Booming data centre demand powers sales at Legrand

(Sharecast News) - Shares in Legrand sparked on Thursday, after the French electrical group saw sales surge on the back of booming demand from the data centre sector. The firm - which supplies residential, commercial and industrial customers with electrical and digital building infrastructures - saw consolidated revenues rise 9.6% in 2025 to €9.48bn, marginally ahead of forecasts for €9.46bn. Organic growth was 7.7%.

Driving sales was the "remarkable performance" of product offerings dedicated to data centres, which are needed to power artificial intelligence. Energy and digital transition accounted for around 53% of group sales during the year.

Adjusted operating profit, meanwhile, was 10.5% stronger at €1.96bn, in line with consensus.

As at 1115 GMT, the Paris-listed stock had put on 6%.

Benoit Coquart, chief executive, said: "The group delivered a remarkable performance despite a still-muted building market."

Looking to the current year, Legrand said it expected sales to grow by between 10% and 15%, and for the adjusted operating margin after acquisitions to be between 20.5% and 21%.

The forecasts took in account "the current global macroeconomic outlook, a very strong data centre market and a modest recovery in the building sector", it noted.

The Limoges-based group also expects to meet the upper end of its 2030 sales target range, of around €15bn.