Prysmian reaps profits and prepares new acquisition

Prysmian closes 2025 with the highest profit in its history, reaching 1,270 million euro (almost doubled from 729 million in 2024). This result benefited from extraordinary transactions (including the capital gain of €346m from the sale of the stake in China's Yofc), but was underpinned by an operational solidity capable of generating revenue of €19,650m (organic year-on-year growth of 5.4%). Adjusted Ebitda rose to 2.398 billion, accompanied by cash generation of 1.171 billion, also the best ever for the group. Slightly below expectations was adjusted Ebitda for the fourth quarter, at EUR 622 million (analysts had expected an average of EUR 635 million). The group, meanwhile, after the latest small- to medium-sized bolt-on acquisitions (those of Xtera and Acsm) is ready for a new transformational acquisition. 'We are working on it, we have big opportunities on the table,' confirmed CEO Massimo Battaini in conversation with journalists. 'We should be able to finalise something in the next few months, but I am confident in the possibility of changing the perimeter of the group again. The US remains the main reference market, but we do not exclude possibilities in Europe and Latin America'.

The forecasts for the current year set the bar for adjusted Ebitda in the range of EUR 2,625 to 2,775 million, free cash flow is expected in the range of EUR 1,300 to 1,400 million, and revenues from sustainable solutions are expected to be in the range of 47 to 49% of total revenues.

"This extraordinary year represents another important milestone and is just the beginning of a new chapter of growth and profitability," added Battaini. "With the acquisition of Channell and the integration of Encore Wire, Prysmian has once again demonstrated its ability to successfully execute value-generating M& A operations, driving its strategy of becoming a solutions provider. In addition, the leadership of our Transmission business will be further strengthened through the acquisitions of Xtera and ACSM. At the same time, our financial strength is confirmed by the solid cash generation, which significantly exceeded guidance.

The performance was mainly driven by the Transmission division, which posted organic growth of 8.4% in the fourth quarter alone, with adjusted Ebitda rising to EUR 181 million. The margin jumped to 20.9%, enabling the Group to meet the targets set in the strategic plan to 2028 three years ahead of schedule. Visibility for the future remains high, with an order backlog of around EUR 17 billion.

With regard to the Digital Solutions division, profitability almost doubled thanks to the contribution of Channell, which has been consolidated since June 2025. With a margin at 18.3%, the segment benefited from the global acceleration on network infrastructure and connectivity.