Telecom paper
Maroc Telecom Group reported a 6.1 percent increase in revenues to MAD 17.59 billion for the first half of 2016 compared to MAD 16.58 billion in the same period of 2015, buoyed by growth in revenues in Morocco. The Group’s international activities recorded revenues of MAD 7.68 billion, up 17.1 percent from MAD 6.56 billion in 2015. Revenue growth at the newly acquired subsidiaries continued with noteworthy performance in Ivory Coast and Niger, while the historical subsidiaries sustained growth, especially in Gabon. The group ended the first half with more than 53 million customers, a 4.4 percent increase year-on-year.
EBITDA rose by 1.3 percent to MAD 8.53 billion. Despite the dilutive impact resulting from the consolidation of the new African subsidiaries, the EBITDA margin remained high at 48.5 percent, but was down 2.3 points from 50.7 percent in the previous year. Operating profit increased by 4.7 percent to MAD 5.60 billion, and net income was MAD 2.92 billion, up 3.2 percent thanks to growth from international activities, where the company realised a capital gain from the disposal of real estate.
EBITDA from international operations increased to MAD 2.86 billion, up 8.5 percent despite changes in allocation of technical support costs between Maroc Telecom and its subsidiaries. Cash flow from international operations was up 8.1 percent to MAD 2.12 billion, with the increase in EBITDA and the real estate sale largely offsetting the increase in capital investment aimed at supporting business growth.
Group cash flow from operations rose 17.4 percent to MAD 5.52 billion, reflecting a 24 percent improvement in Morocco, which benefited from a favorable comparison due to the payment in April 2015 of MAD 910 million for the 4G licence in Morocco.
The operator expects stable revenue and a slight decline in EBITDA in 2016 as well as capex of about 20 percent of revenues, excluding frequencies and licenses.
