Morocco’s Highway Authority Faces Revenue Slump Amid COVID-19 Crisis

The first half of 2020 saw a 32% decline in highway traffic and a 29% drop in toll revenues. In total, there was a loss of 437 million dirhams at the end of June 2020 compared to the same periods of the previous year. This result stems from the lockdown measures and traffic restrictions following the health crisis, which have impacted highway traffic and thus ADM’s revenues and cash flow.

To this end, ADM is mobilizing to change the situation, which has put pressure on its cash flow. The company has implemented a rationalization and prioritization plan for expenses. This plan is based on reducing the budget for current expenses mainly related to the operating activity and on the deprogramming of investments in highway infrastructure construction. The annual investment and operating budget has thus been reprogrammed with a revision of 942 million dirhams. This revision will make it possible to anticipate the consequences of the health crisis for the rest of the year 2020.

Despite this situation, ADM has quickly put in place a system to ensure the continuity of public service at a standard of safety and quality. This service takes into account the support of its ecosystem through this crisis. It is thus a matter of protecting users and all human resources.

ADM also plans to work for an exit from the crisis as soon as possible, in order to ensure the continuity of its development plan, despite these results linked to a global and exceptional situation.