Prysmian (PRY) Q4 2024 earnings summary

Executive summary

• Achieved record Adjusted EBITDA of €1,927 million for 2024 (11.3% margin, +18.4% YoY), with strong Q4 organic growth in transmission, power grid, and digital solutions.

• Free cash flow reached €1,011 million (6.3% yield), up 40% year-over-year, supported by robust working capital management and transmission business momentum.

• Encore Wire acquisition completed and integrated, contributing a 15% EBITDA margin in 2024 and supporting segment results; synergies expected to add €140 million.

• Proposed dividend of €0.80 per share (+14% YoY), continuing consistent shareholder returns.

• Group net profit rose to €729 million (+37.8% YoY), with diluted EPS at €2.52 (+37%).

Financial highlights

• Group sales reached €17,026 million (+0.5% organic growth), driven by Transmission (+18.3%) and Power Grid (+3.1%).

• Net financial debt increased to €4,296 million, mainly due to acquisitions.

• Financial charges rose to €225 million, mainly due to the Encore Wire acquisition.

• Free cash flow generation of €1,011 million, excluding acquisitions and antitrust impacts.

• Dividend per share proposed at €0.80 (+14.3% vs. 2023), total payout ~€229 million.

Outlook and guidance

• 2025 Adjusted EBITDA guidance set at €2,250–€2,350 million, with a midpoint of €2.3 billion.

• Free cash flow guidance for 2025 at €950–€1,050 million, midpoint €1 billion.

• Transmission revenue expected to grow 15–20% in 2025, driven by new capacity in Europe and strong backlog through 2028.

• Power grid EBITDA margin expected to stabilize at 12–13% in coming years.

• Scope 1 & 2 GHG emissions targeted for 38–40% reduction vs. 2019.