Rexcel selected to appear in the CAC 40 ESG index
Rexel, a global expert in professional multi-channel distribution of products and services for the energy world, has been selected to be included in Euronext’s CAC 40 ESG index from Friday 16e September, after market. The index includes French companies among those of the CAC Large 60 that demonstrate good practices in environmental, social and governance (ESG) matters.
Inclusion in this index is recognition of Rexel’s longstanding commitment to sustainable development, which is at the heart of its strategy. As a distributor of electrical equipment, Rexel notably plays a key role in electrification and the energy transition, both in its own activities and by supporting its customers in implementing energy efficiency solutions and accelerating the promotion of products. and green services. More specifically, working closely with suppliers, Rexel brings its expertise and solutions to its customers in markets such as HVAC engineering, solar energy, electric vehicles and industrial automation to reduce energy costs and reduce CO emissions2 emissions.
For more than 15 years, Rexel has been committed to a sustainable approach to ESG. From an environmental point of view, this translated into ambitious objectives, presented at our last Capital Markets Day in June. Rexel has set itself the objective of reducing its absolute greenhouse gas (GHG) emissions by 60% for scopes 1 and 2 and by 45% for scope 3 by 2030. These objectives, set in relation to 2016, have been validated by the Science Based Targets (SBTi) Net-Zero Standard initiative, and part of the Group’s financing is linked to the achievement of environmental objectives. In addition, the Group has also integrated ESG criteria into the variable compensation of management, in particular on the objectives related to the climate, to diversity in the organization and for the management team, to ethics, to the reduction of accidents work and stakeholder engagement.
A signatory of the United Nations Global Compact since 2011, Rexel is already part of several ESG indices, including FTSE4Good, Dow Jones, Sustainability Index Europe, Euronext Vigeo Europe 120 and Eurozone 120, as well as the STOXX® Global ESG Environmental Leaders. Its extra-financial performance is also recognized by the main rating agencies such as MSCI, CDP Climate Change, EcoVadis, Sustainalytics and the S&P Global Sustainability Yearbook 2022.
ABOUT THE REXEL GROUP
Rexel, a world expert in professional multi-channel distribution of products and services for the world of energy, addresses three main markets: residential, commercial and industrial. The Group supports its residential, tertiary and industrial customers by offering a tailor-made and scalable offer of energy management products and services for construction, renovation, production and maintenance. Rexel operates through a network of more than 1,900 branches in 24 countries, with more than 26,000 employees. The Group’s turnover was 14.7 billion euros in 2021.
Rexel is listed on the Eurolist market of Euronext Paris (compartment A, mnemonic RXL, ISIN code FR0010451203). It is part of the following indices: SBF 120, CAC Mid 100, CAC AllTrade, CAC AllShares, FTSE EuroMid and STOXX600. Rexel is also part of the following SRI indices: FTSE4Good, Dow Jones Sustainability Index Europe, Euronext Vigeo Europe 120 and Eurozone 120, STOXX® Global ESG Environmental Leaders and S&P Global Sustainability Yearbook 2022, in recognition of its performance in terms of Corporate Social Responsibility ( CSR).
For more information, visit www.rexel.com/fr.
FINANCIAL ANALYSTS / INVESTORS
The Group is exposed to fluctuations in copper prices through its distribution of cable products. Cables represent around 17% of the Group’s sales and copper represents around 60% of the composition of cables. This exposure is indirect since cable prices also reflect the commercial policies of copper suppliers and the competitive environment of the Group’s markets. Changes in copper prices have an estimated “recurring” effect and an estimated “non-recurring” effect on the Group’s performance assessed as part of the Rexel Group’s monthly internal reporting process: I) the recurring effect linked to changes in copper-based cable prices corresponds to the change in value of the copper portion included in the sale price of the cables from one period to another. This effect mainly concerns Group sales; ii) the non-recurring effect linked to changes in the prices of copper-based cables corresponds to the effect of variations in the price of copper on the sale price of the cables between the time of their purchase and that of their sale, sold until these stocks are exhausted (direct effect on the gross margin). In practice, the non-recurring effect on the gross margin is determined by comparing the historical purchase price of copper-based cables and the supplier price in effect on the date of sale of the cables by the Rexel Group. Furthermore, the non-recurring effect on EBITA corresponds to the non-recurring effect on the gross margin, which can be offset, if necessary, by the non-recurring part of the change in distribution and administrative costs.
The impact of these two effects is assessed on the largest possible part of the Group’s total cable sales, over each period. The Group’s procedures require entities that do not have information systems allowing such exhaustive calculations to estimate these effects on the basis of a sample representing at least 70% of sales for the period. The results are then extrapolated to all the cables sold over the period for this entity. Considering covered sales. the Rexel Group considers these estimates of the impact of the two effects to be reasonable.
This document may contain statements of future expectations and other forward-looking statements. By their nature, they are subject to numerous risks and uncertainties, including those described in the Universal Registration Document registered with the Authority of the Markets Financiers (AMF) on March 10, 2022 under number D.22-0083. These forward-looking statements do not constitute guarantees as to the future performance of Rexel, the actual results of operations, the financial situation and the liquidity of Rexel as well as the evolution of the sector in which Rexel operates may differ materially from those made or implied by the forward-looking statements contained in this release. The forward-looking statements contained in this communication speak only as of the date of this communication and Rexel does not undertake, except as required by law or regulation, to update any of the forward-looking statements after this date. date to conform these statements to actual results. to reflect the occurrence of anticipated results or otherwise.
The market and industry data and forecasts included herein have been obtained from internal surveys, estimates, experts and studies, where available, as well as external market research, publicly available information and industry publications. Rexel, its subsidiaries, directors, officers, advisers and employees have not independently verified the accuracy of such market and industry data and forecasts and make no representations or warranties with respect thereto. These data and forecasts are included here for informational purposes only.
This document only contains summary information and should be read in conjunction with Rexel’s Universal Registration Document filed with the AMF on March 10 2022 under number D.22-0083, as well as the accounts and the consolidated activity and results report for the 2021 financial year available on the Rexel website (www.rexel.com).