Nexans has announced a “record” fiscal year in 2022, with net profit up a strong 51% to 248 million euros, driven by the electrification of the global economy. According to a group press release, sales rose by 11.8% to 8.4 billion euros, thanks to the electrification business.
Remarkable contribution of the “Power Generation & Transmission” segment
Revenues for the “Power Generation & Transmission” segment will amount to 897 million euros in 2022, up 12.1% compared with 2021. This performance reflects the contribution of the Charleston site, the Group’s submarine high voltage manufacturing plant in the United States, and its two cable ships Nexans Aurora and Nexans Skagerrak.
The United States, a key market for Nexans
The United States is a key market for Nexans, which manufactures and installs many of the cables that connect the offshore wind farms under construction to the mainland. 3.2 billion at the end of December 2022, up 51% compared to 2021, with the Charleston and Halden plants in Norway 90% loaded until 2025.
A 2022-2024 transformation plan called “Winds of change
Nexans had announced in February 2021 a refocus on its electrification business at the expense of telecom cabling as part of its 2022-2024 transformation plan dubbed “Winds of change”. This plan has obviously borne fruit, as the group congratulated itself on the success of its strategy in the press release.
For 2023, in a world undergoing rapid electrification, Nexans forecasts an Ebitda of between 570 and 630 million euros, as well as cash flow of between 150 and 250 million euros. Christopher Guérin, CEO of Nexans, said in the release: “Once again, we were right to reaffirm our choice to champion sustainable electrification on a global scale. He also pointed out that electrical investments are increasing around the world.
