Rexel (RXL) Q2 2026 earnings summary

Executive summary

• H1 2026 sales reached €9,989 million, up 2.2% reported and 5.1% same-day, with strong growth in North America and Asia-Pacific, and digital sales penetration rising to 35%.

• Adjusted EBITA margin improved to 6.2% (+40bps), reflecting strong execution, favorable pricing, and cost savings.

• Net income rose 31% to €342 million, with recurring net income up 12.6% to €347 million.

• Strategic acquisitions in North America enhanced offerings in industrial automation, advanced services, and data centers.

• Robust free cash flow before interest and tax at €247 million, with a 37% conversion rate.

Financial highlights

• Gross profit grew 3.6% to €2,536.2 million; adjusted gross margin stable at 25.2%.

• Operating income increased 19.6% to €605 million.

• Net financial debt at €3,322 million, with an indebtedness ratio of 2.4x.

• Dividend per share maintained at €1.20; €353 million in dividends paid.

• Net capital expenditure at €65 million, 0.7% of sales.

Outlook and guidance

• 2026 guidance raised: same-day sales growth ~5% (from 3–5%), adjusted EBITA margin at least 6.2%, free cash flow conversion above 65%.

• Record backlog in North America and Canada, driven by data center and industrial projects.

• Growth supported by secular trends in electrification, digitalization, and energy transition.

• Medium-term ambitions: sales growth 5–8% with 2–3% from M&A, adjusted EBITA margin above 7%.

• Cautious outlook due to macroeconomic and geopolitical risks, including energy price volatility.