Press release, Paris, France 7th May 2020
Q1 2020 FINANCIAL INFORMATION
Stable Group sales in unprecedented crisis
Transformation program reinforced and implemented group-wide
Paving the way for a stronger Nexans
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Standard sales of 1,569 million euros in the first-quarter 2020, representing organic growth of -0.1% year-on-year
Strong backlog in Subsea (1.6 billion euros1) with no delays in project execution
China back to full operations, Europe and North America impacted by partial lockdowns
Strong actions to cope with the sanitary crisis and to preserve liquidity:
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Increased cost reduction targets and strict cash management
Proposed cancelation of dividend payment to shareholders
Reduced fixed compensation by 30% reduction for the Board of Directors and CEO, and by
15% for Executive Committee
280 million euros loan guaranteed by the French State, negotiations underway
2020 guidance suspended on March 24, 2020, will be updated when situation firms up
Christopher Guérin, CEO:
Over the first quarter, the World witnessed an unprecedented outbreak. After a very strong start, Nexans adapted its operational model to anticipate and protect all our employees while maintaining business continuity and focusing on our top customers. Thanks to the anticipated health and safety measures and our employee engagement, 90% of our plants are running. As the sanitary crisis unveiled, we accelerated our efforts to reduce our costs further, reinforced our transformation program (SHIFT) and safeguarded our liquidity, while developing more
Services and Solutions. Nexans closed the year 2019 with a solid and resilient backlog of 1.8
billion euros2, reinforcing our long cycle exposure. Thanks to our solid fundamentals, self-help plan and sound liquidity, we are paving the way for a stronger Nexans both operationally and financially.
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Adjusted subsea backlog end of March 2020 including contracts secured not yet enforced
Adjusted subsea backlog end of December 2019 including contracts secured not yet enforced
