Legrand raised its 2026 sales outlook for a second time this year on Thursday, as demand for equipment used in data centres helped the French electrical and digital infrastructure group deliver faster-than-expected growth through the first nine months.
The company now expects 2026 sales to grow 20% to 22% excluding currency effects, with organic growth of 11% to 13%. Its previous ranges, announced in July, were 16% to 19% for sales growth excluding currency effects and 8% to 10% for organic growth. The target for growth from acquisitions remains around 8%, while Legrand kept its adjusted operating margin target at 20.5% to 21% of sales.
Data-centre business grows nearly 40%
Legrand reported sales of €8.33 billion for the first nine months of 2026, a 19.5% increase from the same period a year earlier. Growth was 22% excluding currency effects, comprising 12.7% organic growth and an 8.3% contribution from acquisitions. Organic sales in data centres grew close to 40%, according to the company.
Adjusted operating profit increased 20% to €1.73 billion, and the adjusted operating margin after acquisitions was 20.8%. Net profit attributable to the group rose 19.6% to €1.07 billion. Legrand said it had completed seven acquisitions since the start of the year, all in energy and digital transition markets.
AI infrastructure is boosting demand for power systems
Data centres require electrical distribution, protection, cooling and backup-power systems to keep servers running. The rapid construction of facilities for cloud computing and artificial intelligence has therefore created a major source of demand for suppliers such as Legrand. Reuters reported that data centres account for about a third of the company’s turnover.
The results also reflect broader investment in electrification and other digital infrastructure, as well as acquired businesses. Legrand’s figures show that organic expansion and acquisitions both contributed meaningfully to growth, so the latest revenue increase is not attributable to data centres alone.
Growth outlook remains tied to investment plans
The revised forecast signals that Legrand expects strong demand to continue through the rest of the year. Its unchanged margin range indicates that the company is seeking to convert the higher sales outlook into profitable growth, while continuing to integrate acquisitions and invest in its product portfolio.
The outlook also depends on customers continuing to fund large data-centre and electrification projects. If those investment plans slow, or if currency movements and acquisition integration weigh more heavily, reported growth could differ from the current targets. For now, Legrand’s nine-month results point to robust demand for the electrical infrastructure behind the data-centre buildout.
Sources: Legrand’s nine-month results; Reuters.
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