ICL Group Ltd

So, again, thank you for the invitation, and welcome to the next meeting, the Zoom meeting of ICL for the third round of the Ravon Summit for the year 2025, and an update on the latest developments in corporate management. As with any conversation, you are invited to send it through the chat of the webinar. Anyone who would like to send it to me, or those who have financial problems, can send it directly to WhatsApp. If you want us to open the line, you have to sign on the handrail. With us today is Elad Aronson, President and CEO of the company, and Aviram Laav, CEO of Ksefim. Before I pass the conversation to Elad, I would like to point out that apart from historical data that has been published, all the data, excuse me, part of the data and the information that has been published in this conversation brings information to future viewers. The information is related to the Bonn Institute only. It is based on the recommendations of the administration and on the knowledge of the guest standing in front of the Institute of this conversation. Elad, please.

Thank you. Good morning to everyone. Thank you for joining us. We are happy to be here in the third quarter. Overall, in the country, we have had a quarter, I think, better. Weeks, most of them have returned. And we are looking forward to the return of the other space quarters. Here at ICL, we will take advantage of this meeting to talk about three things, beyond the results of the quarter, which of course we will share with you. We will also expand on the issue of the memorandum of understanding in relation to the Zikayon Yamamelach. And I will take this opportunity, after a few months in office, to also discuss with you the basics of the strategy as we discussed them. Then, I will say in advance, this meeting will be a little longer than usual. I would like you to stay with us until the end and, of course, we are waiting for your questions at the end. Okay, so we'll start with the third quarter, the quarter that ended. So, the company's prices ended at $1,853 billion, an increase of 6% compared to last year. Specialties Driven, the special products, the general company for the time being, the offshore activity also increased compared to last year, 4%, and an increase of 13% compared to, excuse me, In contrast to last year, we will talk about the 13% in relation to the loss. The special added loss amounted to $398 million. Here, there is an improvement of 13% in contrast to the previous quarter and 4% in contrast to last year. The added profit is $0.10, and the interest from the activity is $308 million. Shippur ka'al shel 40 milyon dolar, le'umat ha'riv'on sha'avar. Besach ha'kol, riv'on tov la'chevra, le'lo afta'ot miyohadot, pachot yoter kmo'a tzipiyot shel'anu. From here, I want to move on to the bonds, to the different sectors of activity, and I will start with the sector of our industrial products, which presented in this quarter an improvement in the EBITDA. The EBITDA increased by 67 million dollars, with a slight decrease in prices, in contrast to the current quarter last year. The prices of the Brom have increased, they have increased also compared to the previous price. When we look at the field of bee colonies, here we see slightly mixed results. Bee colonies that are native to Zarchan have flourished and grown. On the other hand, bee colonies that are native to Brom have shown less good results. This is mainly due to the weakness in the edge market of construction and mining, which bee colonies native to Brom, among other things, contribute to. That's it. The area of the pipeline for the production of oil and gas was in order. We had a strong reputation in the area of the special minerals, mainly in what serves the end of the food market, and we will talk about the food later. So that's about this initiative. From here, I will move on to the inflation rate. The inflation rate showed prices of $453 million, mainly thanks to an increase in the fixed price of the inflation rate of $353.00 per ton, in contrast to $333.00 in the previous quarter and $297.00 in the consecutive quarter last year. Maybe the happiest thing, I think, in the activity of our coast area is the beautiful improvement in the amount of production. I talked about it in the previous report. We had difficulties there at the beginning of the year, and in this report we can already see the rise and the stagnation, both on our website in Yam Amelach and on the website in Sefarad. In this sense, this is very encouraging. I want, excuse me, from here, I want to pause for a moment in the brief discussion and address a topic that many of you have responded to in a certain way. On the last Thursday, we published the basic document signed with the state on the issue of the sea of salt. In the end, I will say that we see this basic document as something positive and as such that creates certainty and clarity for the long term, allows the society to carefully evaluate the end of the fiscal year 2030 and, in our opinion, will also improve the status of the future declaration. Look, as with any significant event, even in the current situation, at the end of the election, there are relevant alternatives. And I will try to explain our assumptions a little. I assume that everyone knows that the state is planning to call for an audit, and has already issued its position, also in a letter, that it is interested in going to a declaration, and that it also intends to focus on transferring the assets of the property to its owner at the end of the property period, as stated in the law. According to the law, for our society, there are two main rights. One is the right to advance, which we also call the right to exchange, and the other is to receive compensation for the loss of the property. As soon as the state progresses with its responsibility for the future resolution, when it is under great pressure to improve the status quo, we have seen that it is right to reach high-level agreements in the face of complex divisions, and to avoid a situation in which the state is focused on one-sided moves for many changes to be made. And I will say already here, this is not some theoretical or science fiction statement, this is what it is about. If we were to insist on the right to advance, in addition to dealing with legal procedures imposed against the state, which does not have any certainty about their results, we estimate that what would happen is that the conditions of the future economy would eventually be more severe afterwards, and the assumption would be that we would stand alone. In fact, in this context, the state did not have any real incentive to create protective and logical economic conditions. At the moment, when the declaration is open to everyone, in our opinion, this step will lead to much more attractive economic conditions. In addition, we have created certainty for the acceptance of a value of about $2.54 billion. On this, we need to add hundreds of millions of dollars to the budget of the project. In total, without being forced, we are talking about something in the area of $3 billion. Not less important, we also created certainty in relation to the acceptance of these funds. Regardless of the basis documents, as long as we were in a state split, the assets would be transferred to the government according to law and without us receiving full compensation in their debt, and you can ask what this does to society's investors. Such a situation would cause us to take long legal procedures, whose outcome is unknown, and in a way that greatly affects the financial and business certainty required for the management of society. One point that is important for me to follow up on, because there were a few other publications, so I want to be very clear about this. Agreements on the property tax are not expected to have a significant impact on the financial results of the society. In other words, the tax in the books is not significantly different from what was agreed upon. Those who are a little confused with this, or do not understand it that way, I am already making an exception and making it clear now. It is important to remember that we have been operating in the field for more than 100 years and know it in a deeper way than any other source. We hold a solid knowledge, practical medical experience, and a deep understanding of the area. Over the years, we have built a huge medical and logistical system, not only in Israel, which serves and maximizes the proven profitability of the industry, starting with advanced research and development, leading industries, in the desert and in the sea, a network of customers based in Israel and the world. Moreover, and perhaps not less important, we know how to manage the saltwater products in a synergistic and unique way with our additional activities. Thus, in the midst of competition, these advantages represent us as owners of a guaranteed ability to deal with the challenges and unique and complex risks in managing this type of economy, including many medical, business, engineering, geological and environmental challenges. I would like to say something in a broader context regarding the competition. I assume that the state also wants an economy based on natural resources that belongs to the Israeli public to be operated by an Israeli society and under Israeli ownership. This is the sentiment in the Israeli public and it can be understood. I also assume that national security measures will be taken into account when it comes to national security and a site that covers dozens of kilometers of complex border. And believe me, it is very complex. In addition, it is clear that the Zakiyan must be strong and financially stable and operational, in such a way that it will provide business certainty to thousands of the residents of the Negev for decades to come. This is the time of the Zakiyan that is being discussed. Very few Israeli companies, if at all, have proven experience in such trends. In the bottom line, we have targeted a chain of head-on agreements on the part of divided and extended legal processes and one-sided moves on the part of the State that are likely to harm our rights. In addition, we have increased the chances of more robust and balanced conditions for the future economy, on the part of comprehensive conditions intended for a society that is alone. Therefore, in our view, the society is more likely to have the highest chances of being the owner of the future economy and to produce from it the wide economic competitiveness compared to other potential competitors. All of this, of course, in the hope that the new economic conditions will be economic. So until then, on this subject, of course, I would be happy to take questions at the end of the presentation. From here, I will return for a moment to the brief discussion and move on to our next letter, the resolution of the phosphate. This letter was also a good review, an increase. In terms of prices, at $605 million, which is 5% higher than last year, prices have increased due to higher quantities in the specialties category and higher prices in the commodities category. The EBITDA fell slightly compared to last year. The main reason for this is an increase in raw materials, in raw materials prices, and mainly a significant increase in wheat prices, which may have been one of the main things that occurred in the field of raw materials in the current quarter, and will continue with us in the fourth quarter. Phosphate solutions for food. Phosphate farmers have registered their strong desire for it for two years, and this is in continuation of our strategic implementation in the food sector, and I will also elaborate on this later. Regarding the activities in China, in the Joint Venture in YPH, all in all, good requests and good prices, including an increase in the request for waste materials, a sector that we will continue to play in, also in the future. So that's about this offer. And the last offer, the growing solutions offer, so here as well, good growth in terms of prices, an increase of 4% in the top line versus a decline, with a very clear strategic focus on global solutions that are specific to customers according to the location. The main thing that will affect profitability in this quarter is Brazil. The third quarter, in terms of agriculture, is the strong quarter in the southern part of the country, and within that is the Brazilian market, which we are very strong in. The Brazilian market suffers from a lot of pressure, also high market levels. There are also some weak yields in the world of soy, and in general, the farmers' affordability this year is relatively weak in Brazil, and this may have been the main parameter that affected the results of this trade. On the other hand, in North America and in Europe, we continue to see growth and improvement in profitability. In Europe, this is mostly due to a change in the portfolio mix, something that we are working on in terms of the strategy, more special products, bio-stimulants, CRFs, and less other products, such as polysulfate from Bulby, and things like that. So, regarding the results of this bid, I have summarized all the bids, and here I will pass the microphone to Aviram to talk about the financial results.

