Il bilancio al 31 dicembre 2009 è stato esaminato dal Consiglio di sorveglianza (riunitosi il 9 febbraio 2010) e sottoposto a verifica del Collegio sindacale . TENUTA DEI RISULTATINONOSTANTE UN CONTESTO ECONOMICO DIFFICILE- Continua il miglioramento della redditività e del deleveraging nel quarto trimestre- Margine EBITA[1] passato al 4,9% (dopo il 3,6% nel secondo trimestre e il 4,4% nel terzo trimestre)- Indebitamento netto ridotto di 183 milioni di euro nel trimestre- Performance annuali in linea con gli obiettivi- Fatturato a 11,3 miliardi di euro (organico e a giorni costanti: -17,2%)- Spese operative ridotte di 285 milioni di euro (-11% rispetto al 2008)- Margine EBITA[1] al 4,0%- Indebitamento netto a 2 . 401 milioni di euro, con una riduzione di 531 milioni di euro (indice di indebitamento 4,32x)- Debt maturity and financial flexibility increased through bond issue and new Senior Credit Agreement- 3 key priorities for 2010:- Consolidate market leadership- Improve profitability- Generate robust free cash flow | At December 31st | | Q4 2009 | YoY Change | FY 2009 | YoY Change | | Sales (Em) | | 2,904 . 7 | -15 . 2% | 11,307 . 3 | -12 . 1% | | % change organic same-day | | | -13 . 7% | | -17 . 2% | | EBITA (Em) | | 150 . 3 | +20 . 0% | 469 . 4 | -27 . 5% | | EBITA as a % sales | | 5 . 2% | +150 bps | 4 . 2% | -80 bps | | Constant | Gross profit1 (Em) | 708 . 0 | -13 . 3% | 2,749 . 7 | -17 . 0% | | and | Gross profit1 as a % sales | 24 . 4% | +10 bps | 24 . 3% | +20 bps | | ajusted | EBITA1 (Em) | 143 . 4 | -20 . 6% | 449 . 9 | -38 . 1% | | basis | EBITA1 as a % sales | 4 . 9% | -50 bps | 4 . 0% | -130 bps | | Free cash flow2 (Em) | | 290 . 1 | -7 . 8% | 879 . 7 | +11 . 5% | | Net debt end of period (Em) | | 2,401 . 2 | -18 . 1% | 2,401 . 2 | -18 . 1% |
1 Constant and adjusted: at comparable scope of consolidation and exchange rates, and excluding the non-recurring effect related to changes in copper-based cables price; an extract of financial statements is presented in Appendix2 Before interest and tax paidJean-Charles Pauze, Chairman of the Management Board and CEO, said:"In a very challenging 2009, Rexel demonstrated the resilience and adaptability of its business model and delivered on its objectives . Sales came in within our targets, and Rexel s ongoing efforts to adjust its cost base allowed us to limit the impact of the economic slowdown on our margins . Rexel also continued to deleverage its balance-sheet and increased its financial flexibility through the recent bond issuance and rearrangement of Senior Credit Agreement . In 2010, Rexel will build on these dynamics to reinforce its leadership and improve its profitability by capturing new market opportunities, upgrading its business model, continuing to enforce cost discipline and generating solid free cash flow . "Financial Review for the period ended December 31, 2009Unless otherwise stated, all comments are on a constant and adjusted basis and, for sales, at same number of working daysOrganic sales drop reduced to 13 . 7% in the fourth quarter & full-year sales of E11 . 3bn, in the high range of guidanceIn the fourth quarter, Rexel recorded sales of E2,904 . 7 million, down 13 . 7% year-on-year on a constant basis and same number of working days . The organic decline in the quarter is reduced compared to a fall of 20 . 2% in Q2 and 19 . 4% in Q3, benefiting from a favourable base effect, as the economic environment started deteriorating in Q4 2008 . At constant copper prices, sales would have decreased by 13 . 6% . Full-year sales amounted to E11,307 . 