5
Prysmian Group Insight
QUARTERLY OVERVIEW
€600 million of new submarine projects awarded in H1
Building wires still negative but signs of stabilisation in second quarter
Energy
Sales to third parties amounted
to €2,995 million, compared
with €3,170 million in the
first half of 2012, reporting
an organic decrease of 2.7%.
In the second quarter sales
were broadly in line with the
previous year, despite the
continuing weakness of demand
for building wires and industrial
cables for renewables. Adjusted
EBITDA amounted to €225
million, basically in line with the
€229 million posted in the first
half of 2012.
Utilities
sales to third parties
amounted to
€
1,071 million,
recording a 0.7% organic increase.
The excellent results reported by the
Submarine cables business allowed
adjusted EBITDA to increase to
€
121 million from
€
117 million in
the first half of 2012, while sales
for the High Voltage underground
cables business line were broadly in
line with the corresponding period
of 2012. The order book provides
sales visibility for the whole of 2013,
with signs of recovery particularly
seen in Europe, the Middle East
and a number of Asian countries.
The Group's Submarine cables and
systems business line reported
excellent sales, while the order
book has reached a record figure of
more than
€
2.3 billion, with
€
600
million in new projects awarded in
the period and intense tendering
activities. Profitability improved
sharply with prospects for further
growth in the second half. Sales
by the Power Distribution business
line continued to be affected by
deterioration in demand in the
wider European market, despite
signs of recovery in North America.
Trade & Installers
sales to third
parties amounted to
€
974 million
with an organic decrease of 8.5%
on the first half of 2012, basically
attributable to the construction
industry crisis, while positive
performance was confirmed in South
America. Adjusted EBITDA came in
at
€
37 million, compared with
€
42
million in the corresponding period
of 2012.
Industrial
sales to third
parties amounted to
€
896 million,
delivering organic growth of 0.6%
(+6.2% in the second quarter).
Elevator cables continued to report
an excellent trend. Adjusted EBITDA
amounted to
€
63 million.
Telecom
Decline in optical cable sales in
North and South America, stable
optical volumes in Europe,
growing demand in China for
FTTH. Profitability expected to
improve in second half. Sales to
third parties amounted to €627
million.
The timing of any renewal or
effective activation of incentives
in the Americas is still uncertain,
notably in the US, while in Europe
optical sales volumes were stable.
In Asia Pacific there was growing
demand in China for Fibre to the
Home cabling solutions, while
sales performed well in Australia
thanks to the National Broadband
Network Project. The Multimedia
Solutions business line continued
its commercial expansion in South
America and Australia. OPGW
performed well in Southern Europe,
Middle East and Africa, with growing
exposure also in North America
and Russia. Adjusted EBITDA
declined from
€
79 million in the
first half 2012 to
€
57 million; this
profitability shrinkage was fully
attributable to incentives suspended
in US and Brazil.
Utilities Orders Backlog evolution
E
million
Jun '13
Dec '12
~550
~500
Jun '12
~650
Dec '11
~650
Jun '11
~650
Dec '10
~650
Jun '10
~300
Dec '09
~250
~1,000
~900
~800
~650
~2,300
~1,900
~1,700
~1,050
HV
Submarine
