Legrand's sales rise on strong data centre demand

Legrand SA

06/11/2025 06:00

By Mathias de Rozario

Nov 6 (Reuters) - French electrical equipment maker Legrand LEGD.PA on Thursday reported sales growth of 11.9% in the first nine months of the year, slightly below expectations, citing demand for infrastructure related to data centres.

Its sales came in at 6.97 billion euros ($8.13 billion) over the period, compared with the average analyst forecast of 7.03 billion euros in a company-provided consensus.

"The organic growth we achieved in the first nine months is entirely linked to the data centre, meaning that in the residential and commercial building sector, our revenue performance has remained fairly stable," Legrand CEO Benoit Coquart said in a call with reporters.

Tech companies, led by those in the United States, are investing heavily in data centres to meet surging demand for data-hungry artificial intelligence models.

The French electrical equipment maker, which makes 39.6% of its total sales in the U.S. have been impacted by the implementation of tariffs during the first nine months of the year.

"This should cost us between 110 and 130 million dollars in additional costs for the whole year, of which 70 to 80 million dollars is already in our accounts for the first nine months," Coquart added.

Sales have also been dragged by a sharp downturn in new construction and renovation activity. That has affected key European markets like France and Germany where higher financing costs have put a brake on building projects, reducing demand for Legrand's core electrical installation products.

The group also confirmed its full-year sales and profit outlook, raised in July due to better than expected sales in datacenters.

($1 = 0.8575 euros)

 (Reporting by Mathias de Rozario in Gdansk; Editing by Matt Scuffham)

 ((mathias.derozario@thomsonreuters.com))