3 million, down 12 . 1% year-on-year on a reported basis; they included E851 . 8 million from acquisitions net of divestitures (mainly Hagemeyer impact on Q1) and a positive currency impact of E27 . 2 million . On a constant basis and same number of working days, sales were down 17 . 2% and down 14 . 4% at constant copper prices . The drop in sales reflects very challenging economic conditions across all end-markets, as well as a reduction in the number of branches as Rexel continues to streamline its network (the closure of 197 branches over the last 12 months is estimated to have reduced sales by 2 . 8%) . Europe (59% of sales): in the fourth quarter, sales were down 8 . 4% after a 16% fall in Q2 and a 14% fall in Q3 . As in Q3, Germany posted a robust performance, with sales up 0 . 6%, supported by sales to industry and sales of solar energy applications . France also recorded satisfactory performance with sales down by 4 . 9% compared to an 11% fall in Q2 and a 12% fall in Q3 . Belgium, Switzerland, Austria and Norway also performed better than European average in the quarter . Full-year sales amounted to E6,705 . 1 million, down 12 . 8% compared to 2008 . France, which represents one-third of European sales, remained more resilient (-8 . 3%) than the average of the region . Germany, Belgium, Switzerland, Austria and Norway also posted single-digit decline in sales compared to the previous year . Rexel estimates it outperformed the market in most countries in 2009, and particularly in its main markets of France, the UK and Germany, which accounted for close to 60% of European sales in the year . North America (29% of sales): in the fourth quarter, sales were down 26 . 2%, slightly improving on Q2 and Q3 (-30% in each of the quarters) . This slight improvement came from the United States (-30 . 1% vs . -35% in Q2 and in Q3), due to signs of bottoming out in the residential segment at the end of the year, while sales in Canada (-14 . 6%) remained impacted by lower industrial activity in Ontario and by the slowdown of oil-sands and related projects in Alberta . Full-year sales amounted to E3,315 . 4 million, down 27 . 0% compared to 2008 . The United States (-31 . 4%) was impacted by the low level of residential construction while several industrial sectors (steel, oil & gas and paper mills) and commercial end-market weakened during the year . Branch closures accounted for a 4 . 3 percentage-point drop in sales over the year . In Canada, sales were down 11 . 3% but Rexel estimates it outperformed the market over the year . Asia-Pacific (8% of sales): in the fourth quarter, sales were down 5 . 0% after a 9% fall in Q2 and a 10% fall in Q3 . In Australia (-10 . 5%), sales remained impacted by the drop in projects and the slowdown of residential, industrial and mining markets . Operations in China (which represented 19% of sales in the region) continued to perform strongly (+25 . 8% after +10 . 3% in Q2 and +22 . 3% in Q3), reflecting the country s economic dynamism and robust sales in the automation, energy and rail sectors . Full-year sales amounted to E847 . 7 million, down 7 . 0% compared to the previous year . Growth in China (+16 . 8%) partly offset sales drops in New-Zealand and Australia where Rexel estimates it outperformed the market . Other (4% of sales): in the fourth quarter, sales were down 7 . 6% after a 20% fall in Q2 and a 19% fall in Q3 . Full-year sales amounted to E439 . 1 million, down 15 . 2% compared to 2008 . Fourth-quarter EBITA margin improved sequentially to 4 . 