Consolidated Financial Statements >
Directors’ Report
60
| 2012 annual report prysmian group
SEGMENT PERFORMANCE ENERGY BUSINESS
What are the strengths of the Energy business that have
allowed market leadership to be maintained?
Our performance is linked to a policy of industrial
efficiency and the continuous drive to achieve adequate
geographical coverage. In Europe, our prime focus has been
on large customers and more innovative products, through
implementing policies to rationalise product portfolios
and improving customer relationships by offering efficient,
comprehensive services; this approach is undoubtedly a basis
for maintaining our competitive position. We follow market
evolution very carefully, especially that of the high value-
added markets that guarantee us greater profitability.
In what way does the Utilities business contribute to the
Group’s economic performance?
The improvement in sales and profitability by the Utilities
business is mainly thanks to submarine cables and high
voltage underground cables. Underground cable demand
reported a positive trend in North America towards the end
of the year. Regions with growing infrastructure needs such
as Russia, China and the Middle East have also reported
a satisfactory level of demand even if accompanied by
stiffer competition. Our leadership is also confirmed in the
submarine cables and systems segment with the start of new
large-scale projects and the record level of the order book.
How are you addressing the growing development of the
renewable energy sector?
The pace of renewable energy development in Europe has
slowed following reductions in incentives in most countries.
We expect the market in North America to recover thanks to
the renewal of stimulus plans. Wind energy infrastructure
continues to be developed apace in North European seas,
with the installation of interconnectors from offshore wind
farms to national transmission grids. We are confident about
the future level of investments and our commitment will be
confirmed in 2013 with the implementation of new projects
involving offshore wind farms in Germany and the United
Kingdom.
Fabio Romeo
Executive Vice President
Energy Business
