Full-Year 2016 Results
Full-year 2016 performance in line with guidance
Organic sales stabilized in Q4, with improvement in all three geographies
Strong 58% increase in net income from continuing operations
Stable proposed dividend of €0.40 per share payable in cash
FULL-YEAR 2016 PERFORMANCE IN LINE WITH GUIDANCE
- Sales of €13.2bn, down 1.9% on a constant and same-day basis, including negative effects from copper (-0.9%) and Oil & Gas (-0.9%)
- Adjusted EBITA margin of 4.2%, down 27bps year-on-year
- Solid cash-flow at 69% of EBITDA before interest and tax and 42% of EBITDA after interest and tax
ORGANIC SALES STABILIZED IN Q4, WITH IMPROVEMENT IN ALL THREE GEOGRAPHIES
- Europe back to growth (+1.7% in Q4), mainly driven by France
- Sequential improvement in North America (-2.0% in Q4 after -6.0% in Q3), driven by the USA, and Asia-Pacific (-1.9% in Q4 after -5.6% in Q3), mainly driven by China
STRONG 58% INCREASE IN NET INCOME FROM CONTINUING OPERATIONS
STABLE PROPOSED DIVIDEND OF €0.40 PER SHARE PAYABLE IN CASH
Patrick BERARD, Chief Executive Officer, said:
“Our performance in 2016 was in line with guidance, despite an environment that remained challenging throughout most of the year.
In the last quarter of the year, Rexel posted stable organic sales after three quarters of decline. Sales improved sequentially in all three geographies, mainly driven by France, reflecting improved activity in all end-markets; the USA, where Oil & Gas started to show signs of stabilization while construction activity remained solid; and China, thanks to improving industrial activity.
This sequential improvement in sales trends and the strategic orientations that we will present today at our Capital Markets Day augur well for 2017. The outlook for the year, fully consistent with the medium-term ambitions that we will detail during the Capital Markets Day, targets a resumption of organic growth, with sales up in the low single digits, and a mid to high single-digit increase in adjusted EBITA, both on a constant and adjusted basis.
We will propose a cash dividend of €0.40 per share, stable compared to last year and in line with our pay-out policy.”