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12 | Prysmian Group
Insight
Quarterly Overview
Telecom:
marked jump
in organic
growth
The operating segment also
saw a major improvement in
profitability and solid growth
for Media Solutions. Continued
strength for Optical Cables.
In Europe, growth was driven by the
backhaul projects and FTTH/FTTA
connections awarded by leading operators
such as Telefonica in Spain, Orange and
Free in France and Telecom Italia in Italy.
In North America, development of the
new ultra-broadband and FTTx networks
led to a good increase in demand. In
the Asia Pacific region, the National
Broadband Network project in Australia
contributed to growth, even if a slowdown
is expected in the second half of the
year. Less positive performances were
recorded in South America, particularly
in Brazil, where the market is failing to
show significant signs of improvement.
The growth in Multimedia Solutions is
proving solid, particularly in Asia Pacific
and Brazil. Volumes and prices stabilised
in Europe. The Group maintained its
strategic focus on higher value-added
products and businesses, such as data
centres in Europe.
Sales by the TelecomOperating segment
posted a 13.1% jump in organic growth
to €578 million, thanks to strong demand
for optical fibre cables. Profitability
benefited from stabilisation of prices, the
result of investments aimed at regaining
cost competitiveness and the contribution
of Yangtze Joint Stock Limited Company
(YOFC). Adjusted EBITDA came in at €71
million, compared with €43 million in the
first half of 2014, while margin on sales
improved to 12.2% from 8.8%.