Third-Quarter & 9-month 2010 results
RETURN TO ORGANIC SALES GROWTH IN ALL REGIONS
EBITA UP 26% IN Q3
Third-quarter sales up 8.9% on a reported basis and up 3.2% on a constant and same-day basis, confirming the return to growth observed in Q2:
• Europe: continued growth (+2.7%)
• North America: return to growth (+1.3%) after nine consecutive quarters of decline
• Asia-Pacific: strong expansion (+12.5%), driven by Australia and China
Further improvement in profitability in the quarter: EBITA up 26% and EBITA margin1 up 100bps to 5.4%
• Gross margin1 improvement
• Continued focus on cost control
Confirmation of full-year targets (as revised upwards on July 28):
• Slight increase in sales on a constant and same-day basis
• Adjusted EBITA margin above 4.5%
• Free cash flow before interest & tax above €400m
Jean-Charles Pauze, Chairman of the Management Board and CEO, said:
“In the past quarter, Rexel’s organic sales growth continued to improve, confirming the positive trends observed in Q2. For the first time in over two years, we saw growth across all regions, including North America, even though the recovery in the US remains limited. We once again demonstrated our ability to enhance profitability and control costs, with our EBITA margin further improving to 5.4% in the quarter. We also continued to lower our indebtedness ratio. Our performance in Q3 and the implementation of our strategy, with an increasing focus on energy efficiency, reinforce our confidence that we will achieve our full-year targets.”