Isaac Dabah0:09
I'm honored and humbled to receive this award, and I'm grateful to Calcalist and to the community of analysts and investors for recognizing the accomplishment of Delta Galil. This award belongs to all the talented and dedicated Delta Galil associates who have traveled on this great journey of growth, progress, and success. Dov Lautman, our founder, and my partners would have been so proud of all of us today. It has been a year since he left us, and I know everyone at Delta misses his spirit, his encouragement, and optimism.
Becoming the CEO of this great company has been a dream for me. I was born in Jerusalem and moved to the U.S. when I was 10 years old, but my heart never left Israel. Coming back to run Delta was certainly challenging but rewarding. We have grown sales in the last five years by 13% on a compounded annual growth rate, and we've increased our profits. This year, in 2014, we will surpass one billion dollars in sales for the first time.
Just to give you a sense of our global scale, we produce more than one million units per day, or 350 million units annually, mostly for the top brands in the world, starting with Nike, Lululemon, Victoria's Secret, Calvin Klein, Tommy Hilfiger, Lacoste, and many more.
Two and a half years ago, Delta acquired the German brand Schiesser, and we have successfully integrated Schiesser into Delta. We grew sales over the last two years by 11 percent and operating profits of Schiesser by 60 percent over the last two years. Today, we have the number one men's underwear brand in Germany, Switzerland, Holland, and Austria. As most of you know, in Israel, we also have the number one market share in men's and ladies' intimates with the brand Delta.
Delta has a presence on every continent, and we employ about nine thousand associates. We have a culture of coexistence and diversity. Our employees share a spirit of integrity, creativity, curiosity, and commitment. They come to work with a passion for fashion and the performance that has led us to 21 consecutive quarters of growth.
For me, it is a special honor to be here among so many of Israel's high-tech companies. However, as we say, Delta is a high-tech company in a low-tech industry. In fact, we spend four and a half percent of sales on research and development. Our uniqueness is due in large part to the brain power that we have in Israel and our commitment to the creation of smart, innovative products.
We have grown and succeeded because we believe that leadership means setting direction and motivating our associates to win. We must have the right people on our team. Many of our executives are here today, and I would like to take this opportunity to thank them all for all their dedication and hard work. They all deserve this award.
Lastly, I want to especially thank my lovely, patient, and supportive wife, Yvette, who's here with us. She is truly my best partner. She gives me wisdom and constant encouragement and support.
Today, we promise you that the associates of Delta will always strive to be worthy of this honor by continuing to innovate, grow, and perform. We will continue to be the proud ambassadors of the State of Israel.
Almost finished. As today is the last day of Hanukkah, a beautiful holiday of lights, we as leaders have an obligation to take our candle and bring light onto others. The Hanukkah holiday reminds us that it is our responsibility to create a better world for our society and to help others. We must make sure that our candle lights the way to a bright future for our children and for all of society. Thank you all again for this honor.
