Key points for investors:
- Strong 2025 performance: Group standard sales EUR 6.1bn (organic +8.3%), adjusted EBITDA EUR 728m (11.9% margin), free cash flow EUR 344m and cash conversion 47%. ROCE improved to 21.3% and net debt fell to EUR 266m (leverage 0.36x).
- Strategic refocus completed: Nexans has largely finished its portfolio rotation to become a global electrification pure-player (Transmission, Grid, Connect). Remaining Autoelectric activity is classified as discontinued and expected to be disposed mid‑2026.
- M&A and integration: Two acquisitions closed in 2025 (Electro Cables in Canada and RCT in Spain) to strengthen low-voltage, high-value offerings; integration via the SHIFT program. M&A focus remains: bolt-ons in existing markets, larger moves in new geographies (notably North America), and adjacent cable-related products.
- Business-line performance: Transmission delivered exceptional growth (organic +29.8%) and backlog EUR 7.7bn (visibility to 2028); Grid grew +5.5% with strong margin improvement (16.4%); Connect grew +3.6% with mixed regional performance and ongoing integration of recent acquisitions.
- GSI (major Transmission project) rescheduled: GSI is excluded from 2026 guidance; produced cable is customer-owned and paid for. Management is pursuing mitigation (industrial actions, repairs, and bidding other MI projects) and expects some offset within the 2026 guidance range.
- 2026 guidance and 2028 target: 2026 adjusted EBITDA guidance EUR 730m–810m; free cash flow EUR 210m–310m. H1 expected softer than H2 due to project phasing. 2028 midterm EBITDA ambition remains unchanged and assumes MI capacity utilization (GSI or alternative MI projects).
- Sustainability and metallurgy: Progress on decarbonization (Scope 1 & 2 -49% vs target), circular initiatives (CableLoop) and continued investment in metallurgy (Lens recycling project commissioning ~2027) to improve supply security and competitiveness.
- Financial strength & shareholder returns: Strong liquidity, largely fixed‑rate debt profile, no material maturities before 2027, S&P BB+ stable. Dividend proposed EUR 2.9/share (up 11.5% y/y); payout target at least 30% by 2028.
- Key risks/near-term headwinds: FX exposure (notably Turkish lira, CAD), potential U.S. tariff impacts on metallurgy, regional softness in certain Connect markets (Asia Pacific/Oceania, Nordics), and timing uncertainty around large Transmission project execution (GSI).
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