Schneider Electric unveils $4 billion share buyback, pumps up margin forecast
Schneider Electric unveils $4 billion share buyback, pumps up margin forecast
Published by Global Banking and Finance Review
Posted on December 11, 2025
Published by Global Banking and Finance Review
Posted on December 11, 2025
Dec 11 (Reuters) - Schneider Electric will carry out a share buyback programme of up to 3.5 billion euros ($4.1 billion) through 2030, its first in nearly three years, and aims to increase its adjusted core profit margin, the French industrial group said on Thursday.
Ahead of its Capital Markets Day event in London, the company said it expected its adjusted earnings before interest, taxes and amortization (EBITA) margin to expand by 250 basis points between 2026 and 2030. It had earlier forecast a 50-basis-point rise from 2023 to 2027.
The group maintained an annual organic revenue growth target of between 7% and 10% from 2025 to 2030, unchanged from its 2023 guidance.
The return to share repurchases reflects Schneider's aim to step up shareholder returns after a muted share-price performance this year. The last buyback programme was carried out between 2019 and 2023.
Schneider, one of France's oldest industrial companies, has long been known for its electrical components used in buildings and industrial automation.
But the recent artificial intelligence frenzy has put the company in the spotlight as it is a major data centre supplier, particularly in North America, delivering power switches, cooling systems and server racks that form the backbone of AI infrastructure.
The company also announced a divestment programme, to be completed by 2030, that will cover businesses representing 1.0 billion to 1.5 billion euros in revenues.
($1 = 0.8559 euros)
(Reporting by Gianluca Lo Nostro and Leo Marchandon in Gdansk; Editing by Milla Nissi-Prussak)
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