Bizerte Cements (SCB) Faces Ongoing Financial and Industrial Challenges in Interim Report

The interim financial statements of Les Ciments de Bizerte (SCB) reveal a continuing precarious financial and industrial situation. The company’s industrial stagnation persists, driven by the halt in clinker production that began on October 15, 2023. This prolonged interruption stems from a chronic liquidity shortage, which has led to supply disruptions for essential consumables such as petroleum coke and refractory bricks.

To preserve its core operations, maintain its local market share, and meet its minimum obligations, SCB was forced to purchase 59,882 tons of clinker externally during the first half of the year. However, these acquisitions proved largely insufficient to offset the operational deficit. This is evidenced by the cost of under-activity, which was estimated at 11.144 million Tunisian Dinars (MTND) for the sold production.

Financial Performance

• Revenue: Revenue for the period stood at 14.802 MTND, a decline from the 18.601 MTND recorded in the first half of 2025.
• Gross Margin: Although showing relative improvement, the gross margin remained negative at -0.847 MTND (compared to -2.625 MTND as of June 30, 2025).
• Net Result: This improvement was absorbed by operating expenses and the significant weight of depreciation and provisions. By the end of the first half of 2026, the company recorded a net loss of -21.982 MTND. This figure worsened to -23.743 MTND after accounting for retirement severance payments and certain financial charges.

Fragile Financial Structure

SCB’s financial structure remains extremely fragile.

• Equity: Equity before allocation stands at 74.838 MTND.
• Current Liabilities: Current liabilities have reached a colossal 232.486 MTND, heavily weighing on the company’s short-term solvency.
• Debt Composition: This outstanding amount includes bank loans, overdue and unpaid borrowings, and significant bills payable for inventory financing.

In response to this situation, the auditors issued an explicit qualification, highlighting significant uncertainty regarding the company’s ability to continue as a going concern.

Path to Recovery

Hope for a turnaround now rests on the effective implementation of the restructuring plan developed by an external firm and recently approved by a restricted ministerial council. This strategic plan is built around a structured investment program comprising three phases:

1. Short-term: Restarting the clinker production line.
2. Medium-term: Progressive modernization of industrial equipment.
3. Long-term: Energy and environmental optimization.

In parallel, the company is engaged in advanced negotiations with its key banking partners to consolidate its debts and structure a new banking pool. The success of these steps will determine the survival of this century-old institution and its ability to regain sustainable balance.