Nexans saw its stock price jump 13% today after the French cable giant posted revenue increase boosted by steady growth in submarine cables.
For the first quarter, ended March 31, 2015, Nexans generated sales of 1.6 billion euros, compared to 1.56 billion in the corresponding period in 2014.
At constant metal prices, revenues amounted to 1,17 billion euros, representing organic growth of 1.8% against the first three months of 2014.
Arnaud Poupart Lafarge, Nexans’ Chief Executive Officer, said: “Our sales figures in the first three months of 2015 reflect our strategic decision to focus on the Group’s most profitable operations. We are meeting our objectives in all of the main areas of our strategic plan, particularly in terms of reducing fixed costs. And we were awarded the largest contract in the Group’s history during the period, with an order representing over 500 million euros for the NordLink project.”
Nexans said it has seen positive trends in submarine transmition in 2014 continued in the first quarter of 2015, with sales growth led by the gradual production and installation of cables for contracts, such as for the Monita power link project between Italy and Montenegro, the Cabot Strait project in Canada and the Kintyre project in the United Kingdom. At the same time, the power links between Malta and Sicily and Mallorca and Ibiza were installed during the period.
Furthermore, looking back at the end of 2014, Nexans narrowed its net attributable loss to 168 million euros, compared with a 333 million euro net loss in 2013.