9%, thanks to cost reduction, and full-year EBITA margin stood at 4 . 0%, reflecting increased resilience over the yearIn the fourth quarter, EBITA[2] margin improved to 4 . 9% (after 3 . 0% in Q1, 3 . 6% in Q2 and 4 . 4% in Q3) . This sequential improvement reflects the effectiveness of the cost-cutting measures implemented since the beginning of the year (distribution and administrative expenses in the quarter represented only 19 . 4% of sales, the lowest level since the beginning of the year) as well as an improvement in gross margin (24 . 4% in the quarter) . Reported EBITA in the quarter reached E150 . 3 million, up 20% compared to the fourth quarter of 2008 . Full-year EBITA margin stood at 4 . 0% compared to 5 . 3% in 2008 . The year-on-year margin drop of 130 bps, when compared to the 17 . 2% organic decline in sales, demonstrates the Group s strong ability to improve the resilience of its business model (8 bps reduction in EBITA margin for each 100 bps of sales drop) . This performance was achieved in a very challenging economic context through:A 20 bps gross margin improvement, driven by better purchasing terms and a favourable product and country mix in Europe;A E285 million reduction in distribution and administrative expenses representing 11% of the 2008 cost base (this net reduction includes synergies from the integration of Hagemeyer, which were in line with Rexel s objectives) . Net income impacted by restructuring expensesIn the fourth quarter, net income was a profit of E34 . 4 million compared to a loss of E62 . 5 million in the same period of 2008 . Full-year 2009 net income was E81 . 0 million compared with E231 . 5 million in 2008, which included gain on disposals of E118 . 1 million . Other income and expenses amounted to a net charge of E134 . 3 million, including E115 . 3 million of restructuring costs and E18 . 1 million of goodwill impairment (related to operations in Slovakia, Ireland and Finland);Net financial expenses amounted to E203 . 1 million compared to E210 . 3 million in 2008; this decrease is mainly driven by both reduced average debt and lower interest rates between the two years, despite the increased margin on Senior Credit as from August, 1st . The 2009 net financial expenses also included E21 . 2 million non-recurring costs following the July amendment and December refinancing of Rexel s Senior Credit . Recurring net income for the year amounted to E166 . 3 million compared with E317 . 3 million in 2008 (see table in Appendix 4) . Strong free cash flow reflecting substantial reduction in working capitalFree cash flow before interest and tax[3] increased by 11% in the year 2009 to E879 . 7 million, reflecting:- A E471 . 6 million cash inflow related to a reduction in working capital;- Selectivity in capital expenditure which was contained at E51 . 1 million, representing 0 . 45% of sales (compared to E88 . 2 million in 2008, representing 0 . 69% of sales) . After E149 . 3 million of net interest paid and E52 . 7 million of income tax paid, free cash flow stood at E677 . 7 million, a 38% rise compared with 2008 . Significant net debt reduction of E531 millionNet debt was reduced to E2,401 . 2 million at year-end 2009, compared with E2,932 . 0 million at year-end 2008 . Net financial investments during 2009 represented an outflow of E45 . 9 million, including E4 . 7 million for the acquisition of 63 . 5% of Xidian (China), E3 . 6 million for the increase, from 51% to 70%, of the Group s interest in Huazhang (China), E27 . 