Industry · Energy & resources

Audit and financial advisory for energy and resources in Tunisia

Renewable energy, oilfield services, extractive industries, water treatment and construction: capital-intensive activities with long cycles and complex contractual arrangements, where revenue recognition and the monitoring of commitments are decisive.

Reference valuation: 7× EBITDA (indicative median).

The sector's accounting and financial issues

Long-term contracts and revenue recognition

Multi-year projects require a revenue recognition method consistent with the actual progress of the work, a reliable estimate of costs to completion, and the recognition of losses to completion as soon as they become probable. This is the sector's main area of judgement.

Capital intensity and project finance

The weight of fixed assets, financing structures often backed by the project itself, and bank covenants call for rigorous monitoring of financial ratios and off-balance-sheet commitments.

Regulatory framework and concessions

Permits, concessions, environmental obligations and site restoration provisions: these items must be identified, measured and monitored over time.

How we work in this sector

Statutory and contractual audit

Our audits examine the revenue recognition method on contracts, the reliability of cost-to-completion estimates, the measurement of provisions for risks and site restoration, and compliance with the financial commitments entered into.

Accounting and outsourcing

Project accounting, analytical monitoring by site or by asset, fixed asset management, tax filings and reporting to lenders.

Transaction advisory

Valuation of assets and companies in the sector, financial modelling of projects, due diligence for equity investments or asset disposals. Indicative median EV/EBITDA multiple: around 7 times.

Points of attention

  • Revenue recognition method on multi-year contracts
  • Reliability of costs to completion and losses to completion
  • Environmental and site restoration provisions
  • Compliance with covenants and off-balance-sheet commitments
  • Accounting treatment of concessions and permits

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