SCH2017_DRF_EN_Livre.indb

Key Figures 2017

Strong cash conversion at 105 %

➜ Full year Adjusted EBITA 14.8 %

➜ Proposed dividend of €2.2 up + 8%

➜ Full year revenues up +1.2 % +3.2% organically

➜ Consolidated revenue (in billions of euros)

2017 delivered strong performance, with Sales up +3.2% organic and all-time high Adjusted EBITA, Net Income, Free Cash Flow & EPS. The Group’s sales accelerated, boosted by the delivery of complete solutions of efficiency and productivity, leveraging the strength of the Group’s focused portfolio in Energy Management and Industrial Automation and the adoption of EcoStruxure as the platform of integration and collaboration. In Energy Management, the Medium Voltage business improved its margin by c. +1.3pt organically thanks to higher system margin and strong cost control. The Low Voltage business delivered good growth and margin improvement, and Secure Power posted growth in both IT and non-IT markets, with good resilience at high level of its margin. The Industrial Automation activity grew strongly over the year while improving its margin. From a geographic standpoint, all regions grew organically, with +6% in Asia Pacific, driven by a strong year in China and good performance in other countries. Western Europe and North America were up +2%, with good success of the Group’s integrated portfolio in favorable end-markets. Rest of the World was up +3%, with good results outside Middle-East and South America. New economies accounted for 41% of 2017 revenue. 2017 Adjusted EBITA reached a record €3,651 million, increasing organically by +9.2% and the Adjusted EBITA margin improved +90 bps organically to 14.8%, exceeding the high end of the revised FY2017 objective, thanks to strong productivity, volume, improving price and good cost management. FX decreased the adjusted EBITA by -124 million euros, mainly due to the depreciation of the US dollar, Chinese Yuan, British Pound and other currencies against the euro.

26.6

24.9

24.5 24.7

23.4

2016 (2) 2017

2013 (1)

2014 2015

➜ Adjusted EBITA (3) (in millions of euros and as a % of revenue)

3,651 14.8%

3,498 14.3%

14.3%

3,356

13.9%

3,463

13.7%

3,641

2017

2013

(1) 2014 2015 2016 (2)

(1) 2013 figures restated due to the full consolidation of Delixi (previously consolidated proportionally at 50%), CST reclassification in discontinued operations and other minor changes. (2) 2016 figures restated due to the deconsolidation of the Group’s solar activity. (3) Adjusted EBITA: EBITA before restructuring costs and before other operating income and expenses, which includes acquisition, integration and separation costs.

2017 REGISTRATION DOCUMENT SCHNEIDER ELECTRIC

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