2 million for the buy-out of Hagemeyer minority interests and E10 . 1 million representing the net effect of earn-out and price adjustments on previous acquisitions . At December 31, 2009, the Indebtedness Ratio (adjusted consolidated net debt to adjusted consolidated EBITDA of the last 12 months) stood at 4 . 32x, below the 4 . 50x threshold, thus reducing by 50bps the margin applicable to the Senior Credit Agreement as from January 1st, 2010 . Strengthened financial structureIn December 2009 and January 2010, Rexel fully refinanced its E2 . 7bn Senior Credit Agreement (maturity 2012, of which E2 . 1bn were drawn) through:- The issuance of E650 million Senior Unsecured Notes (maturity 2016),- The implementation of a new E1 . 7bn Senior Credit Agreement (maturity 2014), whose main characteristics are described in Appendix 5,- The use of available cash . In December 2009, Rexel also extended the maturity of its US securitization programme by 2 years, up to December 2014 . Through these operations, Rexel has strengthened its financial structure by extending its debt maturity, reducing excess cash and increasing its financial flexibility . OutlookIn 2009, Rexel delivered on its priorities, increasing the resilience of its business model through strict cost control and measures to protect margins, as well as deleveraging the Group and strengthening its financial structure . In 2010, in an environment that will remain challenging, Rexel expects full year 2010 to post:low single-digit drop in sales (after the 17 . 2% decline recorded in 2009), on a constant and same-day basis,improvement in full-year adjusted EBITA margin over the 4 . 0% recorded in 2009,free cash flow before interest and tax of around E400 million . Financial informationThe fourth-quarter and full-year 2009 financial report is available on Rexel s website (www . rexel . com) in the "Regulated information" section . A slideshow of the fourth-quarter and full-year 2009 results is also available on the Company s website . CalendarMay 12, 2010: First-quarter 2010 resultsMay 20, 2010: Shareholders meetingJuly 28, 2010: Second-quarter and half-year 2010 resultsNovember 10, 2010: Third-quarter and 9-month 2010 resultsContacts | Financial Analysts / Investors | Press | | Marc MAILLET | Pénélope LINAGE | | Tel +33 1 42 85 76 12 | Tel +33 1 42 85 76 28 | | mmaillet@rexel . com | plinage@rexel . com | | Florence MEILHAC | Brunswick: Thomas KAMM | | Tel +33 1 42 85 57 61 | Tel +33 1 53 96 83 92 | | fmeilhac@rexel . com | tkamm@brunswickgroup . com |
Appendix 1Segment reporting - Constant and adjusted basis (*)(*) At 2009 constant scope of consolidation and exchange rates and excluding the non-recurring effect related to changes in copper-based cables price which was, at the EBITA level, a charge of E55 . 5 million in Q4 2008 and a profit of E6 . 9 million in Q4 2009and a charge of E62 . 0 million in the full-year 2008 and a profit of E19 . 5 million in the full-year 2009 . Group | Constant and adjusted basis (Em) | | Q4 08 | Q4 09 | Change | FY 08 | FY 09 | Change | | | | | | | | | | | Sales | | 3,360 . 0 | 2,904 . 7 | -13 . 6% | 13,743 . 4 | 11,307 . 3 | -17 . 7% | | | on a constant basis and same days | | | -13 . 7% | | | -17 . 2% | | Gross profit | | 816 . 7 | 708 . 0 | -13 . 3% | 3,311 . 9 | 2,749 . 7 | -17 . 0% | | | as a % of sales | 24 . 3% | 24 . 4% | +10 bps | 24 . 1% | 24 . 3% | +20 bps | | Distribution & adm . expenses (incl . depreciation) | | (636 . 0) | (564 . 5) | -11 . 2% | (2,585 . 1) | (2,299 . 8) | -11 . 0% | | EBITA (1) | | 180 . 7 | 143 . 4 | -20 . 6% | 726 . 8 | 449 . 9 | -38 . 1% | | | as a % of sales | 5 . 4% | 4 . 9% | -50 bps | 5 . 3% | 4 . 0% | -130 bps | | Headcount (end of period) | | 33,011 | 28,688 | -13 . 1% | 33,011 | 28,688 | -13 . 1% |
