10,951       3,347       3,002  
                                 
Operating income
    9,179       4,725       2,516       1,295  
                                 
Financial income
    2,639       2,014       723       552  
Financial expense
    898       188       246       52  
                                 
Income before taxes on income
    10,920       6,551       2,993       1,795  
                                 
Taxes on income
    2,670       1,723       731       472  
                                 
Profit for the period
    8,250       4,828       2,262       1,323  
                                 
Earnings per share data:
                               
Earnings per share:
                               
                                 
Earnings per share
                               
                                 
Basic earnings per share
    0.64       0.37       0.18       0.10  
                                 
Diluted earnings per share
    0.64       0.37       0.18       0.10  
                                 
Shares used in computation of basic EPS
    12,974,245       12,987,367       12,974,245       12,987,367  

(*)
Convenience translation into U.S. dollars
 
 
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G. WILLI-FOOD INTERNATIONAL LTD.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
 
   
Three months ended March 31,
 
   
2 0 1 3
   
2 0 1 2
   
2 0 1 3
   
2 0 1 2
 
   
NIS
   
US dollars (*)
 
   
(in thousands)
 
                         
Cash flows - operating activities
                       
Profit from continuing operations
    8,250       4,828       2,262       1,323  
Adjustments to reconcile net income to net cash
  from continuing operating activities
  (Appendix)
    (14,963 )     (19,793 )     (4,101 )     (5,426 )
                                 
Net cash used in continuing operating activities
    (6,713 )     (14,965 )     (1,839 )     (4,103 )
                                 
Net cash from discontinuing operating activities
    -       -       -       -  
                                 
Cash flows - investing activities
                               
Acquisition of property plant and equipment
    (4,395 )     (281 )     (1,205 )     (77 )
Additions to long term other receivables
    (445 )     -       (122 )     -  
Proceeds from purchase of marketable securities, net
    23,544       7,639       6,454       2,094  
                                 
Net cash from continuing investing activities
    18,704       7,358       5,127       2,017  
                                 
Net cash from discontinued investing activities
    -       13,500       -       3,701  
                                 
Cash flows - financing activities
                               
Investment in treasury stocks
    -       (702 )     -       (192 )
Short-term bank credit, net
    (9,911 )     -       (2,717 )     -  
                                 
Net cash used in continuing financing activities
    (9,911 )     (702 )     (2,717 )     (192 )
Net cash from discontinued financing activities
    -       -       -       -  
                                 
Increase  in cash and cash equivalents
    2,080       5,191       571       1,423  
                                 
Cash and cash equivalents  at the beginning of the financial year
    57,563       34,661       15,779       9,501  
                                 
Cash and cash equivalents of the end of the financial year
    59,643       39,852       16,350       10,924  

(*)           Convenience Translation into U.S. Dollars.
 
 
6

 
 
G. WILLI-FOOD INTERNATIONAL LTD.
APPENDIX TO CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

Adjustments to reconcile net income to net cash from operating activities
 
   
Three months ended March 31,
 
   
2 0 1 3
   
2 0 1 2
   
2 0 1 3
   
2 0 1 2
 
   
NIS
   
US dollars (*)
 
   
(in thousands)
 
                         
Deferred income taxes
    (225 )     187       (62 )     51  
Unrealized loss gain on marketable securities
    (1,569 )     (868 )     (430 )     (238 )
Depreciation and amortization
    1,011       873       277       239  
Capital gain on disposal of property
    -       (66 )     -       (18 )
Employees benefit, net
    -       123       -       34  
Stock based compensation reserve
    5       37       1       10  
                                 
Changes in assets and liabilities:
                               
Increase in trade receivables and other receivables
    (9,565 )     (17,114 )     (2,622 )     (4,691 )
Decrease (increase) in inventories
    5,478       (1,520 )     1,503       (417 )
Increase in trade and other payables, and other current liabilities
    (10,098 )     (1,445 )     (2,768 )     (396 )
                                 
      (14,963 )     (19,793 )     (4,101 )     (5,426 )

(*)           Convenience Translation into U.S. Dollars.

This information is intended to be reviewed in conjunction with the Company’s filings with the Securities and Exchange Commission.
 
 
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Company Contact:
 
G. Willi Food International Ltd.
Raviv Segal, CFO
 (+972) 8-932-1000
raviv@willi-food.co.il

###

SOURCE: G. Willi-Food International Ltd.
 
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