2011 nine-month and third-quarter results in line with group targets | 2011 targets confirmed
Gilles Schnepp, Chairman and Chief Executive Officer of Legrand, comments:
In the first nine months of 2011, Legrand sales rose by a total of nearly 10%, backed by:
- robust organic growth1 (+7.0%) driven by a strong rise in revenues in new economies (nearly 15% organic growth1), numerous successful new-product launches, and continued expansion in new business segments2 (more than 15% organic growth1),
- continued self-financed and targeted acquisitions of small and mid-size companies offering high growth potential and strong market positions, as illustrated by the recent operation with Megapower, leader for plastic cable management in Malaysia. Since the beginning of 2011, five front-runner companies representing combined annual revenues of over €200 million have joined Legrand.
In the third quarter alone, sales rose by a total 8.0% with organic growth1 of 5.3%.
In this context, Legrand reported adjusted operating margin of 20.9% of sales (21.3% excluding acquisitions) in the first nine months of 2011, reflecting our capacity to control costs and to take account of the rising cost of raw materials and components consumed in sales prices.
et income totaled €389 million.
Confirmation of 2011 targets
Nine-month results are in line with our targets, allowing us to confirm our 2011 targets:
- 5% organic sales growth1, rounded out by acquisitions3,
- adjusted operating margin equaling or exceeding 20%, including the impact of acquisitions3."
1 Organic growth: at constant scope of consolidation and exchange rates
2 Digital infrastructures, energy-performance solutions, residential systems and cable management
3 Small and medium-size bolt-on acquisitions