Thank you very much, Elad. I am very short today. As you saw, the review is definitely a good review. And I will continue, again, I will return the talk to Elad and he will explain the previous strategy. Anyway, let's clean up the review. A few things that are worth looking at them really briefly. It's about the business environment of the company. And we mentioned here things that went up, went down. When it's green, it's good. When it's red, it's just not good. If we look first of all at macro-global data, inflation is most common in the world in the decline trend. Every geographical area with its story is definitely helpful. מבחינת היצור התעשייתי, סליחה, הגלובלי, הוא נמצא בירידה, וזה כמובן חדשות פחות טובות, תסתכלו ימין-שמאל על חברות תעשייתיות גלובליות, זאת לא סביבה עסקית מיטבית, היא לא גרועה במיוחד, אבל היא גם לא טובה במיוחד, היא ממותנת. In terms of construction, we know that in the United States we are in decline. Even in other places, they are not in their peak. If we look at the macro data of the textile industry, we see the next things that affect it. The prices of raw materials are in decline, and of course, this is not good. The sentiment of farmers, we talked about this in the past, is not as good as the prices of commodities. They are on the rise in our areas, and that is of course excellent for us. In terms of global leadership, there are various influences on us. They are on a certain level, probably not for a long time. If we look at other things, again, that affect us, in terms of the gross price in China, Elad talked about it, it also comes directly from our strategy, they are on the rise. In terms of goods in the US, they are on the rise, and it definitely helps us. And in terms of the trade of food services, global food, they are on the rise, and so are the US. In short, if we look at this slide, we will talk about the increase in prices, and in the next slide, we will talk about the increase in demand. We see that on the left-hand side, we have increased our prices, and we have increased, in fact, in all areas of our activity, briefly, in industrial products. Here, it comes directly from our strategy to prefer what we define as value over volume. If we look at the right side of the slide, we see the three components that make up the increase in prices. This is the inflow of prices, the price, and the rest of the alternatives. We see that in terms of price, We'll see you next time. foreign foreign We increased the estimate from $383 million to $398 million. The next rise from the tidal wave, which Elad referred to earlier, and against the other waves, in the Abida context, we are at a certain decrease in revenue. If we look at the right side of the slide, actually at the increase in the different components that comprise it, we see this. We see a significant positive trend of price, we talked about it earlier, we saw it in prices, This is a crop that goes straight from the price line to profit. And on the other hand, its natural interrelationship is the increase in crop materials, the increase in crop materials, when the main component here is wheat. But in the end, if we take the increase in price and clean the crop material crop, we are still positive. As for the other alternatives, this is another big impact. Here we see, we saw in the prices that it is upside down here, it is exactly the opposite, and the reason is of course the relative strength of the shekel. Other coins, after all, are less neutral. We see the impact of the inflow, and we see a number of other impacts, but overall, in the bottom row, we see indeed that the growth of the company is growing, while Rivaol is continuing to plummet. And I will close this very short part of mine, and I will say this, in terms of the financial capabilities of the company, if we look at the net share of EBITDA, we are at a very comfortable ratio of 1.4. We have ordered assets and the ability to carry significant amounts of more than 1.5 billion dollars. I want to say, and this will connect you to the rest of the presentation today, which I will return to later and explain the previous strategy, We have clear capabilities to implement this strategy. In terms of the operational and clinical applicants, the revenue was over $300 million. And in terms of the dividend, we of course continue to pay about 50% of the huge profit combined with the revenue as a dividend to the investors. and that turns our yield, our dividend yield, to a little less than 3%. So those are the basics, and I'll return it to Elad. We have the guidance, maybe you'll discuss it in detail, and we'll move on from there. Thank you very much.

