Schneider Electric Raises Guidance After Solid 1st Half

By Nathan Allen

Schneider Electric SE (SU.FR) raised its guidance Thursday after reporting first-half earnings that outstripped expectations.

Net profit for the first six months of the year slipped to 993 million euros ($1.11 billion) from EUR1.02 billion a year earlier, but was slightly ahead of an analyst consensus of EUR990 million compiled by FactSet. Revenue rose to EUR13.20 billion from EUR12.32 billion.

Schneider Electric attributed the lower earnings to the loss booked on the sale of surveillance-camera company Pelco. Adjusted net income, which strips out one-off effects, rose 10% to EUR1.26 billion, the company said.

Following the strong results, Schneider now expects adjusted earnings before interest, taxes and amortization to grow between 6% and 8% in 2019, compared with an earlier estimate of between 4% and 7%.

Sales growth should be between 4% and 5%, rather than the previous target of between 3% and 5%, Schneider said.

Write to Nathan Allen at [e-mail]

(END) Dow Jones Newswires

July 25, 2019 01:14 ET (05:14 GMT)

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