GCR Ratings (“GCR”) revised SITAB's long-term issuer rating from 'BBB (WU) 'to 'A- (WU)' on its regional rating scale on December 16, 2022 with a stable outlook.

The revision of the ratings of Société Ivoirienne des Tabacs SA (SITAB) reflects the improvement in its financial profile characterized by revenue growth and a net margin that has returned to positive territory over the past three years. The rating is also based on the firm position of the company in its market.

Since 2019, SITAB has seen an increase in its revenues. In reality, this increase is supported by increasing sales volumes due to sales prices in line with market requirements. SITAB saw its margins melt in 2016 and go into a negative zone for two years starting in 2017 due to a price positioning that was not welcomed by the market in 2015. This tends to pass on to customers the increase in tobacco taxation imposed by the Ivorian Administration.

From 2019, volumes decreased, supporting the increase in its consolidated turnover (AF21: +17%, AF20: +9%, AF19: +28%) to bring its operating margin back into positive territory (AF21:7.8%, AF19:5.6%, AF20:5.7%), taking into account good control over its cost structure and financial management egrave; re adapted to the business model for the distribution of cigarette brands.