Prysmian (PRY) CMD 2025 (Media) summary

Strategic direction and transformation

• Transitioning from a pure cable manufacturer to a global solutions provider, with 55% of revenue targeted from solutions by 2028, up from 28% in 2024 and 18% in 2010.

• Enhanced global reach, with North American exposure rising from 10% in 2007 to 50% in 2024.

• Focus on innovation, targeting 30% new product and solutions vitality by 2028, up from 24% in 2024 and 5% in 2007.

• Portfolio strengthened by major acquisitions, including Encore Wire and Channell, expanding digital and electrification capabilities.

• Emphasis on sustainability, aiming for net zero across Scope 1, 2, and 3 emissions by 2050 and a net gain in biodiversity by 2035.

Financial guidance and performance targets

• 2028 adjusted EBITDA target set at €2.95–3.15bn, up from €2.1bn in 2024.

• Free cash flow expected to reach €1.5–1.7bn by 2028, with cumulative €5bn FCF projected for 2025–2028.

• EPS CAGR of 15–19% expected for 2024–2028, with dividend per share CAGR of 12% over the same period.

• Over 50% EBITDA conversion into free cash flow targeted, with run-rate leverage of 1.0–1.5x.

• Market capitalization increased from €2.7bn in 2007 to ~€18bn in March 2025, with total shareholder return up 470% since 2007 and 75% since 2023 CMD.

Market drivers and business developments

• Secular tailwinds include the global transition to renewables (30% to 70% by 2050), doubling of electricity demand, and 2x annual power grid investments.

• Digital transformation driving 2.5x increase in fiberized premises and $330bn data center investment by 2030.

• Transmission, power grid, electrification, and digital solutions segments all targeted for margin and EBITDA growth, with leadership in each area.

• Encore Wire and Channell acquisitions deliver operational synergies, expanded US presence, and enhanced access to electrification and digital markets.

• Sustainability-linked revenues expected to rise from 19% in 2022 to 55% by 2028, reflecting a strong commitment to sustainable innovation.