Nexans lifts 2026 core profit goal on strong electrification business, M&A boost
XLI•Backlog, guidance and regional growth
Nexans is still waiting for the start of the rescheduled Great Sea Interconnector project, aimed at creating an electrical interconnection between Greece, Cyprus and Israel, which represented a €1.2 billion backlog for the company.
- Expects adjusted EBITDA of €770-840 million ($878-958 million), versus a previous €730-810 million range
- Sees free cash flow at €235-325 million, from €210-310 million previously
- Half-year EBITDA rises 4.3% from a year ago to €387.7 million
- With the acquisition of Electro Cables in Canada and Republic Wire in the U.S., sales in the region grew to around €1 billion from €350 million, CEO said
- Secured a new subsea cable contract with Greek grid operator IPTO to connect Greek islands, which will keep its Mass Impregnated production line busy through mid-2028 to temporarily replace the Great Sea Interconnector project
Higher profit target on electrification strength
French cable maker Nexans raised its full-year core profit target on Wednesday, sending its shares 8% higher, driven by better-than-expected performance in its electrification business and acquisitions strengthening its position in North America.
Its recent acquisition of Republic Wire in the U.S. will allow further growth driven by sustained demand across residential, commercial and data centre expansion.
