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Profits of ‘Maroc Telecom’ Amount to Approximately $363 Mn in H1 2018

Profits of ‘Maroc Telecom’ Amount to Approximately $363 Mn in H1 2018

Thursday, 26 July, 2018 - 12:45
Casablanca - Lahsan Moknei
Maroc Telecom, Morocco’s largest telecoms operator, reported 8.6 percent rise in mid-year net profit to 3.41 billion dirhams ($363 million) on Monday.

The company, listed on both the Casablanca Stock Exchange and Euronext Paris, is 53 percent controlled by the UAE’s Etisalat, with the Moroccan state owning 30 percent.

It attributed this rise in profits basically to the return of the growth of its activities in Morocco and its expansion in Africa.

Maroc Telecom posted a revenue up five percent at 18 billion dirhams ($1.91 billion) compared to the same period in 2017 while its operating margin rose four percent to 49.4 percent.

The increase was due to a 4.8 percent rise in sales in Morocco to 10.6 billion dirhams ($1.13 billion) during the same period.

According to the company's financial report, fixed line sales in Morocco rose by 4.8 percent during the period, compared to a 3.5 percent growth for the mobile branch, thanks to the demand for wireless internet access.

The fixed line sales now account for 45 percent of the company's total sales in Morocco.

In Africa, where Maroc Telecom has 12 branches, sales increased by 7.4 percent during this period amounting to 8.2 billion dirhams ($873 million). The mobile branch contributed 7.4 billion dirhams ($787 million) to the sales.

The company also expanded its customer base, which reached nearly 60 million subscribers by the end of June, an increase of 9.7 percent over the same period last year, with 37.8 million subscribers abroad, up 13.6 percent, and 19 million in Morocco, up 2.8 percent.

The company said it has continued its African expansion during this period, which was marked by two new operations.

The first was to raise the stake of Maroc Telecom in OnTel in Burkina Faso to 61 percent by buying 10 percent of its capital on the Abidjan Stock Exchange at a value of 469 million dirhams ($49.9 million).

The second operation was acquiring in June the second, third and fourth generation mobile services license in Togo for 480 million dirhams ($51 million). According to the contract, this amount will be paid in three annual payments, starting this month.

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