LIMOGES, France — The Legrand Group released first-quarter 2017 results today.
Gilles Schnepp, Chairman and CEO of Legrand, issued the following summaries:
Sustained, profitable growth in the first quarter of 2017
“The growth momentum observed in 2016 continued in the first quarter of 2017, with sustained organic growth in sales of +4.6%, driven by all geographic regions but also benefiting from a positive calendar effect and orders placed in advance by some distributors.
“The impact of the broader scope of consolidation on sales stood at +3.9% and the exchange-rate effect was favorable at +2.0%. Total Group sales rose by nearly +11%.
“Adjusted operating profit came to €259.5 million [USD $282.25 million], up €32.8 million [USD $35.68 million] or +14.5% from the first quarter of 2016, reflecting Legrand’s capacity to create value through profitable growth. Adjusted operating margin before acquisitions (at 2016 scope of consolidation) stood at 19.8% of sales (19.7% including acquisitions), compared with 19.1% in the first quarter of 2016.”
Ongoing active external growth
Schnepp continued, “As in 2016, Legrand is active in acquisitions and has already announced the acquisitions of OCL, specialized in architectural lighting solutions for commercial and high-end residential buildings in the United States.
“Legrand is pursuing this strategy of bolt-on acquisitions and today announced the acquisition of Finelite, an acknowledged American player in specification-grade linear lighting fixtures for non-residential buildings. With annual sales of approximately $200 million and around 465 employees, this targeted acquisition rounds out the Group’s presence in lighting control in North America.
“Legrand also announced the acquisition of AFCO Systems Group, a US provider of Voice-Data-Image (VDI) cabinets for datacenters as well as the signature of a joint venture agreement to purchase Borri, an Italian UPS specialist.
“These acquisitions allow Legrand to further consolidate its product offering in growing markets underpinned in particular by societal evolutions.”
The Legrand Group’s full report can be viewed here.
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