Nexans (NEXS.PA) Takeaways from roadshow post 2Q26 results

Equity Research 18 September 2026 | 1:59PM BST

Nexans (NEXS.PA) Takeaways from roadshow post 2Q26 results

NEXS.PA 12m Price Target: €181.00 Price: €138.40 Upside: 30.8% BUY Daniela Costa | Goldman Sachs International

Aurelien Joubert | Goldman Sachs International

We hosted Nexans’ roadshow in New York with the CEO and CFO post the 2Q26 results on July 29 (see our note updating estimates here). Here are our key takeaways: Key Data _____________________________________ n Management’s main strategic priorities are to increase US Market cap: €5.9bn / $6.8bn Enterprise value: €6.8bn / $7.8bn exposure (including through M&A), and expanding 3m ADTV: €22.6mn / $26.1mn France transmission margins and accessories exposure. Management Europe Multi-Industry M&A Rank: 2 highlighted that its discount to Prysmian was mainly attributed Leases incl. in net debt & EV?: Yes to a lower US footprint, lower transmission margins, and GS Forecast __________________________________ investors’ perception of GSI risks. To remedy the US exposure 12/25 12/26E 12/27E 12/28E Revenue (€ mn) 7,809.5 11,299.7 12,523.5 13,135.6 gap, the group will continue to evaluate US targets, focusing on EBIT (€ mn) EPS (€) acquisitions similar to Republic Wire in size, rather than pursuing P/E (X)

larger deals. Republic Wire’s acquisition eliminated the need to EV/EBITDA (ex lease,X) 8.6 8.2 6.7 5.3 Dividend yield (%) 2.6 2.2 3.0 3.4 export from Canada to the US, shielding strong Canadian FCF yield (%) CROCI (%) operations amid reduced US competition in Canada post recent N debt/EBITDA (ex lease,X) 0.4 0.7 0.3 (0.1)

tariffs announcements. As the group prioritizes margin 6/26 12/26E 6/27E 12/27E expansion, management expects Transmission volumes to be EPS (€) 2.29 4.57 -- --

flat-to-down in 2026, owing to project timing, and to see limited GS Factor Profile ______________________________ growth in 2027. Lastly, while Cenergy recently entered the Growth

transmission market, tender pricing dynamics remain Financial Returns

unchanged, and the pipeline remains highly active with major Multiple

current tenders such as RTE, Amprion, and National Grid, Integrated coupled with anticipated interconnection projects in Morocco/France, Egypt/Greece, and Italy/Tunisia. Nexans Percentile 20th 40th 60th 80th 100th

expects a new wave of tender awards in 2027/28. While there NEXS.PA relative to Europe Coverage

have been a few project postponements in Europe, the majority NEXS.PA relative to Europe Multi-Industry

are proceeding, and there is strong project visibility beyond Source: Company data, Goldman Sachs Research estimates. See disclosures for details. 2030, even though clarity on their financing is limited.

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Goldman Sachs Nexans (NEXS.PA)

Nexans (NEXS.PA) Balance Sheet (€ mn) _______________________________________ BUY Rating since Jul 11, 2025 12/25 12/26E 12/27E 12/28E Cash & cash equivalents 1,634.0 1,302.1 1,432.0 1,458.3 Accounts receivable 1,057.0 1,057.0 1,057.0 1,057.0 Inventory 1,366.0 1,391.0 1,391.0 1,391.0 Ratios & Valuation __________________________________________ Other current assets /25 12/26E 12/27E 12/28E Total current assets 4,688.0 4,381.1 4,511.0 4,537.3 EV/sales (X) 0.7 0.6 0.5 0.5 Net PP&E 2,076.0 2,176.0 2,241.0 2,301.0 EV/EBITDAR (X) 8.6 8.2 6.7 5.3 Net intangibles 966.0 1,404.0 1,369.0 1,334.0 EV/EBITDA (excl. leases) (X) 8.6 8.2 6.7 5.3 Total investments EV/EBIT (X) Other long-term assets ) P/E (X) Total assets 8,036.0 8,192.1 8,277.0 8,253.3 Dividend yield (%) 2.6 2.2 3.0 3.4 Accounts payable 1,742.0 1,742.0 1,742.0 1,742.0 EV/GCI (X) 1.2 1.0 0.9 0.9 Short-term debt CROCI (%) Short-term lease liabilities -- -- -- -- ROIC (%) Other current…