Rexel, Paris, France, reported sales for the second quarter were €3.34 billion (US$4.13 billion), up 5.8 percent over the same period a year ago. On an organic, same-day basis, sales declined 0.1 percent. Profit for the global electrical distributor declined 28.4 percent to €61.9 million (US$76.5 million).
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For the first six months, sales were €6.57 billion (US$8.12 billion), up 6.6 percent year over year. On an organic, same-day basis, sales were up 0.8 percent. Profit decreased 12.2 percent to €151.1 million (US$186.7 million).
\”Rexel’s performance remained solid in the second quarter, despite a sequential slowdown in organic growth,\” CEO Rudy Provoost said. \”On a constant and same-day basis, sales were flat, as sustained growth in China and the Americas was offset by a slight drop in Europe and the Pacific.\”
Sales in Europe (56% of group sales) were flat in the second quarter, with a positive impact from consolidations of businesses across the continent. Difficult market conditions caused sales declines in most countries, though sales grew in Switzerland, Austria and Scandinavia.
In North America (31% of group sales), second-quarter sales were up 18 percent. On a constant, same-day basis, sales were up 5.3 percent. Growth in both the U.S. and Canada is being driven by the industrial end-market.
Asia-Pacific (10% of group sales) sales increased 10.2 percent on a reported basis, driven by consolidation of Beijing Zhongheng (China) and AD Electronics (India). Difficult market conditions in Australia and New Zealand continue to offset the strength in China.
Sales in Latin America (3% of group sales) increased 41.5 percent on a reported basis, with strong performance reported in Chile and Peru.
More details on Rexel earnings can be found at rexel.com.