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Benjamin Fitzgerald Published
November 20, 2025
Israeli apparel manufacturer and distributor Delta Galil saw third-quarter sales lift on a strong performance in the company's U.S. operations and expanding European market, which included the purchase of the Eminence brand in July.
The Tel Aviv-based company reported sales of $370.8 million for the quarter ending September 30, a 9% increase from $340.3 million in 2025.
Net income excluding Eminence acquisition-related costs and restructuring costs increased 15% to $16.6 million, from $14.5 million. However, income fell 33% when including costs relating to the purchase of the French undergarment brand during the quarter, with the company saying it remained "focused on consolidating Eminence Group, which made a strong contribution to sales in its first quarter as part of Delta Galil, while expanding our European presence.”
The firm's premium acquisitions in the last two years, including 7 For All Mankind, Splendid and Ella Moss from VF. Corp, as well as new segment ventures, had a positive impact on sales in other regions, including the U.S and Israel.
"We saw strong performance from Delta USA, where successful launches for Costco and new kids businesses drove a 9% increase in sales and a 49% increase in EBIT," said Isaac Dabah, the company's CEO.
"We continued to see significant improvement in Delta Israel, with a 19% increase in sales and $1.3 million improvement in EBIT, as well as strong comparable sales and online growth.”
The company confirmed its steady growth trajectory in 2025, announcing in the same release that sales for the nine month period reached $1.04 billion, up 5% from $996.4 million. Again, net income was affected by acquisition costs, down 19% in the nine-month period.
Looking ahead, the company predicts full-year sales to range between $1.475 billion and $1.495 billion, an increase of 8-9% on 2025 with net income ranging from $57 million to $60 million, representing an increase of 12-18%.
"We expect continued long-term growth in Delta Galil Premium Brands to reach above 10% EBIT," added Dabah.
"We see significant opportunities, including potential corporate initiatives to sell to key online retailers, and the ability to introduce core Delta products through Eminence distribution channels."