Thank you very much, Aviram. Yes, just to complete the general discussion, so regarding the guidance, in fact, there is no change. We are still seeing that the activity sector, which is not a share, especially if it's driven, The EBITDA will be in the areas between $950 million to $1.15 billion. In terms of the price of the asset, as we established in the previous quarter, between 4.3 to 4.5 million tons. In short, no change in the guidance. So, until here, on the subject of the universal discussion and also a little reference to the subject of the understanding with the product, and from here we have a moment to pass and open the picture to a slightly wider and more advanced view. I have been in office for eight months now, and some of the last months, together with the team here and with external advisors, we have actually looked at the company's strategy, and I would like to take this opportunity to share with you at least the basics, maybe later we will elaborate a little more, but at least the directions, as I promised in the previous meeting, and share with you where we are going and why. So before I get into the strategy itself, I will open by saying that in the world we are in, there are several megatrends that affect more, or several global challenges that affect more, and we need to understand them and take them into account. One is the issue of food security. Food security, the population is constantly growing, The agricultural area is shrinking, or the same thing remains. There is drought, there is drought, and this whole world of reducing the value of food is something that challenges the entire industry. The other side of this is the approach to minerals. We have seen, especially in recent times, a surge of tension between the countries, between the powers, to approach minerals, to approach food. You saw this, for example, in the agreement that President Trump signed with Ukraine. to include there a part that concerns the minerals, the special minerals. You see this in the operation of China, in Africa, in other places. Even in the dialogue between the United States and China, this issue of minerals takes on a very significant place. In our areas, we see that China, from such investments, is reducing the release of phosphate, and there are many other things happening around this issue of access to minerals. And this connects me to the third challenge that I want to talk about, and I call it de-globalization. You all know that since World War II, there has been a phenomenon of globalization and some kind of harmonization in the economic market. We all understand that in recent years it has changed for all kinds of reasons. Each country looks more at itself, at itself together with its close allies. We see this in the policy of the American government. I want to say that I think that ICL is a great platform for these challenges, and I will try to explain why I think so. So if we start for a moment, this graph basically divides our activity into four parameters. If I start for a moment on the left side, the activity of the company, everything here according to data of 2024, is divided according to edge markets. And what you can see in the graph on the leftmost part of the graph, that our activity that works against increasing the value of the food is about 70% of the activity. This includes the commodities, the special commodities, and also our activity in food stores, which is part of the 14% that appears there. All in all, a standard of 65-70, sometimes more, percent of our activity against this element of the market, of increasing the value of the food, which, as I said, has increased and is expected to continue to increase. Regarding the topic of minerals, here I move to the second graph on the left. When we divide our prices in terms of minerals, you can see the division here, and it is very obvious that we are based on different minerals, ice, phosphate, bromine, in terms of magnesium, polysulfate, and other things. By the way, it is interesting to see that the value of phosphate in the ICL activity is more than a third of the activity, more than the equivalent, not only in the prices of net phosphate, but also in the prices But the point I want to emphasize here is that when it comes to access to minerals, we have an advantage. We have talked a lot about this in Israel, but also in Spain, in China, and in England. Overall, our situation relative to the industry is excellent in this regard. And the third dimension of de-globalization, here I think we are well-positioned for two reasons. If you look first at the second graph on the left, prices according to the geographical area, you can see that our prices are very balanced between the different markets, Europe, North America, South America, East Asia and China. In total, we are balanced and one market that rises or falls is not very But it's not just that, because when we talk about de-globalization and trade barriers, the question is also where your sources of production are located. And look at the most right-hand side of the slide. Here we divided according to the production sites of ICL. You can see here an interesting and not surprising phenomenon, that our factories are separated due to the different geographies, and so, as long as there are trade barriers, trade differences, things like that, By the way, we saw this now in the two years of war here in Israel, when there were some obstacles from here, so we moved out of other places and it was relatively easy for us to overcome this. So even in the face of these events of de-globalization, I think we are in a great position. And this is a moment as a record. Now, regarding the process itself, as I said, we have dedicated the last few months to make a very organized process in order to develop the forward strategy. And largely, we divided our view, we looked at two different questions. The first question that I asked the organization, I asked ourselves, what is the health situation in terms of our current business lines? I asked to check every line of business that is in ICL, whether it sits on a market that is in momentum, whether it is aligned with global trends, whether our position is competitive, whether it is profitable, whether it is growing. All this, we chose a section after a section after a section, 30 and something, ICL business sections, and we determined for ourselves, of course, that the answer is not unique for everyone, we will deal with this later, but mainly we defined a work plan, what we want to do with each one. So that's one step. The second step, I asked to find a significant, new growth barrier for the company, something that will bring in a significant curve, plus a billion, and here we made an assessment, both inside the organization and outside. We chose a lot, a few dozen different alternatives, of growth incentives that could be for the company. Again, does it sit in an attractive market? Not less important than that, how appropriate is it to the nature and capabilities of ICL? Not everything that today is a trend in the market, we as a company, with our DNA, can succeed in it. And of course, we asked ourselves if we have the ability to get to market leadership, to a good position in these areas. And basically, everything that I will conclude from here and forward is the result of the answers we gave, the analysis we did for these two questions. What is the state of health of existing businesses in view of the last five years, in view of the trends in the market, and what could be the next growth strategy of ICL? ובעצם התוצאה של האנליזה, kick takeaways מהדבר הזה, אפשר לסכם אותם, אנחנו בסוף רוצים להרוז הכל משהו שיווקי, גם כלפי תוך הארגון, אז קראנו לזה שלושת האקסים, expand, extract, and examine. And I will explain what I mean. What we discovered in this operation that we did, that on the one hand, if I start from left to right, we have a very significant space to expand within the areas of activity that we are in. That is, we are in areas of activity that are correct in general, we will explain what needs to be done there, that can create significant growth for us, and of course the advantage is that we know how to play with them. The areas that we are in, this is not something new. So this is part one. The second part that comes from this analysis is that within our heart areas, we can produce more, more profit and more cash flow. There are markets that we are in today, there are areas of activity that we are even market leaders in, and there the challenge now is how you find the maximum out of it. And the third part is the part of the activities that we need to determine what we want to do with them in the future. At the end of the day, we have resources, although this company has very few resources, as Aviram said earlier, but we want these resources to focus on the areas that can bring us growth and prosperity. And we saw that there are areas that are either not synergetic, or that their potential is more limited, or that they are fragile, and we want to determine those. And this brings us to what we see in this slide, which, if you will, is a kind of a slide that summarizes the essence of the strategy. After that, of course, I will elaborate in a few words on each of the things, but just from the top. So, in the field of agriculture, we looked for profitable farmers. We chose to focus on two areas. One, the advanced agricultural cultivation. This is an area that we are in, we are growing in it, we will see, we can make a lot more money in it. The second area is the area of special food solutions, also an area that we are in, in a certain range, and there is a much greater potential to grow, and again I will expand. So this is one step. The second step, we called it maximizing the core. How do we maximize the activity of the ICA? This includes the value of the asphalt and the phosphate. How do we adapt them? And of course, how do we maintain market leadership in the BROM area, an area that we are very strong and dominant in. So, that's the second step. The third step is the step of optimization and improvement or efficiency, which we also have to demand, of course. And here, in general, we are talking about two things. One is portfolio optimization, that is, how we map our existing business portfolio, what we take and improve, what we decide to deal with differently. There are all kinds of strategy options regarding businesses that are less suitable for the company's strategy. So that's one. And the second thing is a more extensive work on the entire structure of the company, how it is designed and how it is made suitable for the company's activities. So this is the third step. Of course, all of this is driven by innovation that has become part of ICL's DNA in recent years, and of course, AI technology that we are introducing more and more, and I will talk about it a little more broadly later. So this is really from above, and now let's say a few things about each of the elements, and I'll try to explain why we think we chose the right strategy. So let's start with the issue of profit-making, or social growth incentives. And here, as I said, we chose these two areas, and I will start with the field of advanced agricultural farming or special crops. And of course, the things I will say, what I am not sure everyone knows, today's ICL, unlike a few years ago, is a global leader in the field of special crops and advanced agricultural farming solutions. Global leader. If we look at the process we've done in the last four or five years, in 2020, the company's price range was roughly $1 billion, and it brought in an EBITDA of $60 million. And last year, which wasn't the year of the agricultural harvest, and yet, in this area, we already sold roughly $2 billion, and the EBITDA increased by 3%, even more than 3%, to around $200 million. In other words, the top line, the range of activity, And I will say already, there is still a lot to develop and improve in this area. And we did it through organic growth, expansion of production capacity, entry into new countries, also companies' purchases and a lot of investment in R&D. By the way, most of its results are not yet visible because R&D processes in the field of agriculture take time. We will see it in the coming years. I want to follow up on the point of why we think it will continue, that there is even greater potential for the future. I will not interrupt you, but I do want to help in this area. What we see on this slide, we'll start with the blue line or the black line, more or less in the middle of the slide, which describes the increase in the population of the world since 1980, but if we take from the mid-70s to today, 50 years, the population of the world has grown by 2%, from 4 billion residents that need to eat to 8 billion residents. The thing is that the line of production of the food, the global agricultural land, which is shown in the red line at the bottom of the graph, has not changed. And then we ask the question, how do we feed two people, and the population continues to grow, the trend is that in the coming years we will reach ten billion residents, how do you feed more and more people in such significant circles, when your production line has not actually grown. And every economist will explain that the way is to produce greater productivity, and this is what you see in the blue, bright and green lines. We can see that even though the agricultural area hasn't grown in the past 50 years, the agricultural output, the grains in the upper green line, have grown and even more than the population growth. How did this happen? Mainly because of the increasing use of drugs, as shown in the bright blue line. But it's not just that they used more drugs, and this is what we see in the normal drug use. This is great. What we see is that the rate has increased even more than the increase in drug use, and this is the result of the increase or improvement in the quality of drugs. Or in other words, you can see that in the last ten years, this gap between the green and blue has opened, as a result of the increasing use of special substances, bio-stimulants, and much more advanced agricultural solutions, and this is exactly what ICL's expertise is about. Here, we are the market leaders, and this gives us confidence that this sector will continue to grow, and this also matches the market values. There is a graph here that describes how the markets see, or how the people who sell the market, We see this. We are talking about an increase of 6% from the $32 billion that was last year to more than $45 billion in 2030. How do we want to do this, in one word? So, look, agriculture is an area that, on the one hand, is global, on the other hand, there is local adaptation. Every market, every state, every region behaves a little differently, and therefore, the way that ICL is built, a global player that brings insights and R&D capacity, foreign We will continue with the strategy of M&A purchases. We have made five of these in recent years. We will try to increase it. In this context, we are mainly focused on three areas. Brazil, there it went very well for us and we do not see a reason to stop, although this year is a bit weak, but it is temporary. North America and Europe. So that's one process. The second process is to change the mix. Within this mix of special vaccines, it's not the same thing. There are more beneficial things, like bio-stimulants, like controlled-release fertilizers, and there are those that are less, like polysulfate, which we produce in Bolby in England, and we will make a shift in this mix. You have already seen it in the results of the review in the activity in Europe, but we will expand it to improve the profitability. We will continue with our R&D efforts in order to develop innovative products, roadblocks and unique ones. When the focus here, and again, I know I'm talking a little bit from above, but in order not to go too far, the focus will be on bio-stimulants, the area called nutrient use