Rexel Records 2.5% Growth in 2025 and Raises EBITA Margin to 6.0%
The global distributor of energy products and services announced its 2025 results on Wednesday, marked by sequential growth improvement and stable profitability despite a challenging macroeconomic environment. The group has met or exceeded all its annual targets.
Sales Performance and Organic Growth
In 2025, Rexel recorded sales of 19,414.6 million euros, up by 0.7% in reported figures and 2.5% on a constant day basis. Organic growth improved quarter by quarter, moving from negative levels at the start of the year to a rise of 3.8% in the fourth quarter on a constant day basis. The fourth quarter generated a revenue of 4,881.1 million euros, stable in reported figures but up by 3.8% on a constant day basis, reflecting an acceleration of commercial dynamics across all regions. This progress was based on a volume growth of 2.1% and an improvement in sales prices, particularly for cables. Organic growth was further enhanced by a positive contribution from acquisitions of 1.8% over the year, while exchange rate effects penalized the reported results by 2.2% mainly due to the depreciation of the American and Canadian dollars against the euro.
Adjusted EBITA Margin Analysis
The adjusted current EBITA margin stood at 6.0% in 2025, up by 10 basis points compared to 5.9% in 2024, confirming market outperformance in a restrictive economic context. This stability masks contrasting regional dynamics. North America displayed a margin of 7.3%, up by 27 basis points, driven by robust growth of 7.0% on a constant day basis and strict control of operational expenses. Europe, which accounts for 48% of the group's sales, suffered a margin contraction of 16 basis points to 5.7% of sales, due to negative operational leverage and under-absorption of fixed costs. Asia-Pacific recorded a decline of 110 basis points to 1.1% of sales in a more competitive environment, particularly in China. The adjusted current EBITA amounted to 1,157.8 million euros, up by 1.8% on a comparable basis. This resilience stems from the group's structural actions and productivity measures, including a workforce reduction of 2.3% while volumes increased by 0.7% on a constant day basis.
Net Income and Financial Performance
The net income for the year amounted to 591.4 million euros, up by 73% compared to 341.0 million in 2024, but this figure includes exceptional items. The recurring net income, excluding these non-recurring items, increased more moderately by 2.4% to 678.5 million euros. The operating income reached 1,061.6 million euros compared to 845.9 million in 2024, including exceptional items related to restructuring for 41.1 million, gains on disposals of 36.0 million, and asset impairments of 29.7 million. The conversion of free cash flow before interest and taxes stood at 76.4% of EBITDAaL excluding a fine of 124 million euros paid to the French Competition Authority in April, significantly exceeding targets for the third consecutive year. Net financial debt progressed to 2,631.4 million euros with a leverage ratio of 2.0x. The group proposes a dividend of 1.20 euros per share, maintained at a high distribution level corresponding to 52% of the recurring net income, payable on May 13, 2026.
