Above-average business profile, supported by solid competitive positions and extensive geographic diversity. Efficient cost management. Strong financial structure and ability to generate solid free cash flow. Most of the company's end-markets are exposed to cyclicality. Share buybacks and acquisitions are likely in the near future. The ratings on France-based Schneider Electric S.A. reflect the issuer's above-average business profile, supported by solid competitive positions, extensive geographic diversity, and efficient cost management, in addition to a strong financial structure and ability to generate solid free cash flow. These strengths are tempered, however, by the cyclicality of most of Schneider's end-markets, as well as the expectation of future share buybacks and the group's acquisitive strategy. Schneider is a major worldwide player in electrical