efficiency, and organic substances, and they are limited. This is an event that also deals with the whole issue of existence. and the need to do more with less. And at the end of the day, it will help with the purchases that I talked about earlier, very significant organic growth, where we see the Brazilian market continuing to grow, but on the other side, two more markets that we entered into in recent years and are growing very well for us, which are the Chinese market and the Australian market. So this is how, in just a few words, and I really try to do this briefly, on the subject of advanced crop management, a crop management that is already working for us and we will encourage it in the coming years. Its advantage, the second crop management, is special food solutions, which here, look, on the one hand, On the one hand, ICL is in this market, we are selling 500 million dollars a year, and I will say more than that, in the specific segment that we are playing in today, of phosphate-based food supplies, we are 30% of a market of 1.5 billion dollars, which is marked in the small circle on the left side of the screen. The thing is that this market, this state segment, is very small, one and a half billion dollars, and we are really leading it. And we asked ourselves if we can expand in a way that makes sense, because the world's food market is 100 times larger than the market we are playing in. It is 150 and something billion dollars, only the food markets. So there is a much greater potential that is very close to us. And we did a very, very in-depth analysis here, I put a graph on the right side that will give you a sense, and we actually asked ourselves, in this world of the 150 billion dollar market of food supplies, where do we understand, where can we expand in a logical way and bring an additional value, and we analyzed the field of functional food supplies. When I say functional food supplies, there are a few examples here, main ones, are those who make the fabric, those who keep the quality, the pH, the solid materials and keep the cooking materials and things like that, instead of the smell, taste and other things that are far away, at least for now, from where we are. So this market of functional food ingredients, of functional food components, is a market that is 20 times bigger than the market we are in today, it is 35 billion dollar market, which produces 5-6% of it per year, and very close, from a technological point of view, from the point of view of the customers, from the point of view of the go-to-market, to what we are doing today. A few words about what we are doing today. As I said earlier, today we are already selling half a billion dollars, even a little more, to the Amazon region, which is good to see that we are also doing a geographical promotion here. Our largest market, and it is excellent, is North America. Europe is also significant on its side, and in recent years we have also been proud in China, we have expanded and continue to expand, and also in South America, especially in Brazil. When we look at the customers, who are our customers today? ICL serves today, in the food sector, more than 2,000 customers, but not less important than that, 7 out of 10 major companies in the food and investment sector are our customers today. And this is important not only because they are our customers today, but because those customers and those vendors are the ones who also buy the products that we are talking about. And this is very, very, very important. In all, what I'm trying to show here is that in the food supply market, we are already there, we know what we are doing, but if we open the door a little bit and look a little wider than the food supplies from the phosphate sources, and go to the close family of the functional food supplies, which is one of them, They receive a target market of 35 billion dollars, 20 and something more, and through the geographic analysis that I presented, and through the customer base that I showed earlier, and with a very similar go-to-market, and R&D and QA food grade, that is, food standards. By the way, these institutions are based on all the geographies. There are in Europe, in Germany, in the United States, in Brazil, and in China. In all, there is a very high potential, and not a very high risk, because it is very close to the activity that we are already doing today. And in general, the strategic focus in this area of food supplies says that one, we will expand to the areas that are close to the activity that we have already done, create a much greater market potential with a relatively small risk, and there are some examples here on the left side of the slide. We will do this also through purchases, purchases that will give us a foothold in some of the markets and the expansion of the portfolio. I hope that we will come up with news about this in the coming months. And on the other hand, we will continue with the organic growth, as you saw in this quarter, when in the end the fact that we can give solutions to the same customer and to the same customer will play to our good and will also allow us to promote some of the products. So up to this point, on this issue of food supplies, and in general, agriculture, and from here I will say a few words about the second leg, the second leg of the expansion of the ICL's heart activity. So the first step is the activity of the ship, so regarding the budget, we talked earlier in the expansion, I won't go back, but for those who haven't heard me before, I will say, for the sake of no doubt, ICL is going to win the next economy, and it's going to do so under responsible conditions and economic conditions that will allow for a successful business activity even after 2030. There's no doubt about that. On the other hand, for a moment on the shorter side, at Yam HaMelech, we are working, and we already see the beginning of success, to restore the amount of production to the amount of production that was before the war. People are coming back from fillings, storage closures, and treatment is coming back, and we already saw in the third quarter an increase in production volumes. Next year, I hope and believe that it will even be better. And on our website in Sephardi, we continue, there is a continuous process of repair of the structure, which is based on, first of all, the opening of a brick wall in the basement, which we have already installed, on the ground floor. After that, the opening of a brick wall in the construction site, which is on the ground floor, and additional bricks are being built. And we will get to the construction sites of our world heritage sites on this website. So that's a few words about phosphate. Regarding the activity of industrial products, so again, here we are leading globally, certainly in the Brom market, it's our main activity, it's a stable and profitable trend of ICL. And in fact, the emphasis here is to maintain this market leadership. And in order to do this, we will do two things. One, we will develop more applications for Brom, more use cases for Brom. And the second thing, for Avdil, we will develop additional sources, not only those based on Brom and Zarchan, for other needs and advancements. which we know that the BROM and the Zahran do not give the appropriate solution. Through these two processes, we will maintain the leadership of this line, of the line of industrial solutions. And the last thing in this context of heart activity is every phosphate activity that is not related to food, every drop in the value of the phosphate, of the organ that is not related to food, is also a part of our heart, it does very well. The phosphate market is very strong in recent years and it seems that it will continue like this. Here we have an advantage. First, we have two upstream sites, one in Israel, in Rotem, you know, and the other in China, in Kunming. We are fully integrated, and that gives us, of course, an advantage in the infrastructure. The fact that we are the only Western manufacturer that has activity in China also gives us flexibility. I talked about deglobalization. The increase in requests in China and in this context, the activity at YPH in China is playing to our good and we will continue to develop it. It is also very interchangeable. It is possible to make the structure between taxes, incentives, solutions to problems. according to the change in requests. And the last thing, which is not understood by him, we have very unique knowledge in the downstream, in the subsequent products of the phosphate industry, a large part of our competitors do not have this, and here we have a very, very large advantage that brings us a significant value. So, this is regarding the internal activities of ICL, and the third and last rule that I will address is the rule of optimization and efficiency. And here I will say something, and we wrote it intentionally in large letters so that everyone could pay attention. Not all of our portfolios are the same. Some of our activities are excellent, some are good, but there are also those, I am talking about activities that are not synergetic with what we do, that do not fit the strategy, those that are in areas where the potential is limited, or that are simply not profitable and it is perhaps impossible to improve them. So, of course, wherever it is possible to improve and improve, we will do so, but we will test activity, activity, and we will make sure that we do not carry with us activities that are not appropriate and do not take the society forward. We will have to make decisions here. I will have to make decisions. And soon I will give an example of one decision I made in this context. So this is a perfect process, maybe less fun, but it is very important that we do it. We are testing it directly with filters and of course we will update as long as this opinion will reach results. One decision that I have already made, we have made in this context of portfolio optimization, is a decision that in the field of LFP, in the field of raw materials, we will not rise in value and will remain in the place where we work, and it is good for us, it is the place of supply of raw materials for the industry of raw materials. In the past we talked about on the possibility of establishing factories for cathodic material. This is one step up in the value chain. We seriously considered this. A very basic work was done in the company, but changes that occurred in the last period and also deeper analyses that we carried out in the last few months, led me to the conclusion that this is not a good starting point for ICL, and it is better to take the resources and focus them on other things, as I presented earlier. In these considerations, it is of course the change of the government in the United States, which is less connected to the world of renewable energy and electric vehicles. This also includes the cancellation of the grant that we received in the past from the American Ministry of Energy. In Europe, I remind you that we had an idea and also signed an agreement with Dynanonic, a Chinese company, to establish an operation in Spain. So in Europe, we see that the car industry is very, very suffering and cannot pay a premium for a local production. There, the Chinese have no limit, they can sell as much as they want, so it leads to much lower prices. On the other hand, the Chinese themselves have changed their regulation and are increasing their technological output. We are part of our agreement with Dynanonic, There was always an improvement in technology, what they do in China, to bring it to Spain as well. So this is also problematic in the new Chinese regulation, and this is a regulation intended to strengthen the production of the Chinese car. And there are other risks, also the rising prices of these sites have reached relatively high numbers, and also the operating prices, after a deep look, are expected to be relatively high relative to the price level in the market. And in the end, we saw that the business case here is not good enough. and therefore it is right for us to stop this, to remain in the field of raw materials for solar panels, we are doing this very well, and to invest the resources and the management capital in other areas. So this is about the 1,000 pips. One word about AI, everyone is talking about AI, so look, contrary to software companies or law enforcement agencies and accounting firms, I don't think that the AI threatens the basic business model of ICL. We will continue to sell foodstuffs, tchans, and bee nets, and things like that. But together with this, like any organization, we can use the AI for our own good, in order to increase productivity, to improve our decision-making. And basically, part of this strategy, we will turn ICL into a company based on data, based on AI, a company that operates differently, not in sporadic things, but as It's a one-way process, the way we develop products, the way we operate our businesses, the way we approach the market and the insights on requests, on promotions, and all these things. All this is combined in much more advanced programs and will also bring more productivity and decision-making and a more correct representation of business opportunities. This brings me to one of the last views in this presentation, and that is the whole part of the optimization of the structure of society's trends. Also here, maybe it's less sexy, but we have to do very basic work, and we are starting to do it, to really go through, we are going through within the system of trends. We are a large society, we have quite a few trends. and take care of them. Some of them we will improve by using advanced technologies, including AI, but some of them are other things that relate to how we do maintenance and how we manage our treatment, our job opportunities. We have a very organized program on how we can deal with this, and so on and so forth, how we make a profit, in which countries we buy, And many more things. Again, I don't want to waste your time here, but there is a very well-organized program that deals with this and its purpose is to improve the structure of the company. That's it. I will conclude on this line that you have already seen before and say that I really tried in a few minutes, without wasting too much time, to describe the strategy of the society. This is a strategy of planting that is based on two plants, one in the worlds of advanced plant cultivation and the other on the subject of special food sources. This is a very significant step that we will continue to develop in the coming years or will be implemented. On the other hand, a mix of heart activities, ice, phosphate, global mobility in the bronchial area. And on the third side, optimization. We will choose what continues, what does not continue in our portfolio, and what continues how. And we will deal with the structure of the company. As I said, all of this will be based on innovation and technology. And I will conclude this presentation by saying that I think there is a great opportunity here. ICL is at an excellent point, it is a strong company, it has a lot of resources, and it understands that it needs to grow forward. We have defined a very clear, self-sufficient strategy. We believe in it. We have, as the atmosphere shows, the resources, how to do it. We are working on things that, on the one hand, have great potential, and on the other hand, they are not far from our goal. They are not a risk, they are not a sign of failure, and I am sure that this will create a very significant value for you, the investors, and for everyone in the coming years. And the last thing I want to say before I open up to questions and answers is to say thank you. Thank you to our people at ICL, the ICL employees in Israel and around the world, who have had a good time with the warlords here in Israel and many challenges in other places and really do a great job. So thank you very much to our people. And I, Oded, I have finished this part. Back to you.

