9M 2024: +4% organic growth driven by Electrification - Set for a robust year
9M 2024 financial information+4% organic growth driven by ElectrificationSet for a robust year
_PRESS RELEASE_
Standard sales of €5,226 million in the first nine months of 2024, up +4.0% organically year on year and up +6.9% excluding Other activities
Electrification businesses up +7.9% organically in the third quarter of 2024, reflecting early-bird strategic investments in the Generation & Transmission segment
Strong adjusted backlog for Generation & Transmission, mainly subsea-driven, at €6.2 billion, up +19% compared to September 2023
Expansion of manufacturing capacities through investments in onshore high-voltage and the production of low-carbon medium-voltage cables in France
Strategic investment agreement in France to increase copper production and recycling capacity across Europe
Ambitious Net-Zero 2050 climate targets approved by the Science Based Targets initiative
Full-year 2024 guidance as updated in July 2024 confirmed
Adjusted EBITDA of between €750 and 800 million
Normalized Free Cash Flow of between €275 and 375 million
Capital Markets Day to be held on November 13, 2024 in London and virtually, and US investors day on November 20, 2024 in New York City
~ ~ ~
Paris, October 30, 2024, Nexans, a global leader in the design and manufacturing of cable systems to power the world, announces its financial information for the first nine months of 2024. Commenting on the Group's highlights, Christopher Guérin, Nexans' Chief Executive Officer, said:
"The first nine months of 2024 have laid strong foundations for a robust financial year. Our Electrification businesses continue to drive growth, up +7.9% organically in the third quarter of 2024, showcasing that early strategic investments in Generation & Transmission are already yielding benefits.
In order to reinforce the positioning of our electrification strategy and keep pace with increasing electricity demand, we have decided to invest €90 million in onshore high-voltage capacity at our French and Belgian plants and €15 million in the production of low-carbon medium-voltage cables in France. In addition, Nexans continues to lead the way in the circular economy with a strategic investment agreement at the Lens plant, enabling the recycling of over 80,000 metric tons per year.
As we look ahead, I am confident that our continued focus on performance and strategic execution will drive long-term value for all stakeholders. At our upcoming Capital Markets Day in November, where we will further outline the initiatives that will shape Nexans' trajectory in the years to come."
CONSOLIDATED SALES BY SEGMENT
(in millions of euros) At standard metal prices Copper reference at €5,000/t
9M 2023
9M 2024
Organic growth 9M 2024 vs. 9M 2023
Organic growth Q3 2024 vs. Q3 2023
Electrification
2,768
3,344
+12.1%
+7.9%
Generation & Transmission
593
899
+54.3%
+36.2%
Distribution
889
923
+1.6%
-0.1%
Usage
1,286
1,522
+0.5%
-0.7%
Non-electrification (Industry & Solutions)
1,352
1,294
-3.8%
-8.4%
Total Group (excl. Other activities)
4,120
4,639
+6.9%
+2.5%
Other activities
800
588
-14.2%
-19.4%
Group Total
4,921
5,226
+4.0%
-0.5%
9M AND Q3 2024 HIGHLIGHTS
In the first nine months of ...