Schneider Electric (SU) 2024 India Investor Event summary

India growth and strategic positioning

• India is a key growth market, with domestic sales rising from €2 billion in 2022 to €2.2 billion in 2023, and is expected to be among the most dynamic markets alongside the US and Middle East.

• The business leverages a dual-brand strategy (Schneider and Lauritz Knudsen) to saturate both urban and rural markets, supported by a robust distribution network and complementary channels.

• India is positioned as both a hub for local demand and a global export base, with plans to multiply capacity by 2.5–3x and a focus on regionalization and supply chain resilience.

• The company’s India operations are highly profitable, with no material margin differential between brands, and are integral to the group’s profitable growth story.

• India’s growth mix is currently more transactional and energy management-focused, with increasing opportunities in digitization and software over time.

Legacy and market presence

• Over 60 years of operations in India with more than 38,000 employees and 31 manufacturing sites across 13 locations.

• India serves as a talent hub for both local and global operations, with a significant focus on gender diversity.

• Major contributions to national projects, including smart cities, data centers, and landmark infrastructure like the Ram Mandir and Central Vista.

• Strong partnerships with leading Indian and global companies across data centers, buildings, industry, and infrastructure.

• Both brands are recognized in tenders, offering customers choice and leveraging a combined portfolio.

Innovation, technology, and sustainability

• Significant investments in R&D (approaching 6% of sales), with over 6,000 R&D engineers and 1,400+ patents awarded, positioning India as a major R&D and software hub.

• The company’s smart factory program and supply chain digitalization have delivered substantial efficiency, sustainability, and quality improvements, including 52% energy savings and 61% CO2 reduction at the Hyderabad Lighthouse factory.

• Partnerships with customers and suppliers drive tailored solutions, with a focus on electrification, automation, and digital services to support India’s infrastructure, energy transition, and sustainability goals.

• The business is committed to ESG leadership, with structured programs targeting green electricity access, youth skill development, and rural community empowerment, aiming to impact 25 million people in India.

• Local initiatives include vocational schools, smart digital education, solar-powered microgrids, and climate-smart villages, with a strong focus on women’s empowerment and rural development.