Schneider beats profit expectations on data center demand
Feb 26 (Reuters) – French industrial group Schneider Electric (SCHN.PA), on Thursday reported stronger-than-expected core earnings, driven by robust data centre demand, and provided 2026 expectations that analysts saw as conservative.
The company also announced that its CFO Hilary Maxson would leave the company on April 5 and be replaced by Nathan Fast, who became head of investor relations in January.
The Paris-listed stock was up almost 4% to 275 euros by 1015 GMT, its highest price on record.
Schneider, once known primarily for industrial components like fuses and circuit breakers, now builds the backbone of data centers, supplying everything from cooling units and server racks to critical power distribution equipment. Data centers and networks account for about 30% of its total orders.
While the United States is driving data centres growth, demand in also picking up in Northern European countries and France, “places where they’ve put together permitting, electrical connection, with the governments pushing”, Maxson told journalists.
The group reported triple-digit year-on-year growth within its pure data centre segment. Quarterly revenues grew organically by 10.7% to 11.10 billion euros ($13.12 billion).
Full-year adjusted earnings before interest, taxes and amortisation (EBITA) totaled 7.52 billion euros despite pressure from a weakening dollar.
Analysts polled by the company expected on average fourth-quarter revenue of 10.90 billions and full-year adjusted EBITA of 7.48 billions.
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Schneider beats profit expectations on data center demand, source
