OCP Group Records Record Profit Growth and Enhances Investments and Green Programs
The OCP Group has reported a rise in its revenues to 52.166 billion dirhams during the first half of the current year, compared to 43.248 billion dirhams in the same period last year. Financial results showed that EBITDA increased to 18.612 billion dirhams, with a margin of 36 percent, while investment expenses stabilized at 15.162 billion dirhams, compared to 19.753 billion dirhams during the same period last year.
Mustapha Terrab, the Group’s CEO, explained that the company experienced strong growth supported by industrial resilience and broad commercial capabilities, with improved transaction volumes in the second quarter due to increased volumes and favorable prices. He added that customized products, particularly TSP, saw a 69 percent increase, enhancing the group’s competitiveness and profit margin.
Global demand for phosphate fertilizers rose in the first half of the year, particularly from Brazil, India, Europe, and parts of Asia and Africa, while demand in the United States declined due to government policies. The group attributed a 16 percent increase in fertilizer revenue to higher export volumes, with rock phosphate revenue rising by 125 percent compared to last year.
The strategic business unit for specialized products and solutions (SPS) exhibited strong performance with export revenue reaching 3.767 billion dirhams, supported by increased sales of specialty acids, water-soluble fertilizers, and phosphates used in animal feed.
The group reported a notable improvement in profits and operating margins due to higher transaction volumes and operational efficiency gains, with cash liquidity rising to 23.251 billion dirhams and net financial debt reaching 101.218 billion dirhams, reflecting a leverage ratio of x2.45 times.
The management emphasized the ongoing expansion of strategic business operations for specialized products and solutions, acquiring an additional 25 percent of the Spanish company GlobalFeed, raising its stake to 75 percent, as well as issuing international bonds worth 1.75 billion dollars to finance the second phase of the 2030 investment plan.
The group reinforced its commitment to sustainability through green financing valued at 365 million euros and a 350 million euro agreement with the French Development Agency to support a 13 billion dollar green investment program for the period 2023-2027, aiming to utilize clean energy and unconventional water, increase production of decarbonized fertilizers, and achieve carbon neutrality by 2040.
Expansion projects at the Jorf Lasfar Chemical Complex are proceeding as planned, with the first production line and phosphoric acid processing unit now operational. Work continues on the second phase to increase production capacity, alongside strategic projects in the Louata and Ben Guerir mines, phosphoric acid and sulfuric acid production units, and water programs that have enhanced seawater desalination capacity by 50 million cubic meters annually.
