Nexans is re-rating from cable maker to electrification infrastructure pure-play—powered by HV subsea tech, record backlog, and margin discipline, but hinging on flawless mega-project execution.
Overview
Nexans has completed a major industrial transformation, shifting from a diversified cable manufacturer to a focused electrification infrastructure player aligned with decarbonization, renewables integration, and grid upgrades. The business is organized around PWR-Transmission (HV subsea/land projects), PWR-Grid (distribution modernization), and PWR-Connect (building/industrial electrification), with legacy Industry & Solutions being exited/discontinued. In FY2025, performance was record-setting: standard sales of ~€6.1bn (+8.3% organic), current sales of ~€7.8bn, adjusted EBITDA of €728m (11.9% margin), ROCE of 21.3%, and continuing net income of €219m. Growth was led by Transmission, supported by a €7.9bn adjusted backlog and milestone projects such as GSI. The balance sheet is notably strong (net debt ~€266m; 0.36x leverage) and free cash flow reached €344m, enabling bolt-on M&A (e.g., RCT Cables, Electro Cables) and supporting a proposed €2.90 dividend.