One Tech Holding Reports Profit of 27,094 MTND for First Half of 2024
The parent company, which generates revenue solely from dividends received from its subsidiaries, has announced a profit of 27,094 MTND for the first half of 2024. This result reflects the performance of 2023 and provides insight into the 2025 dividend, but has no connection to the industrial activity of 2024.
As a reminder, the quarterly activity indicators showed a 10.4% decline in revenue to 532,040 MTND. The decrease in demand on export markets, which affected both the construction and automotive sectors, had a negative impact on the holding company's volumes. Additionally, internally, this evolution reflects the effort to rationalize the product mix, aiming to improve the group's operational margins.
However, the major news came in yesterday's press release, in which the board of directors announced its intention to undergo a profound restructuring. The plan is to separate the two main business poles, namely mechatronics and cables, and engage in in-depth reflection to define the most optimal modalities. The goal is to create homogeneous entities capable of developing independently and leveraging synergies and economies of scale already established within their respective subsidiaries.
Furthermore, One Tech has decided to seek a strategic partnership for its Fuba Tunisie structure, specialized in printed circuits, to enable it to benefit from the ongoing major transformations and accelerate its technological development internationally.
We believe this evolution is natural. The group's size has grown and is diversifying, increasing its complexity. The hierarchical and functional structure has become insufficient to ensure the group's proper functioning and competitiveness. The divisional structure will allow for more organized and efficient work.
On the market, the stock has shown a 4.82% return since the beginning of the year and remains one of the best investments in the industrial sector. The market will appreciate the intention to find a foreign partner, as it will better value the company and its growth potential.
