PARIS, France — Rexel released its second quarter and half-year results:
SALES OF $3.74bn IN Q2
- Up 0.1% on an organic basis
- Down 2.2% on a reported basis, mainly due to a 2.8% negative currency effect
IMPROVED GROSS MARGIN IN Q2, UP 26bps YEAR-ON-YEAR
- Improvement in Europe and Asia-Pacific
- Broadly stable in North America
ADJUSTED EBITA MARGIN OF 4.5% IN Q2, UP 5bps YEAR-ON-YEAR
- First quarter of year-on-year improvement since Q4 2012
- Continued opex reduction in North America
FULL-YEAR FINANCIAL TARGETS CONFIRMED
Key figures | Q2 2016 | YoY change | H1 2016 | YoY change |
Sales | $3,740m | $7,269m | ||
On a reported basis | -2.2% | -2.0% | ||
On a constant and actual-day basis | +0.1% | -0.9% | ||
On a constant and same-day basis | -2.3% | -1.9% | ||
Adjusted EBITA | $168m | +1.1% | $304m | -2.7% |
As a percentage of sales | 4.5% | 4.2% | ||
Change in bps as a % of sales | +5bps | -8bps | ||
Reported EBITA | $164m | -1.3% | $291m | -5.3% |
Operating income | $142m | +23.5% | $245m | +5.8% |
Net income from continuing op. | $64m | +184.4% | $107m | +121.8% |
Recurring net income | $86m | -7.2% | $149.6m | +0.5% |
FCF before interest and tax from continuing op. | $210m | vs. $161m | $(7.7)m | vs. $2.7m |
Net debt at end of period | $2.658m | -6.9% | $2,658m | -6.9% |
Patrick Berard, Chief Executive Officer, said: “Rexel’s second quarter performance showed a positive signal with a slight increase in profitability compared to last year, despite an environment that remained quite difficult. This improvement was mainly due to an increase in gross margin and the continuing effects of our cost reductions in North America.
“The second half should benefit from positive elements, such as the construction recovery in France and a gradual reduction in the negative impact from oil and gas activity, mainly in North America. Nevertheless, uncertainty surrounding Brexit and industrial activity levels in North America and China lead us to remain cautious.
“In this context and given the first-half performance, we confirm our financial targets for the full-year 2016, as announced in February.
“In my new role as CEO of Rexel, I will focus in the second part of the year, with my team, on delivering our 2016 targets, along with reviewing our action plans and updating our 2020 ambitions. I will present the outcome of this review next February, along with our 2016 annual results.”
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