Monoprix Bounces Back with a Net Profit of 5,876 MTND in 2023
After years of difficulties, the Société Nouvelle Maison de la Ville de Tunis (Monoprix) has finally found its footing. The 2023 financial year ended with a net profit of 5,876 MTND. However, accounting adjustments of -2,811 MTND brought the figure down to 3,064 MTND.
The adjustments were mainly due to discrepancies in the interpretation of contractual clauses related to insurance indemnities following the 2011 events and a 2012 fire. The difference between the initial estimate and the actual reimbursement from insurers was recorded as an accounting adjustment. Additionally, the company had to reestimate its commitments to personnel regarding retirement benefits using an actuarial method, which was applied starting from the 2023 financial year. The necessary corrections were made at the beginning of the 2023 financial year.
Operational Performance
On the operational side, revenues totaled 684,081 MTND, a 9.1% increase year-over-year. The commercial margin stood at 126,358 MTND, representing a rate of 18.12% compared to 17.48% in 2022. In the world of large-scale distribution, increasing margins is the most challenging task, and Monoprix partially succeeded in doing so last year, allowing the company's accounts to recover. The operating result significantly improved, rising from 1,365 MTND in 2022 to 5,802 MTND a year later.
Financial Performance
The financial result evolved positively to 0,582 MTND, and ordinary gains of 4,626 MTND more than covered the losses of -3,430 MTND. These gains came from the sale of a fully depreciated building, which was the subject of a judicial expertise in December 2022.
Consolidated Results
At the consolidated level, the net result attributable to the group rose to 1,013 MTND, compared to -8,392 MTND in 2022. However, taking into account the effects of accounting adjustments, the result became -2,182 MTND. Overall, 2023 was a positive year for the distribution company, with confirmation awaited in 2024.
