Sotumag’s half-year profit falls nearly 7%

The Tunisian Wholesale Market Company (Sotumag) has just published its interim financial statements for the period ending June 30, 2024.

It appears that the company’s half-year profit fell by 6.86% year-on-year. By the end of June 2024, its net profit reached 3.53 million dinars, while at the end of June 2023 it was 3.79 million dinars.

The company’s revenues were almost the same as the previous year (+0.42%), increasing from 8.50 million dinars at the end of June 2023 to 8.54 million dinars at the end of June 2024. Operating expenses increased by 2.33%, from 5.45 million dinars at the end of June 2023 to 5.58 million dinars at the end of June 2024.

Please note that the auditors made some comments and observations in their report.

Therefore, he said that Sotumag has 42 cold storage rooms, but these rooms are not used for their main purpose, but are rented out as packing boxes. And he estimated that he could not ” Speak out about this shortcoming of society ».

In addition, he also pointed out that the company conducts a physical inventory of fixed assets every year. However, the verification exercise showed that some fully depreciated equipment related to cold rooms was missing. He also pointed out that as of June 30, 2024, the “Pharmacy and approved laboratories” section showed a credit balance of 108,681 dinars and that the section contained some unreasonable balances, especially those related to the pharmacy.

The auditors stressed that Sotumag continues to initiate the necessary legal proceedings to recover debts owed by three sales agents, including those involved in confiscation proceedings provided for by Decree No. 2011-13 of 14 March 2011 on the confiscation of assets and movable and immovable property. Accounts receivable amounted to 909,175 dinars, of which 851,251 dinars were not recorded and therefore no provision was made.

He also pointed out that the company had started construction of a waste treatment and recycling station in 2010. However, work on the asset, worth nearly 2.9 million dinars, has been suspended and the station is yet to be operational.

After a years-long impasse, the company finally took back the station in July 2022, with the board confident that the cost of the project would be recovered through the expected economic benefits of its operation.

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