Iran. Yaron, you're on mute. Yaron, we can all hear you. Let's continue with questions from the chat. Some questions, first of all, regarding the slides, or rather, regarding the program. . . . .

So, I'll say it like this. First of all, we have no certainty, and I'll say it frankly, our dialogue with the president was about the conditions of the transition and the period of closure of the current budget, and the president agreed not to talk about the next budget, and we accepted it. Yachad yim ze, mi shilech kitzat achora, b'september 2024, haotzar otsi mismach shel amlatzot v'kivunim, v'efshar mize l'ilmod, chalek ma tnaim, o ani ma'arich, ha-kivunim shel ha-tnaim, nimtzayim sham. Adet, shalom ati achsham?

Yaron, ati ata? Oh, shalom. Ken, Yaron, ati apotrof, yachon edaber.

I'm sorry to interrupt, this was a technical interruption. Good morning. You just talked about memory and I didn't hear that much. I have a first question about memory, I hope I don't go back on that. I don't quite understand the rationale of your agreement with the State of Israel. I mean, at the time, the ICL gave a significantly higher price tag than what was agreed. You say that you believe that the state will give more specific conditions. We know how it is, politicians, and we know that there will be a lot of public pressure here, For me, it's very difficult to see that the state will give more comfortable conditions than the current conditions, or comfortable at all, to be responsible for the government tech. So the first question is, how do you so much, like, provide security in more comfortable conditions? And the second question, how do you, let's say the guy in the ICL doesn't have a license, because basically the condition that gave you a moral responsibility, how can you deal with it without any salt? Remember the other thing that was responsible for the protection of raw material? So it's important for me to understand how you see this, and also the negative feeling.

