08 September 2022

Maroc Telecom has resigned itself to a year of stagnating profits in 2023, with only a 1% increase projected.

The flat revenues would be the direct result of a drop in profits from operations coupled with consolidating profits from global operations, according to a report by Morocco’s BMCE Capital Global Research.

At the end of the first half of 2022, Maroc Telecom’s revenues dropped by an annual rate of 1.2%, totalling MAD17.5bn (US$1.6bn), the report says. It also states that the drop in profits is due to the fall in turnover from operations in Morocco.

Maroc Telecom’s revenues in Morocco declined by an annual rate of 2.2%, averaging MAD 9.561 billion at the end of June 2022.

Although the company’s profits growth rate is trading in the negative in 2022, the decline in profits remains less prominent than the 7.1% drop in profits the company experienced in 2021.

Maroc Telecom’s operations in Morocco especially took a nosedive in the Mobile segment where profits declined by 5% as a result of market competition, the report adds.

The company’s profits this year are at an all-time low and since 2019, Maroc Telecom has seen a steady decline in profits, going from around MAD57bn (US$5.4bn) in the first quarter of 2019 to MAD45bn (US$4.2bn) at the end of the same period in 2022.