Rexel lifts 2026 outlook after strong Q3

Industrial electrical switchgear cabinets symbolizing strong Q3 results and outlook for Rexel RXL.PA

Key Points

01Q3 2026 sales rose 11.4% on a same-day basis to €5,453m
02Nine-month 2026 sales reached €15.44bn, up 7.3% same-day
03Data centers now account for about 13% of Rexel (RXL.PA)’s US sales
04Rexel (RXL.PA) raised 2026 guidance and the stock gained about 2%

Rexel raises 2026 guidance after strong Q3

Rexel increased its full-year 2026 outlook after reporting its strongest quarterly sales performance since 2022, driven by robust demand in high-growth segments. The company’s shares rose about 2% following the announcement, reflecting investor reaction to the upgraded guidance and accelerating growth.

In Q3 2026, Rexel generated sales of €5,453 million, up 11.4% on a same-day basis.

Upgraded full-year 2026 targets

Supported by this momentum, Rexel raised its full-year 2026 guidance for the second time in the year. The company now targets same-day sales growth of around 7%, compared with previous guidance of around 5% set earlier in 2026.

Rexel also increased its target for current adjusted EBITA margin to at least 6.4%, compared with a prior objective of at least 6.2%. The free cash flow conversion target remains above 65%, indicating continued focus on cash generation alongside growth.

North America and data centers drive growth

US same-day sales were up 18.2%, supported by strong demand in data centers and other attractive verticals.

Data centers posted triple-digit growth in the United States and now represent about 13% of US sales. The business benefited from exposure to high-growth regions such as the Mountain Plains, Southeast, including Mayer, and the Gulf, with increased value-added services and movement up the value chain.

Balanced geographic and product performance

Rexel recorded growth across all regions in Q3 2026.

Overall same-day sales growth of 11.4% reflected both volume and price effects, with volume contributing 6.3 percentage points and selling price increases contributing 5.1 percentage points across cable and non-cable products. A positive calendar effect of 0.6 percentage points and a positive net scope effect of 1.2 percentage points also supported reported growth.

Rising digital sales and ongoing transformation

Digital sales continued to expand, accounting for 36% of group sales in Q3 2026, up 256 basis points year on year. Digital penetration reached 44% of sales in Europe, 31% in North America, and 23% in Asia-Pacific, aided by rapid adoption of digital and AI tools in some regions.

Management highlighted that high-growth segments such as data centers and electrification, along with digital solutions, value-added services, and recent acquisitions, are reshaping Rexel’s business mix. The company expects acquisitions completed and announced in 2026, including GCG, to further accelerate this transformation as it executes its Axelerate 2028 roadmap.

Key Takeaways

01Rexel (RXL.PA)’s strongest quarterly sales since 2022 provided the basis for a second upgrade to 2026 guidance, signaling confidence in sustained profitable growth.
02High-growth segments, particularly US data centers, are becoming a more meaningful part of Rexel’s revenue mix and driving regional outperformance.
03Expanding digital sales and contributions from recent and planned acquisitions are central to Rexel’s ongoing strategic repositioning toward higher-value offerings.

References