So, I'll start with the first question. Look, regarding the economic conditions, I want to clarify something for a moment. What we said is not that the next economic conditions will be better than the current economic conditions. This probably won't happen, and we understand that. The point is that we are at a point where we need to choose between alternatives, not between irrelevant things. They are two. One, that we will insist on the right to advance or the right to co-operate. And the second is that we will reach an agreement with the state on this matter. Let's give a moment to these assumptions. If we insist with the state on the right to co-operate or the right to advance, one of the two will happen. Let's say for a moment that we succeed and we ignore the state, a situation in which only ICL is dealing with. In this situation, the state does not have any interest in giving the economic conditions. On the contrary, if it is already stuck with us, and with the public pressure that you rightly mentioned, probably the next economic conditions, which we have no control over, are completely in the hands of the state. will go to some kind of extremism. On the other hand, the second situation is that the state opens it up for competition, whether in our agreement or in a situation where it exposes it in the waiting room. We need to remember the law of compensation. Compensation is both an agreement and a law. And the state, in its own way, can change it in the law. This is basically what we thought it was going to do. And in fact, it exposes the right of our community. It's not fair, it's a change to the game in itself, but theoretically it can be done, and we can go to Bagats, and if Bagats will turn it around or not is another question, we'll put it on the side. But the advantage in a situation like this, where it opens up for competition, is that the state is not only enough to give up the right to exchange, in order to continue other competitions, it also needs to make sure that the next conditions of investment will be economic and attractive, not for us, not for ICL, but in order to continue others. And therefore, what I said is that I estimate that in such a situation, the next conditions of investment will be more comfortable, more economic, than the case that ICL is the only player on the field. This is the intention, it will not be better than the present conditions, we must also say that. The last thing I will say in this context is that we think that even if we will not have the right to the contract, whether because we agreed, by the way, this memorandum of understanding is only a memorandum of understanding, it is covered by the signing of the compulsory agreement, which is still before us. But let's say for a moment, even if the right to the contract will not be there, whether because we agreed or because the state rejected it and denied us the right to the contract, I think that the result of this will be a situation where our chances of winning They are very, very good. It is possible to perform a competitive surgery. We will not do it now. I am also not sure that it is my job to do it. It is a complex event from the salt sea. Not everyone will be able to get there. But I think that our chances of winning are very high, still, even without the right of the jury. And on the other hand, the conditions will be more reasonable versus a situation where only ICL was available for migration. This is what I intended to say in this context. Regarding your second question, I will say this. Whoever read the memorandum of understanding, There is a need for Hashkal to take care of the future in terms of the transfer price, and of course the transfer of the BROM from Yom HaMalach to future businesses. This is the main activity, and we will have to make sure that this will be done and arranged, and that will also solve the problem of Hash, which is also our problem. There are other elements here that will make it logical at the end of the day. After all this, we must remember that two of the biggest debtors today at ICL, Growing Solutions and Phosphate Solutions, are not related at all to the Salt Sea, or are not related almost at all to the Salt Sea, and even today, in different places around the world, we buy salt from markets in order not to bring salt from the Salt Sea, so here I really don't see any drama. I hope I'm right, Yaron.

There's another story. Give me a second. Look, there's the story of Tassrit, that the state, in the end, pushes for a decree that the ICL doesn't want. And the situation of not only the decision, yes or no, but also the prediction of the protesters, it started to be interesting in such a case. Because in fact, the achievement that we have in the agreement, in the MOU that was signed with the state, that in terms of the ICL, not the old man, after it was said that the ICL is the best location to be the old man, everything that was said, okay. But for one reason or another, or voluntary or non-voluntary in the old-fashioned way, we have a certainty about the guaranteed interest that we receive. Something like 3 billion dollars in the interest rate. In a different interest rate, we argued and argue. We have a good explanation why the number is much higher, Barur, שהמספר הזה יהיה במ�חלוקת גדולה עם המדינה, ועכשיו בואו נחשב על הצד הפרקטי, איך פותרים את זה וכמה שנים זה ייקח. אם מחברים את זה לאסטרטגיה של החברה, וללא ספק יש לה מה לעשות עם הכסף, את איתוי של קבלת הכסף, and also significant, because then it does redeployment. It uses this money to develop its strategy and so on. In other words, we have to look, I think, in order to take all the footage to the end, we have to take into account this element as well, and this is the achievement, perhaps one of the great achievements, in this agreement, which was signed as a threat, and we hope that it will be implemented in order to resolve it. So I'm saying that Yaron and his friends, there are things here that you need to take and look at, really in one holistic view of everything that has been done.

Thank you. I have two more questions that I don't know about you. One, you talked about the phosphates. It's quite clear where the things are. I remember in the past that you talked about that by 2026, if I'm not mistaken, the existing tax will no longer meet your needs. It could be that I'm wrong this year, because it was published last year. We're already on December 26th.

We're not moving forward. Yes. So, wait, the end of what you said is not exact. At the beginning of September, the government decided to advance the plan related to Sde Barir. The first step in this program, which I think everyone understands is necessary, is environmental and health security. First of all, to make sure that this activity does not affect the health of people. We are convinced that it does not affect the health of people. There are phosphate wells all over the world. Our people have been working in phosphate wells for 70 years in Rotem. There is no sewage there, and there is no sewage in Motachas and Chalila, and that is why we are completely satisfied with it. But it is still true that the state will check it with objective people. So this plan by Sde Barir started two months ago and is moving forward. At the same time, even if everything goes as it should, it will take a lot of time to reach the authorities, to develop the area, to do piloting. There is a Bedouin population there that needs to find alternative solutions, and so on and so forth. This is many years ahead. And so, and this goes back to your question, so wait, so what, so how do we work in the second part? Exactly, excellent question. And what happened in recent years, when ICL entered with its back to the wall in this context of we don't have phosphate, and Sde Barir was stuck until recently, so how do we find an alternative? And what happened here is a technological breakthrough. This is, by the way, the reason that the state gave us in the past year, an investment of another 20 years ahead of ROTEM investments, in favor of economic stability. The reason is that we made a technological breakthrough and managed to take a liquid phosphate cell, what we call heat or bitumen, it is a phosphate cell with more organic heat, it will not enter the chemical side of it, and to be able to supply it, enrich it, and bring it to the highest grade level of white cotton. This is something that no one in the world has done before us. The ICL's R&D was able to do this, and in fact, it was able to absorb, and in the course of 2026, we will finally prove this, it was able to absorb low-quality phosphates that were certainly not suitable for reading, and to reach a state where we know how to use them and turn them into the products we need. In 2026, we will complete the technical and economic planning, to make sure it is not only technical, but also economic. And if this happens, this will give us a breath of fresh air of about 10 years, in which we can use the vitamin phosphate and the chromium phosphate, and continue the activity of Rotem until the interests of the legal side are resolved. And actually, the problem is somewhere in the area of 2040.

Okay?