(1) Operating income before other income & other expenses and amortization of purchase price allocationEurope | Constant and adjusted basis (Em) | | | Q4 08 | Q4 09 | Change | FY 08 | FY 09 | Change | | | | | | | | | | | | Sales | | | 1,936 . 7 | 1,777 . 5 | -8 . 2% | 7,737 . 1 | 6,705 . 1 | -13 . 3% | | | | on a constant basis and same days | | | -8 . 4% | | | -12 . 8% | | o/w | France | | 646 . 3 | 614 . 3 | -5 . 0% | 2,483 . 0 | 2,258 . 6 | -9 . 0% | | | | on a constant basis and same days | | | -4 . 9% | | | -8 . 3% | | | United Kingdom | | 234 . 7 | 208 . 1 | -11 . 3% | 1,052 . 2 | 895 . 2 | -14 . 9% | | | | on a constant basis and same days | | | -9 . 4% | | | -14 . 2% | | | Germany | | 224 . 9 | 232 . 6 | 3 . 4% | 872 . 4 | 813 . 6 | -6 . 7% | | | | on a constant basis and same days | | | 0 . 6% | | | -6 . 2% | | | Scandinavia | | 233 . 5 | 213 . 7 | -8 . 5% | 879 . 3 | 765 . 9 | -12 . 9% | | | | on a constant basis and same days | | | -9 . 8% | | | -12 . 5% | | Gross profit | | | 491 . 2 | 455 . 3 | -7 . 3% | 1,947 . 0 | 1,719 . 1 | -11 . 7% | | | as a % of sales | | 25 . 4% | 25 . 6% | + 20 bps | 25 . 2% | 25 . 6% | + 40 bps | | Distribution & adm . expenses (incl . depreciation) | | | (384 . 9) | (348 . 6) | -9 . 4% | (1,526 . 3) | (1,399 . 6) | -8 . 3% | | EBITA | | | 106 . 3 | 106 . 7 | +0 . 4% | 420 . 7 | 319 . 5 | -24 . 0% | | | as a % of sales | | 5 . 5% | 6 . 0% | + 50 bps | 5 . 4% | 4 . 8% | - 60 bps | | Headcount (end of period) | | | 19,724 | 16,937 | -14 . 1% | 19,724 | 16,937 | -14 . 1% |
North America | Constant and adjusted basis (Em) | | | Q4 08 | Q4 09 | Change | FY 08 | FY 09 | Change | | | | | | | | | | | | Sales | | | 1,046 . 3 | 773 . 4 | -26 . 1% | 4,573 . 5 | 3,315 . 4 | -27 . 5% | | | | on a constant basis and same days | | | -26 . 2% | | | -27 . 0% | | o/w | United States | | 783 . 6 | 549 . 2 | -29 . 9% | 3,586 . 6 | 2,443 . 4 | -31 . 9% | | | | on a constant basis and same days | | | -30 . 1% | | | -31 . 4% | | | Canada | | 262 . 7 | 224 . 2 | -14 . 7% | 987 . 0 | 871 . 9 | -11 . 7% | | | | on a constant basis and same days | | | -14 . 6% | | | -11 . 3% | | Gross profit | | | 226 . 5 | 167 . 4 | -26 . 1% | 995 . 8 | 710 . 1 | -28 . 7% | | | as a % of sales | | 21 . 6% | 21 . 6% | 0 bps | 21 . 8% | 21 . 4% | - 40 bps | | Distribution & adm . expenses (incl . depreciation) | | | (170 . 4) | (142 . 8) | -16 . 2% | (759 . 4) | (626 . 2) | -17 . 5% | | EBITA | | | 56 . 1 | 24 . 5 | -56 . 2% | 236 . 4 | 83 . 9 | -64 . 5% | | | as a % of sales | | 5 . 4% | 3 . 2% | - 220 bps | 5 . 2% | 2 . 5% | - 270 bps | | Headcount (end of period) | | | 8,817 | 7,683 | -12 . 9% | 8,817 | 7,683 | -12 . 9% |
Asia-Pacific | Constant and adjusted basis (Em) | | | Q4 08 | Q4 09 | Change | FY 08 | FY 09 | Change | | | | | | | | | | | | Sales | | | 236 . 6 | 223 . 4 | -5 . 6% | 914 . 3 | 847 . 7 | -7 . 3% | | | | on a constant basis and same days | | | -5 . 0% | | | -7 . 0% | | o/w | Australia | | 159 . 0 | 141 . 9 | -10 . 7% | 601 . 7 | 533 . 3 | -11 . 4% | | | | on a constant basis and same days | | | -10 . 5% | | | -11 . 0% | | | New-Zealand | | 31 . 3 | 28 . 9 | -7 . 7% | 121 . 9 | 111 . 8 | -8 . 3% | | | | on a constant basis and same days | | | -7 . 7% | | | -8 . 3% | | | China | | 33 . 3 | 40 . 6 | 22 . 0% | 137 . 1 | 159 . 3 | 16 . 2% |
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