PGH: A Reflection of Tunisia's Economy
As a holding company, PGH is a proxy for Tunisia's economy, with a presence in various sectors, making it a mirror of the country's economic trends. This is evident in its global revenue, which decreased by 3% to 944,942 Mtnd in the first quarter of 2024.
Local Market Resilience
Despite the decline, local sales showed resilience, increasing by 0.4% to 856,925 Mtnd. Certain segments stood out, including:
- Commerce & Services: +9% to 80,269 Mtnd
- Steel Transformation: +61% to 29,285 Mtnd
- Wood & Equipment: +12% to 20,415 Mtnd
- Real Estate: +32% to 7,287 Mtnd
However, the Packaging segment experienced a decline of 20% to 48,230 Mtnd. The two key poles of the group, Poultry Integration and Agro-Food, demonstrated notable resilience, maintaining sales levels despite reduced purchasing power for most of the population.
Export Performance
Exports were the primary cause of the overall decline, with a 28.7% decrease to 88,017 Mtnd. The Agro-Food sector saw a 35% decrease in exports to 33,592 Mtnd, while Steel Transformation declined by 23% to 31,489 Mtnd, and Building Materials plummeted by 75% to 2,980 Mtnd. However, some activities performed well, including:
- Wood & Equipment: +74% to 0,346 Mtnd
- Commerce & Services: +126% to 0,640 Mtnd
- Packaging: +9% to 7,410 Mtnd
Investment Strategy
PGH remained committed to its investment strategy, allocating 22,408 Mtnd in the first quarter, a 19% increase year-over-year. The Poultry Integration pole benefited from 11,800 Mtnd, invested in abattoir extensions and equipment renewal for breeding centers. The Agro-Food sector attracted 4,500 Mtnd, primarily for cold equipment purchases for ice cream factories and the extension of the mayonnaise and margarine factory in Bir Mcherga.
Additionally, 1,900 Mtnd was invested in the Commerce & Services fleet, while the new brick factory in Kef consumed 1,700 Mtnd. The acquisition of new equipment cost 1,300 Mtnd for the Packaging pole, 0,700 Mtnd for Steel Transformation, and 0,200 Mtnd for Wood & Equipment.
PGH's unique diversification enables it to maintain a sustained level of activity, regardless of the economic context. This is a solid foundation.