How does it affect the health? I'm not sure it will affect at all. I even have... So you'll have to find out. Wait, wait, no. But look at the timeline. That's exactly the point. If we succeed, and again, 2026 is an important year in this context, the data we have today of phosphate and bitumen in the areas that can be found in the State of Israel will take us somewhere in the area of 2038-2040. Okay? Now I connect this to the answer I gave about Barir. Barir, if all goes well, will take at least 10 years to develop. Therefore, Barir's effort is not to develop the next 10 years. I hope it will be developed with the help of phosphate and bitumen. There are still challenges, but we feel that we have gotten very close through technology. And when this thing is over, somewhere in the second half of the next decade, there we have to make sure that Barir will be ready and up and running for the start of activity. Therefore, there are issues of implementation here. Barir needs to be completed, to be advanced, there are pilots, there are planning tests, there are health surveys, all these things, it takes years. We know the planning and construction processes in the State of Israel. And if this happens, it will give us a solution for another 10 plus years. Meanwhile, I hope that the technological process will be successful. And the hum and the bitumen, the phosphate, the hum and the bitumen, will give us an answer until this area of 2038, 2040, order of magnitude. I hope I made some sense in time.

I have just one last question, in short. Our friends from the south, the Houthis, said they're stopping the attack on ships. I hope they'll really stop. You're expected to renew the operation at night. How much is it supposed to reduce for you, and is it really going to work?

First of all, this will be limited to us. You can see this in our reports. It appears separately in the last two years during the war. Soon the atmosphere will relate to the specific budget. Regarding the equipment, look, we will of course be very happy, on the first opportunity, to start to export ships through Bab-el-Mandab and Nimal Eilat. Half of the activity in Shigra in Nimal Eilat is our activity. But we need to get to a point, not only will the Kutim say they will stop seeing, but that the ship owners will be willing to go there. I believe that as long as the movement continues, it will happen. It has not happened yet. It is true that now the ship owners want to see that the Kutim are really doing what they said. I hope that in the near future it will be fine.

Maybe a word only, Yaron, about the size of the ship. The annual rate is somewhere between $30 to $40 million. Of course, the trade is different between the rich. It depends on how much money we send to the east. I will say that, in the end, we are not the drivers. We buy the services of the drivers. And it seems that between the principle and the production, we can spend another period of time. The notifications in our area have a certain value. I am very happy about the notification, but let's see the sum of it. Thank you very much, friends. Thank you very much, Aaron.

Thank you, Rohan. We'll continue. Elad, we're asking about the gap between the $2.5 billion and the $3 billion. Is this a question that can only be answered?

100% with pleasure. So, look, our conclusion with the asset, regarding the supply, is divided into two. Regarding the sea level itself, the supply is fixed, $2.54 billion, and this is an assumption that we'll continue to use on the website, as it is until the end of the recession, that is, until 2030. This is one part. At the same time, there is a large project called the Katsir HaMelach project. I will say it in one word because in the last three days I have been asked a lot about it. So, in contrast to the northern defense of the Sea of Salt, where the problem is that the disaster is coming down, the southern defense, which is our warning signs, has the opposite problem, that the disaster is coming up. These are warning signs that are relatively calm, on which sit the suppliers and the operators and all these things. And in fact, there is a supply of salt that flows on the land, and if it is not collected, and assuming that the flow of water must remain at the same level for the activity of the extraction, then in fact the result is that every year the disaster rises because the land rises with the accumulation of salt on the land. Therefore, many years ago, the state approved a project called the salt mine. In other words, to remove the salt from the soil from the salt mines. This is part of the mining mines. There are also the mines of the Karnelit mine. But from the salt mines, we are talking about very large quantities. This is 20 million tons per year, in terms of size. And more than 10 years ago, he signed an agreement with ICL, which in large part says that until the end of the current budget, ICL needs to set up a list of the reduction in the amount of salt. This includes three vehicles, including vehicles that extract the salt from the land of the... of the spring. Each of these streams is as big as a football field. There is already one that has been operating in recent years, but we need to bring another one. After that, there is a process of change and massive changes of 25-24 kilometers from the southern lagoon to the northern lagoon. And after that, there is a process of irrigation and irrigation, which was recently approved by Yishura Batal, to irrigate this salt in the northern lagoon. Now, at the stage of the establishment of the project, the agreement at the time was that ICL is 80% of the capacity and the state is 20%. And this is a project that is currently taking place. This project, yes, they tell me that I don't look at the camera, I'm not used to it enough. We have been working on this project for the past few years, but there will be significant expenses in the coming years. In fact, what we agreed on with the general budget, with the state, in addition to the revenue it gives us for the existing normal saltwater reservoirs, As long as we do not become the host, and again, in my opinion, this is the least appropriate feeling, but as long as we do not become the host, it also improves the entire construction of the King's Gate project, because it is not logical for us to do the entire construction and the future host will enjoy all of this. The scope of operations, as we have also written in the regular announcements, is hundreds of millions of dollars, and therefore, Thank you, Alad. We will continue with the program.

In terms of food supplies, is there a concrete intention to make a significant decision to take the society a few steps forward, or are we talking about organic farming? And if so, what is the possibility of finding a significant company that wants to invest?

That's a great question. So first of all, yes, there is an intention to make investments in the food sector. The world of food is a different world. We know it very well. Yes, there are opportunities. Some of them are smaller and more territorial companies. Others are larger companies. We are also testing this. Already today, we are talking to all kinds of players in this market. Therefore, yes, our strategy is to carry out purchases. Of course, we need to find the right goals. I'm convinced that we're like that, and there will be requests like that. We didn't just put the strategy. We checked it thoroughly before we wrote it.

Maybe just to clarify, Elad, what you said earlier, I hope it's clear, it's not generally in food. It's something that we have added value to, which is around the core of our businesses, it's actually an extension. Because the food world, you see the slide, it's very, very wide, and we're focused. Our strategy is focus, and it's actually an extension of our abilities to areas that have added value to us.

Thank you.

Thank you, let's continue. Regarding the BROM, I mentioned that it is a positive trend. Can you describe when you really see a significant improvement in the activity?

I will say, in fact, we, and you know it, and today I shortened it and didn't show it, we are also the largest producer in the world. in a significant and clear way, and also with the best cost position. So there is a dilemma here. The markets, if you follow us, in fact, the market is no longer in its peak from the second half of 2020-2022. It reached the peak at the end of 2021, it held at the beginning of 2022, and since then it has been decreasing. And we saw, we thought in the beginning that the situation was much longer-term and that the situation would come much faster. And we already thought that in the second half of 2023, It didn't happen. Then we changed the strategy and moved on to a strategy of volume, over value, in the sense that if we, as market leaders, don't focus on this, in fact, the Chinese will run around us, especially the Chinese, who are in fact the smaller competition, but there is a collection of them that save us, save the situation. And that's why we moved on to this. We held on to this strategy, which, by the way, brought absolutely good results. You can look at an IT series behind the results of the IPO, absolutely good. At the same time, at the beginning of this year, we realized that in the meantime, to return to the strategy of market leaders, of value over volume, it was clear to us that in terms of quantity, we will drop to a certain extent, but in the optimization of the trend, it is enough. And we did it, and the success, we had concerns, but in the end, we already have a third victory in this strategy, and the results continue to be good. The price of Abram went up, it went up in China, China is a very significant market. and it was already over $3,000. But I have to remember that in terms of requests, all requests, the electronic industry, the electronic resources, is in growth, but not back to its levels that were in the corona years, which were the broadest years. And the second industry, which is the construction industry, לא נמצאת במקום מיטבי. ולכן מבחינת הביקושים, אנחנו מעריכים שזה עוד זמן עד שהביקושים יחזרו לרמות הביקושים הקודמות. התוצאות המיטביות מושגות מן הסתם, כאשר גם אנחנו מוכרים במחירים טובים, שאנחנו כעת נמצאים בהם, אבל גם הביקוש הוא ברמה הרבה יותר גבוהה, ואז גם כמובן הניצולת של מפעלי התעשייה הגדלה וכדומה. אנחנו עוד לא שם, ואנחנו במספרים שאנחנו מסתכלים קדימה, אנחנו ממתינים לזה, אבל לא בונים על זה.

