Itissalat Al Maghrib IAM S A : Maroc Telecom - 2022 Financial report 26/07/2022

FINANCIAL REPORT

HY 2022

Preliminary remarks:

This financial report and the condensed financial statements for the half year ended June 30th, 2021 were approved by the Management Board on July 22th, 2022, and reviewed by the Audit Committee at its meeting on July 25th, 2022.

This report should be read in conjunction with the Management Board's report for the year ended December 31, 2021 as published in Registration Document as filed with the Securities Regulator (AMF) on April 27th, 2022 ("2021 universal registration document").

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CONTENTS

HIGHLIGHTS......................................................................................................................................................	4
1-	CERTIFICATIONS..................................................................................................................................	7
1.1	PERSON RESPONSIBLE FOR THE INTERIM REPORT..........................................................	7
1.2	CERTIFICATION OF THE INTERIM REPORT...........................................................................	7
1.3	PERSONS RESPONSIBLE FOR THE AUDIT OF THE FINANCIAL STATEMENTS ...............	7
2-	HALF YEAR ACTIVITY REPORT........................................................................................................	11
2.1	DESCRIPTION OF ACTIVITIES ...............................................................................................	11
2.2	RELATED-PARTY TRANSACTIONS.......................................................................................	19
2.3	GROWTH OUTLOOK ...............................................................................................................	22
3-	FINANCIAL REPORT ..........................................................................................................................	24
3.1	CONSOLIDATED FINANCIAL DATA ......................................................................................	24
3.2	INCOME STATEMENT AND FINANCIAL POSITION..............................................................	27
3.3	CONSOLIDATED FINANCIAL STATEMENTS AND NOTES .................................................	32
3.4	STATUTORY FINANCIAL STATEMENTS...............................................................................	46

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Highlights

January 2022

• Morocco: receipt of an ANRT report noting partial non-compliance with certain instructions included in the January 17th, 2020 decision on local loop unbundling;
• Redution in the national termination rate in Gabon, Côte d'Ivoire and Niger;
• Mauritania: abolition of Article 39 of the General Tax Code on the parent-subsidiary regime from which the CMC benefited in 2021.

February 2022

• Morocco: launch of the Shahid service, world leader in premium Arabic VOD content offering over 40,000 hours of film, series and documentaries;
• Chad: approval of a new Mobile Internet subscription catalog entailing price reductions in line with the authorities' guidelines recommending a 30% price reduction;
• Benin: ARCEP notification of the decision on the guidelines for national roaming in Mobile electronic communications networks;
• Benin: adoption of a new decision on the pricing of electronic communications services provided by Mobile operators in the Republic of Benin;
• Chad: decree on the scheme for setting up and operating fiber optic networks signed by the Chad authorities.

March 2022

• Morocco: launch of the new B2B Mobile subscription range offering a wider range of Voice and Data services at advantageous and competitive prices. The new catalog offers nine subscription formulas at prices between MAD 69 and MAD 369, as well as two new unlimited formulas at MAD 399 and MAD 599 in addition to zero- commitment formulas;
• Mauritania: announcement by Tunisia Telecom, BSA Telecommunication and Comatel of the signing of an exclusive agreement with Telecel Group for the sale of 100% of the shares of Mauritano-Tunisienne des Télécommunications (Mattel);
• Niger: notification of the list of operators exercising a significant influence on the markets for 2022.

April 2022

• Morocco: expansion of the current IVR 600 Internet Pass range with the addition of new Passes: 3 GB at MAD 30 and 10 GB at MAD 100;
• Mauritania: adoption by the Council of Ministers of a decree capping and defining the procedures for levying fees for occupation of the public domain by operators of electronic communications networks open to the public.

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May 2022

• Morocco: enhancement of the permanent multiple top-up offer via the "MonEspaceMT" application and on the website with a Voice and Data bonusx17 for values of MAD 30 and over and a Voice and Data bonusx13 on values from MAD 10 to 25 instead of x12;
• Morocco: new possibility of using Pass *9 dirham credit outstanding to buy an Internet top-up via the various
  channels: IVR, MonEspaceMT and WhatsApp;
• Burkina Faso, Côte d'Ivoire, Gabon and Togo: launch of new aggressive FTTH offers by Canalbox (GVA) with speeds multiplied by five at the same price. In response, new speeds on par with the competitor were implemented by Gabon Telecom, Onatel and Moov Africa CDI in June 2022.

June 2022

• Morocco: opening of the Phony DUO offer to the Professional segment, allowing customers to benefit from an ADSL connection of up to 12M, unlimited national fixed-line calls and 3 hours of free communications to national mobile numbers;
• Morocco: Maroc Telecom offers roaming customers in Saudi Arabia free incoming calls and a reduction in the Internet roaming rate (2 GB at MAD 100) during the 2022 Hajj period;
• Morocco: rollout of major communication campaigns to actively support the Roaming OUT business from the start of the summer season;
• Mauritania: publication of new national interconnection and access catalogs providing for a reduction in mobile call termination rates from MRU 0.18 to MRU 0.16 as of July 1st, 2022;
• Burkina Faso: adoption of the decree on the application of Law no. 001-2021/AN of March 30th, 2021 on the protection of persons with regard to the processing of personal data;
• Mauritania: adoption of the Electronic Communications Law by the National Assembly raising the cap on financial penalties to 5% of revenues.

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