REXEL : STRONG GROWTH IN PROFITABILITY AND CASH FLOW IN 2007
Market Wire, February, 2008
- Sales up 15.1%: 10,704 million EUR, up 2.9% on constant and same day basis
- Adjusted EBITA up 16.2%: 658 million EUR or 6.1% of sales, on a constant basis
- Net profit before IPO costs up 65.3%: 312 million EUR
- Free Cash Flow up 37.4%: 670 million EUR before interest and taxes
- Net Debt reduced in 2007 from 3.1x to 2.3x pro forma EBITDA
- Dividend of EUR 0.37 per share, subject to shareholder approval at the Annual General Meeting of 20th May 2008
Jean-Charles Pauze, Chairman of the Management Board and CEO, commented:
"Rexel delivered yet another year of solid performance in 2007, posting strong growth in profitability and considerably enhancing cash-flow generation.
We grew our business in Europe and Asia-Pacific by focusing our efforts on delivering greater value to our clients.
In the US, Rexel strengthened its platform by integrating Gexpro ahead of schedule, and demonstrated its ability to adapt its cost base to a difficult economic environment.
Rexel is in good shape to acquire Hagemeyer. The retained European activities would reinforce our leading positions and increase our branch network in Europe by 50%. We are confident this strategic acquisition will result in a stronger platform for profitable growth and create more value for our shareholders."
Full year and fourth quarter 2007 results
- Successful implementation of operating levers
- Rapid deleveraging due to strong cash flow generation
- Faster than expected synergies from Gexpro
- Proven ability to flex the north American cost base
Key Figures:
(All comments on a constant and adjusted basis and for sales, at same number of days)
------------------------- -------------------- ---------- -------- |IFRS, EUR million |Twelve months to | | | | |December 31st | | | ------------------------- -------------------- ---------- -------- |2007 |2006 | | Change | ------------------------- -------------------- ---------- -------- |Constant and adjusted(1) | | | | ------------------------- -------------------- ---------- -------- |Sales |10,704.4 | 10,376.0 | 3.2% | ------------------------- -------------------- ---------- -------- |Same number of days | | | 2.9% | ------------------------- -------------------- ---------- -------- |Gross margin as a % of |24.5% | 24.2% | 30 bps | |sales | | | | ------------------------- -------------------- ---------- -------- |Operating expenses |(1,968.6) |(1,940.0) | 1.5% | ------------------------- -------------------- ---------- -------- |EBITA |657.9 | 566.1 | 16.2% | ------------------------- -------------------- ---------- -------- |as a % of sales |6.1% | 5.5% | 60 bps | ------------------------- -------------------- ---------- -------- |Actual | | | | ------------------------- -------------------- ---------- -------- |Sales(2) |10,704.4 | 9,298.9 | 15.1% | ------------------------- -------------------- ---------- -------- |EBITA(3) |648.4 | 573.6 | 13.1% | ------------------------- -------------------- ---------- -------- |as a % of sales |6.1% | 6.2% | | ------------------------- -------------------- ---------- -------- |Net income pre IPO |312.3 | 188.9 | 65.3% | |costs(4) | | | | ------------------------- -------------------- ---------- -------- |Free cash flow before |670.4 | 487.8 | 37.4% | |interest & tax(5) | | | | ------------------------- -------------------- ---------- -------- |Net debt |1,606.6 | n.c. | | ------------------------- -------------------- ---------- -------- ------------------------- -------------------- -------- -------- |IFRS, EUR million |Three months to | | | | |December 31st | | | ------------------------- -------------------- -------- -------- |2007 |2007 | 2006 | Change | ------------------------- -------------------- -------- -------- |Constant and adjusted(1) | | | | ------------------------- -------------------- -------- -------- |Sales |2,722.6 |2,659.5 | 2.4% | ------------------------- -------------------- -------- -------- |Same number of days | | | 1.3% | ------------------------- -------------------- -------- -------- |Gross margin as a % of |24.4% | 24.3% | 10 bps | |sales | | | | ------------------------- -------------------- -------- -------- |Operating expenses |(496.2) |(488.0) | 1.7% | ------------------------- -------------------- -------- -------- |EBITA |168.0 | 158.2 | 6.2% | ------------------------- -------------------- -------- -------- |as a % of sales |6.2% | 5.9% | 30 bps | ------------------------- -------------------- -------- -------- |Actual | | | | ------------------------- -------------------- -------- -------- |Sales(2) |2,722.6 |2,722.9 | 0.0% | ------------------------- -------------------- -------- -------- |EBITA(3) |157.9 | 167.8 | -5.9% | ------------------------- -------------------- -------- -------- |as a % of sales |5.8% | 6.2% | | ------------------------- -------------------- -------- -------- |Net income pre IPO |74.8 | 37.8 | 97.9% | |costs(4) | | | | ------------------------- -------------------- -------- -------- |Free cash flow before |219.6 | 220.6 | 0.0% | |interest & tax(5) | | | | ------------------------- -------------------- -------- -------- |Net debt |1,606.6 | n.c. | | ------------------------- -------------------- -------- --------
Most Recent Business Articles
- Multiple criteria evaluation and optimization of transportation systems
- Multi-criteria analysis procedure for sustainable mobility evaluation in urban areas
- A two-leveled multi-objective symbiotic evolutionary algorithm for the hub and spoke location problem
- Multi-criteria analysis for evaluating the impacts of intelligent speed adaptation
- The development of Taiwan arterial traffic-adaptive signal control system and its field test: a Taiwan experience
Most Recent Business Publications
Most Popular Business Articles
- 7 tips for effective listening: productive listening does not occur naturally. It requires hard work and practice - Back To Basics - effective listening is a crucial skill for internal auditors
- FAS 109: a primer for non-accountants - Financial Accounting Standards Board's "Statement 109: Accounting for Income Taxes"
- LIFO vs. FIFO: a return to the basics
- Design a commission plan that drives sales - Sales Commissions
- Too Young to Rent a Car? - 25-years-old the minimum age for car renting - Brief Article
Most Popular Business Publications
Content provided in partnership with
