Mozambique Electronic Cargo Tracking Services (MECTS), the first company born from a Public-Private Partnership (PPP) to be listed on the Bolsa de Valores de Moçambique (BVM), recorded profits of €2.2 million in 2025, a rise of 74.9% year-on-year, as cuts to operating costs more than offset a 1.9% decline in revenues.

According to audited financial statements cited by Lusa, net profit increased from 94.6 million meticais to 165.5 million meticais, equivalent to approximately €1.3 million and €2.2 million respectively. The net margin reached 13.9%.

The results extend the recovery that began after MECTS posted a loss of €489,000 in 2023. In the prospectus presented to investors at the time of its stock market listing, management highlighted improvements in operational performance and a strengthening of the company’s balance sheet.

Revenues fell to €15.8 million. The company attributed the decline to sociopolitical instability in Mozambique and in landlocked countries of the region, reduced vessel traffic at the Port of Beira, and the impact of climatic events on logistics corridors.

Nevertheless, operating profit grew 48.2% to €3.2 million, supported by the reduction in costs. Total assets rose 19.9% to €11.7 million, while shareholders’ equity more than doubled, climbing from €1.4 million to €3.5 million.

During 2025, MECTS invested €3.9 million, primarily in the acquisition of electronic sealing equipment, the development of technology systems, and the reinforcement of operational capacity.

Over the same period, the company carried out 386,430 electronic cargo sealing operations, up 2% from 2024, surpassing the target set for the financial year. The Central corridor accounted for 86% of operations, followed by the Southern corridor with 11% and the Northern corridor with 3%. The company ended the year with 675 employees.

Background

Established in 2018, MECTS operates the Electronic Cargo Sealing and Transit Tracking System (SEERC) under a 30-year concession awarded by the Mozambique Tax Authority, according to information cited by Lusa.

The system tracks the movement of goods along the country’s main logistics corridors in real time, using electronic seals, GPS technology, and permanent monitoring centres. Its stated objectives are to prevent tax evasion, combat smuggling, and enhance the security of cargo transport.

MECTS was admitted to trading on the BVM on 14 October 2026. The operation covered all 25,000 shares representing the company’s entire share capital. According to the prospectus cited by the agency, Ricardo Xavier Sengo held a 65% stake at the time of listing, Hui Jun Yang held 30%, and the remaining shareholders controlled 5%.