With a solid financial foundation that remains unaffected by past economic difficulties, and even less by certain setbacks, such as the fine paid last July to a competing Moroccan operator, Maroc Telecom continues to be a shining beacon of the Kingdom at the continental level, deserving strong institutional support. Its future prospects are very promising.
As a key player in digital development, both in Morocco and sub-Saharan Africa, Maroc Telecom continues to make strides, having recently set an example by respecting judicial decisions. The Moroccan telecom giant swiftly paid the fine in favor of a Moroccan competitor last July. This setback is considered a mere incident, according to an industry expert, as the group moves forward with even greater ambitions.
Standing firm on its solid financial pillars, the historical operator remains a model in South-South cooperation. Under the leadership of a determined management team, headed by Abdeslam Ahizoune, Maroc Telecom invested 3.2 billion dirhams ($326.1 million) in its operations during the first half of this year, as reported by African Economic Information Agency Ecofin, analyzing the group’s semi-annual performance.
This amount represents an increase of nearly 10% compared to the 2.9 billion dirhams invested during the first six months of 2023.
Maroc Telecom injected 1.67 billion dirhams into its Moov Africa subsidiaries and 1.5 billion dirhams into its operations in Morocco. Of the total investment, 22 million dirhams were allocated to acquiring expensive licenses and frequencies. Excluding frequencies and licenses, the group's investments represent 17.6% of its revenue, a clear indication of its commitment to long-term growth and continuous improvement of infrastructure, not only in Morocco but also in Mauritania, Burkina Faso, Gabon, Ivory Coast, Mali, Benin, Togo, Niger, the Central African Republic, and Chad.
By expanding telecom infrastructure across the African continent, Maroc Telecom’s African subsidiaries continue to deliver. The financial results of Moov Africa subsidiaries for the first half of 2024 are particularly noteworthy, with a 3.7% increase in revenue to 9.326 million dirhams. The outstanding performance of Mobile Data (18.2%) and Fixed Internet (21.6%) highlights the group’s successful strategy of expansion and diversification throughout Africa. These results underscore the significant contribution of the subsidiaries to the group's overall growth, further solidifying Maroc Telecom’s presence as a major telecom player in Africa.
The group saw a 5.1% increase in its customer base year-on-year, reaching 78.4 million customers as of June 30, 2024. This growth is mainly driven by the Moov Africa subsidiaries, which also experienced a significant 8.9% increase in their customer base. This positive trend reflects Maroc Telecom's ability to attract and retain new subscribers with a diverse and market-adapted offering. Thanks to a well-executed strategy led by top management, focusing on innovation, investment, and cost optimization, the group’s consolidated revenue reached over 18.260 million dirhams, up 0.9% at constant exchange rates, despite challenging circumstances. Its adjusted EBITDA margin stood at nearly 52%, reflecting its ability to optimize costs while maintaining solid profitability. These performances are largely driven by strong growth in Mobile Data (18.2%) and Fiber Optic services in Morocco (34.1%). These segments have offset the decline in ADSL and Mobile revenues in the Kingdom, demonstrating Maroc Telecom’s ability to reinvent itself and adapt to new consumption trends. Additionally, the notable increase in Fiber Optic revenues confirms the growing demand for high-speed connectivity solutions.
The Best Is Yet to Come
Maroc Telecom is planning massive investments in its infrastructure over the next five years. Between 2024 and 2028, the group has scheduled annual investments representing about 15% of its revenue, primarily aimed at expanding 4G and 5G networks in sub-Saharan Africa, as well as modernizing its fiber optic infrastructure in Morocco. These investments aim to meet the growing demand for digital services across the African continent while consolidating the operator’s position as a continental telecommunications leader. With the Moroccan state holding a 22% stake in its capital, Maroc Telecom remains the beacon of South-South cooperation. The group not only contributes to improving telecommunications infrastructure but also to the socio-economic development of the African countries where it operates. Its success in Africa is a true showcase of Moroccan expertise in new technologies and strengthens economic ties between Morocco and its African partners. These achievements align with the Kingdom’s growing leadership on the continent. The group’s outlook remains promising, even more so with the much-deserved institutional support.