2008 Third quarter Results
STRONG CASH FLOW AND PROFITABILITY IN THE THIRD QUARTER AND 2008 YEAR-TO-DATE
Good performance in the third quarter:
– Organic sales growth of 0.4% , on a constant and same-day basis
– Adjusted EBITA up 4.3% to €185 million (5.4% of sales, up 20 bps)
– Initial Hagemeyer synergies achieved on schedule
Solid year-to-date results:
– Organic sales growth of 1.6%1, on a constant and same-day basis
– Adjusted EBITA up 5.3% to €520 million (5.5% of sales, up 20 bps)
– Net income at €294 million
– Strong free cash flow: €474 million, before interest and tax
Strong resilience and responsiveness to the current environment
– Ongoing measures to attain the targeted EBITA margin of around 5.4% in 2008 even if organic sales are flat or slightly below last year
Jean-Charles Pauze, Chairman of the Management Board and CEO, commented:
“Rexel recorded a solid third quarter and year-to-date performance in a challenging environment. Our profitability and cash flow attest to the resilience of Rexel’s business model.
As we had expected for the second half of the year, our major markets are slowing down. We have continued to implement measures to attain our targeted EBITA margin of around 5.4% in 2008 even if our sales are slightly lower than anticipated due to the deterioration of the economic environment and the fall in raw material prices.
More than ever, Rexel is strongly focused on continuing to adapt its cost base, accelerating synergies from Hagemeyer businesses and generating cash flow.”