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11
Quarterly Overview
The Energy Products operating segment
sales
amounted to €2,420 million, posting
organic growth of 2.7% on the first half
of 2015, mainly due to the recovery in
volumes in North America and Northern
Europe and growth in Asia, partially offset
by the downward trend in Brazil. There
was slight but steady improvement in
profitability with Adj. EBITDA at €128
million, up 2.9% on the first half of 2014,
withmargins largely stable at 5.3%of sales.
Energy
Products
profitability
steadily
improving
Continued recovery for Trade
& Installers and better than
expected improvement for
Distribution. Industrial posted
good results in Elevators,
improvement in Specialties &
OEM.
Energy & Infrastructure sales posted
organic growth of 5.3% to €1,468
million, with an acceleration in the
second quarter at 7.1%. The result was
due to the effective commercial strategy
of differentiating and improving the
sales mix but also to market growth in
the US and recovery of infrastructure
investment in Germany and the Nordics.
Adj. EBITDA reached €63 million, up
from €54 million one year earlier, with
margin essentially stable at 4.3% of sales.
Trade& Installers reflected a consolidation
of the signs of recovery emerging in
the last few months of 2014, allowing
moderate organic growth. The trend was
positive in Spain, Britain and Eastern
Europe, as well as in North America.
Power Distribution enjoyed a higher-
than-expected growth in sales thanks
to strong performance in Germany,
the Nordics and Argentina, where the
Group benefited from new investments
to upgrade electricity networks. Prices
remained in line with previous quarters.
Industrial & Network Components sales
amounted to €897 million, reflecting
persistent weakness of investments in
infrastructure. Oil & Gas was affected by
weak demand for Maintenance, Repair &
Operations, along with the oil price slide.
Specialties & OEM recorded positive
organic growth, with good performance in
Asia Pacific and Europe. Elevators posted
a solid performance across all regions.
In Network Components, positive
performance by high voltage products
in China counterbalanced weakness in
Europe.