I'll say one more thing about the end of the electronics market, everything that Aviram said is true. There's another thing here, if you look at the electronics market, I'm talking about phones and iPads and all those things, a large part of the product is in China, the global product is in China, and a large part of the demand is in the United States. And as long as there were trade wars and all kinds of conflicts and stories between the United States and China, then this industry was in what we call a dead end. For a moment they stopped, they did not make investments, they did not wait to see that the situation would improve. As long as the situation between the United States and China is a little bit stable, and I think that Trump's visit to the East helped with that, I think that this electronics industry is slowly beginning to improve, and at the same time the stock prices are rising. to these worlds. You're right.

We did this strategy before April. Yes, Trump did it. On April 5th, the day of Mekhonen, he announced the Liberation Day, if anyone remembers it. So many things have been said, we've already forgotten. And this, in fact, entered a buzz in the area, in the change in the relative price, and the expectation was that it would reduce demand. But definitely, as Elad said, The business has advanced since then and we are in a better place than we thought it would be at the beginning of April.

Thank you. Let's open the line to Michal Elsheikh, Bank Tashkent. Michal?

Can you hear me? Hi, Shalom to everyone. I wanted to ask a short question. In terms of the budget, it won't stay with you. I wanted to ask you again, what about the logistics, your budget in Namal, will it also pass under the budget and the amount of 2.5 billion or will it stay with you?

So, I will address this. Look, first of all, the railways in the ports belong to the State of Israel, through HANI, the Israel Port Company, and we are responsible for them. Our regulatory agreements in the ports, the State is in charge of this matter, and they end at 20.30. We started a very first dialogue with the state. This is a point that needs to be dealt with. But I will say this for a moment. Neyma Leilat, from the beginning, he deals only with saltwater businesses, and therefore, in the sense that we will not be owners of the fortune, so it is logical that he will move to the new owner. It seems to me an easy case. Regarding Ashdod, Ashdod has two of our lines and a few stores. Ashdod also serves the Sea of Salt and Rotem. And therefore, once again, we are in the first stages of dialogue. There is a conclusion with the state that will find a solution that will provide a solution for both players, that is, both for Rotem and for the Sea of Salt operators. I appreciate what I understood so far. Again, if there will be an issue with salt water, there will certainly be no problem, but even in a less fertile area that will not be, they found a way to sort it out and divide it. Logistically, technically, it can be done. There are such large plants there, I don't think it will be a problem. By the way, we in Ashdod, in the matter of phosphate, not only export phosphate, but also import wheat as a fertilizer, and there is also an operation that supports this. In other words, there are large operations there, both for Rotem and for salt workers. I don't think it will be very difficult to sort out the division between them. I don't think it will be an issue. In short, Michal, that's the bottom line.

Okay, thank you very much.

Thank you, Michal. Thank you, Michal. We'll continue. Elad, another question for Hidud. In some of the things you said, if the budget doesn't go to ICL, the company will continue to implement some of the main projects in Israel. Of course, we're talking about Sde Bari and Rotem. Is that right?

Yes, yes, this whole world of phosphate, of hydrogen, we have a factory in Haifa that we haven't talked about for years, and so on. This has nothing to do with it. We are an Israeli, Zionist society. We fought in the last two years to continue our activities here in Israel. We are committed to the south, we are committed to the Negev, and we will contribute to the next budget. Thank you very much. What do you think of the decrease in the number of press releases in the stock market, and does it represent the next quarter?

Yerida ba'aluyot yitzur? Yerida ba'aluyot yitzur. B'o, besofo she-davar, ma she-kore, no, ni asbir, yesh et a'aluyot ha-b'sisiyot le-yatzer ton, hem t'luyot, kamuvan, gam ha-mechir ha-b'sisi, gam bashar ha-lifin, vachadome, ma she-ken yesh, zeh me'od mashmauti, zeh ke, besofo she-davar, ruban ke-chulan she-la-aluyot hem a'aluyot kvot, And the more you produce, and indeed we produce more, the rate of those yields in the stock market is increasing. In the first months of this year, we were in an unoptimal production, below the normal production, and therefore the yields, in fact the effective yields for the tone, were higher. The more you produce, the lower these yields are. I assume that this is the source of the question. We, by the way, when we look inside, we look regularly at the losses of our production sources. After they are very, very heavy production sources, the impact is tremendous. And we are today, both in Sephardi and in Israel, in the Sea of Malach, in a higher utilization than we had before.

Thank you, Aviram. I can relate to that.

Look, at the end of the day, if we look at what the output of the sea of salt is, it's actually three things. It's the tide, which is mostly known for its condition. By the way, the question that was asked earlier, from the point of view of advanced agriculture, is a customer in the arms length of Yamamelach, if she can't buy it in Yamamelach, she can buy it in a different place. The portion of the shell is quite simple. From the point of view of magnesium, it's another product, it has importance, it has a separate story, it's much smaller, but you can talk about it separately. And the more complex product is the elementary bromine, which is related to ancestral fields, in Brom products. Most of Brom, in the end, becomes Brom products, which is the product that is famous all over the world. If and when we do not become old, it is true that today, of course, there is a certain value, a clear unit, and this is one of its advantages. If we, in one way or another, do not become old, then the next old man will have to use Brom products because otherwise there is a problem with what to do with the elementary bromine.

I would like to say in this context that elementary bromine is a dangerous substance, it can be changed, contrary to bromine compounds, it can be changed only in isotanks, these are very safe and protected compounds, and therefore the ability to change it is very limited, and therefore what Aviram says is true, it must be done with bromine compounds, ופה יש לנו נכסים, גם מבחינת צי האיזו-טנקים שלנו, שהוא הכי גדול בעולם, וגם מבחינות אחרות. אבל אם אני מבין את השאלה נכון לגבי נכסים אחרים, אז אני אגיד באופן כללי, שוב, בהנחה שההסדר עם האוצר יחתם, וכולם יחבדו אותו, אז רוב הנכסים הפיזיים שקשורים לזיקיון יעברו לזקי הנבה. שוב, אני מאמין שזה יהיה אנחנו, אבל יכול להיות גם אחרת. Thank you, friends. I think we'll move on to summary.

There are a few more questions when we get back, and we'll go back to people if we didn't mention anything.

Elad, you can finish.

First of all, thank you for your patience. It was a little longer than usual, but I think it was important for us to invest the time. I assume it was important for you as well, and thank you for the length of time. We tried to cover both the revenue, which in the end was a good revenue, as well as the story of the dealings with the asset, and also the strategy. It was very important for me to share with you the strategy. It's something that I planned in advance. I also told it last time. so that you understand where we want to take the company, so that we won't surprise you. I very much believe in this strategy, the company very much believes in this strategy. We have resources, we have capabilities, and we can implement them, and the company will continue to develop. On the other hand, we will do what is necessary to ensure the profit even in 2030. Thank you very much to everyone for the support, and we will meet in the next opportunities. Thank you.