The 2020 Mid-Year Economic Update_long

Rexel Sales Down 17.9% in First Half

Paris-based electrical distributor Rexel Inc. reported sales of €5.6 billion (US$7.9 billion) fell 17.9% on an organic same-day basis in the first half. Sales were down 6.4% on a reported basis.

At constant copper prices, sales would have decreased by 13.7%.

A 20.2% drop in organic sales in the second quarter followed a 15.4% drop in the first quarter. The distributor reported continued weakness in all of its end-markets. The company has also streamlined its branch network - closing 224 branches in the past 12 months.

The sales decline in the second quarter included 4 percentage points due to lower copper-based cables prices; at constant copper price, sales would have decreased 16.1% in the second quarter.

In North America, 31% of the company's sales, first-half sales ...

Paris-based electrical distributor Rexel Inc. reported sales of €5.6 billion (US$7.9 billion) fell 17.9% on an organic same-day basis in the first half. Sales were down 6.4% on a reported basis.

At constant copper prices, sales would have decreased by 13.7%.

A 20.2% drop in organic sales in the second quarter followed a 15.4% drop in the first quarter. The distributor reported continued weakness in all of its end-markets. The company has also streamlined its branch network – closing 224 branches in the past 12 months.

The sales decline in the second quarter included 4 percentage points due to lower copper-based cables prices; at constant copper price, sales would have decreased 16.1% in the second quarter.

In North America, 31% of the company’s sales, first-half sales fell 19.2% on a reported basis, and were down 25.9% on a constant and same-day basis. Rexel reported mitigating some effects of the downturn through initiatives in niche markets such as infrastructure projects.

In the U.S., sales fell 30.2%. Canada sales were down 7.8% thanks to energy projects-related business.

Europe first-half sales were up 0.7% on a reported basis, and down 14.3% on a constant and same-day basis.

Asia-Pacific first-half sales were down 6.5% on a constant and same-day basis.

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