Listed companies had a good financial year in 2021. They earned MAD 252 billion in overall revenue, an improvement of 9.5% compared to 2020 and 3.2% compared to 2019, thanks in particular to the commercial dynamism of the industries. Their net debt was reduced by 12.1% to 53 billion, benefiting in particular from the drop in Maroc Telecom’s indebtedness of nearly 8.3% and their investment effort rose by 26.2% to 15 billion.
Overall revenues in marked improvement, debt down in double digits, investments in sustained increase, listed companies had a good financial year 2021. Thus, at the end of last year, listed companies recorded overall revenues amounting to 252 billion dirhams, up 9.5% year on year and 3.2% compared to 2019. This performance is mainly due to the effect of a rebound in industrial activity (+12.2% to 162.2 billion) combined with an increase in NBI from finance (+3.7% to 69 billion) as well as the improvement in gross written premiums in the Insurance & Brokerage sector (+9, 1% to 20.5 billion), indicates a BMCE Capital Global Research (BKGR) in its latest publication.
Industrial companies have, in fact, achieved a turnover up by 12.2% to 162.2 billion (+ 1.3% compared to 2019), following in particular a growth in sales in three sectors. The 1st is the building materials sector including three companies. These are TGCC whose revenues increased by 61.7% to 3.7 billion supported by the realization of new projects in several sectors (health, education, real estate, tourism, etc.). Ditto for Sonasid (+42.5% to 4.5 billion) having gained a favorable price/volume effect over the whole year and LafargeHolcim Morocco (+17.4% to 8.2 billion) whose revenues improved in the wake of the increase in overall cement sales (+14.8% at the end of 2021).
The 2nd is the gas sector, essentially TotalEnergies (+45.9% to 12.9 billion), following the increase in gas flows in a context of gradual recovery of CHR (Cafés, Hotels and Restaurants) and the flow of gas. “The activity of industrialists as well as a favorable effect induced by the surge in crude oil prices (+39.2% for Brent and +44% for WTI from one year to another), explains BKGR .
The 3rd is the mining sector, essentially for Managem (+57.1% to 7.4 billion), following in particular the marketing of gold from the Tri-k mine which reached its cruising speed by contributing of 38% of turnover as well as the consolidation of copper production, which made it possible to capture the upward trend in prices (+23% over 2021).
Growth in Insurance driven by the Life branch
Financial companies, for their part, experienced an increase in income, but not at the same level as industrials. In 2021, they recorded a NBI up by 3.7% to 68.9 billion (+7% compared to 2019) mainly from BCP (+791 million DH) following a 6.8% increase in the margin interest at 12.8 billion, benefiting in particular from an improvement in the cost of refinancing and from 5% of the margin on commissions drawn mainly by the Bank in Morocco and the subsidiary businesses. Bank Of Africa and Attijariwafa Bank also contributed strongly to the rise in NBI (+547 and +522 million respectively).
With regard to the Insurance & Brokerage sector, its turnover increased by 9.1% to 20.5 billion (+5.3% compared to 2019). This performance is driven in particular by the good behavior of the Life business (+15.9% to 7.3 billion) observed among all listed operators, particularly for Wafa Assurance (+634 million) thanks to the growth in the Savings activity with the continued development of Unit-linked products and the performance of Provident products, notes BKGR.
The Non-Life branch increased by 5.5% to 12.8 billion, thanks mainly to Saham Assurance (+396 million).
In addition, the main contributors to the increase in the turnover of listed companies in 2021 are construction materials (+4,891 billion) followed by the gas sector (+4,072 billion) and the mining industry (+2 562 billion). Conversely, telecoms weighed on the evolution of cumulative revenues to the tune of -979 million, “given the bad orientation of Mobile revenues in Morocco”, explains BKGR.
Debt down, investment up
Listed companies have deleveraged and increased their investments at a steady pace in 2021.
Thus, the net debt of listed securities (excluding financials) was reduced by 12.1% to 52.9 billion at the end of 2021. By contributor, the incumbent Telecom operator monopolizes more than a quarter (27%) of the overall outstandings followed by real estate with 17%, Taqa Maroc (13%) and construction operators (11%).
With regard to investments, listed companies mobilized an overall envelope of 14.7 billion at the end of 2021 (+26.2% from one year to one year). A good part (38%) of these investments was made by Maroc Telecom (+62.8% compared to 2020) following a return to an improved normative level of its investments, after a year 2020 marked by Covid-19 . 8% was invested by the mining companies (including 88% by Managem within the framework of the development of its local projects and in Africa), 9% by Label Vie mainly following the acceleration of the pace of development of the group with the opening of 27 new stores in 2021 (after the slowdown in 2020) and 10% by Agrifood and Beverages, mainly Mutandis whose investments focused on the acquisition of the North American Brand Season.