Declining performance for Delattre Levivier Morocco in the first half of 2019

The economic achievements of the steel construction and assembly specialist, Delattre Levivier Maroc (DLM), were revised downward at the end of June 2019 (H1 2019). The company's turnover was 136.95 million dirhams, down 37.9% in H1 2019, compared to 220.66 million a year earlier.

Consolidated sales decreased by 47.1% for this period, from 339.32 million dirhams in 2018 to 179.40 million dirhams in 2019. The net result per group (RNPG) of the company is is established at a deficit level of 47.06 million dirhams, against a positive amount of 8.59 million a year earlier. The downward trend was noted even in the operating result (REX), which went from 32.09 million dirhams in H1 2018 to a withdrawal of 33.53 million in H1 2019. However, it should be noted that the total debt of the company decreased by 71 million dirhams at the end of June 2019.

In addition, the material and human expenses of the company were controlled at the end of June 2019, from 303 million dirhams to 203 million for the said period. In this sense, the management indicates that the number of employees has decreased to 196, while the outstanding bank guarantees has been marked by a decline of 82 million dirhams at the end of June 2019. The management indicates, by elsewhere, that debt restructuring has also been a management priority for the company ".

That said, the company is still struggling with its activity in Côte d'Ivoire, despite the abandonment of civil engineering activity in the country. It should be noted that the activity of the other subsidiaries of the company remained at a stable level.

Regarding its evolution prospects, the company indicates that it is looking for industrial partners, reinforced by a complementary mandate to a merchant bank in Europe. In addition, the management indicates that several asset disposals are in progress to improve the cash flow of the company, as well as to contribute to the deleveraging.