Schneider Electric 2022 Earnings Rose on Strong Demand

By Pierre Bertrand

Schneider Electric SE reported an increase in full-year earnings Thursday amid strong demand and customer focus on electrification, digitization and sustainability.

The French energy management company achieved 3.48 billion euros ($3.72 billion) in net profit compared with EUR3.20 billion in 2021 on revenue that grew 12% organically to EUR34.18 billion.

The result compares with expectations of net profit of EUR3.52 billion and revenue of EUR33.63 billion, according to a company-provided consensus.

Adjusted earnings before interest, taxes and amortization exceeded analysts' expectations, amounting to EUR6.02 billion, a 14% organic rise compared to 2021.

The Paris-based company said its result was driven by dynamic demand in all of its four end-markets which were supported by customers focusing on electrification, digitization and sustainability. That said, consumer-linked segments including residential buildings and distributed IT remained weak as softening demand trends seen in the third quarter carried over.

Analysts had expected Schneider Electric to post EUR5.95 billion in adjusted Ebita, according to the consensus.

The company said that it would propose a dividend of EUR3.15 a share compared with EUR2.90 for 2021.

Schneider Electric said that it is targeting organic adjusted Ebita growth of between 12% and 16% in 2023 and expects organic revenue growth of 9% to 11% with an Ebita margin of around 17.4% to 17.7%.

Write to Pierre Bertrand at [e-mail]

(END) Dow Jones Newswires

February 16, 2023 01:44 ET (06:44 GMT)

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