Casablanca – OCP Group, a leading global phosphate producer, has showcased remarkable financial performance for the first half of 2024, reflecting its resilience and strategic acumen despite a complex market environment.

Revenue growth

For the first half of 2024, OCP Group reported a revenue of $4.25 billion, marking a notable 15% increase compared to $3.75 billion during the same period in 2023. This growth underscores the group’s ability to capitalize on solid fundamentals and sustained demand for its products.

Quarterly performance

The second quarter of 2024 was particularly strong, with OCP achieving a turnover of $2.34 billion, up 23% from $1.90 billion in the same quarter of the previous year. This increase was driven by a significant rebound in demand from key importing regions and stable prices for phosphate products, which bolstered the group’s profitability.

Capital expenditure surge

OCP has also significantly increased its capital expenditure in the second quarter, with investments rising to $1.04 billion, up from $630 million in the same period last year. This investment surge highlights OCP’s commitment to expanding its production capacities and advancing its sustainability initiatives.

Phosphate sector performance

One of the standout achievements for OCP this year has been its performance in the phosphate sector. Exports of phosphates and derivatives rose by 14.1%, totaling $570 million. This growth is attributed to strong demand for both natural and chemical fertilizers and an overall increase in phosphate sales.

Market conditions and recovery

Despite a challenging 2023, where OCP’s turnover dipped to $9.02 billion from $11.25 billion in 2022, the company has managed a significant recovery in the latter part of 2023 and into 2024. The decline in 2023 was largely due to lower sales prices across all product categories compared to the exceptionally high prices of 2022. However, a gradual recovery was observed, driven by reduced export volumes from Chinese competitors and increased demand from major agricultural regions, including the United States, Europe, and Brazil.

Outlook

OCP Group’s strong performance in 2024 underscores its strategic resilience and operational excellence. The increase in revenue, capital expenditures, and phosphate exports reflects the group’s robust position in the global market and its commitment to long-term growth and sustainability.