#1GROWTH Schneider Electric Full Year 2021 Results - February 17, 2022 Record year setting foundation for ongoing sustainable growth All-time high Revenues, Adj. EBITA margin and Net Income Life Is On Schneider Electric#2Disclaimer All forward-looking statements are Schneider Electric management's present expectations of future events and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. For a detailed description of these factors and uncertainties, please refer to the section "Risk Factors" in our Universal Registration Document (which is available on www.se.com). Schneider Electric undertakes no obligation to publicly update or revise any of these forward-looking statements. This presentation includes information pertaining to our markets and our competitive positions therein. Such information is based on market data and our actual revenues in those markets for the relevant periods. We obtained this market information from various third-party sources (industry publications, surveys and forecasts) and our own internal estimates. We have not independently verified these third- party sources and cannot guarantee their accuracy or completeness and our internal surveys and estimates have not been verified by independent experts or other independent sources. Investor Relations - Schneider Electric | Page 2 Life Is On Schneider Electric#304 FY 2021 Business Highlights 25-> FY 2021 Financial Performance Highlights 42 Expected Trends & Financial Target 46 Q&A 49 Appendix Investor Relations - Schneider Electric | Page 3 Life Is On Schneider Electric#4KPMAT FY 2021 Business Highlights Jean-Pascal Tricoire | Chairman & CEO Investor Relations - Schneider Electric | Page 4 EXIVERSITY Life Is On Schneider Electric#5Our purpose is to empower all to make the most of our energy and resources bridging progress and sustainability for all. At Schneider, we call this Life Is On. Our mission is to be your digital partner for Sustainability and Efficiency. Investor Relations - Schneider Electric | Page 5 Life Is On Schneider Electric#6Full Year 2021: Financial highlights Sales Adj. EBITA Net Income Adj. EPS Operating Cash Flow €29b €5bm €3.2bn €6.13 €4.5bn +13% 17.3% +51% +30% +22% Org. growth Adj. EBITA margin Investor Relations - Schneider Electric | Page 6 Life Is On Schneider Electric#72021 Setting the path for ongoing sustainable growth Record year with strong profitable growth Reaching all-time high in - Revenue - Gross Profit - Adj. EBITA - Net Income - EPS Bolstering our software portfolio OSIsoft is now part of AVEVA etap Qmerit RIB IGE AO GROUP energysage Software + Digital services c.50% Group revenue leveraging Raising the bar further on Sustainability 2021-2025 SCHNEIDER SUSTAINABILITY Empower al make the most of our E IMPACT Edge Control Ecotruxure Connectable products Field Services Strong shareholder focus c.+50% TSR in 2021 2021 GLOBAL100 world's most sustainable corporation in 2021 by Corporate Knights €2.90* Dividend per share +12% vs. 2020 Investor Relations - Schneider Electric | Page 7 * Proposed dividend subject to Shareholder approval on May 5, 2022 Life Is On Schneider Electric#8Digital solutions for sustainability and efficiency leveraging our Unique Operating Model... Digital Sales Europe Energy Management Industrial Automation SOFTWARE Energy Transition Industry 4.0 Electrification SUSTAINABILITY China Supply Marketing ONE Chain USA India L&T Electrical & Automation Associated Software Investor Relations - Schneider Electric | Page 8 Digitization EFFICIENCY IMPACT Company Revenue 60% done through partners EcoXpert 4.2k+ program partners Suppliers in 23k+ production/direct procurement Service 650k+ providers & partners 50+ Investments 100+ Partnerships System 42k+ integrators & developers Technological Alliances IBM Exchange 100k+ Collaborators 600 offers listed Life Is On Schneider Electric#9enabling our new ambition announced in recent Capital Markets Day Our growth drivers... More recurring revenues... Long term ambitions... Accelerating Markets Incremental Growth Drivers Unique Operating Model Electric Digital Services Software Sustainability Integrated Partnership Multi-Hub ESG Investor Relations - Schneider Electric | Page 9 Evolving the nature of revenues to be more digital and more resilient Ambition for SSabity and Sancs revenues (cantly 18% of Group revenues) to co by pts by 2025 Increased Boge Control 50% Group leveraging Field Growing proportion of natively connected products through R&D, replacing non-digital offers 21 Schneider Electric All Rights Reserved! Pl Moving towards C. .60% Leveraging slated base, servicing of Asts under Manager of Group revenues by 2025 Recuming revenue weightage in Software & Services (currently c.30%) to increase to c.45% by 2025 ARR metrics to be reported from FY 2022 results Life Is On Schneider Accelerating Accelerating Markets Revenue Gro Financial 2022-2024 Targets Longer Term Ambitions Aspiration Incremental Growth Drivers Ad TRIA Magnxpansion Behan 30 bps to 70 bgn, per year Unique Operating Model cbn by 2024 Opportunity to further expand with burunoss me and operational leverage To consistently be a Company of 25* Life Is On Schneider Electric#10Strong demand and execution in 2021 Energy Management Energy efficiency Group €29bn +13% Group 2021 revenues, org. growth Industrial Automation Process efficiency Adj. EBITA margin 20.3% c.+140bps org. improvement €22.2bn €6.7bn BRICKAL CHERU +13.3% Org. +10.7% Org. Adj. EBITA margin 18.5% c.+90bps org. improvement 03 Investor Relations - Schneider Electric | Page 10 Adj. EBITA margin 17.3% +140bps org. improvement Achieved c.17% 1 year ahead of schedule Life Is On Schneider Electric#11Exceeding pre-pandemic levels vs. 2019 Sales Adj. EBITA Net Income +7% +19% +33% Growth vs. FY19 Org. growth vs. FY19 Org. growth vs. FY19 Investor Relations - Schneider Electric | Page 11 Life Is On Schneider Electric#12Accelerating on our strategic pillars More Products +11% Organic growth in FY21 vs. FY19 More Software +12% Organic growth in FY21 vs. FY19 More Services +5% Organic growth in FY21 vs. FY19 More Sustainable Strong double-digit Organic growth in FY21 vs. FY19 2021 performance: Strong growth in both businesses led by Residential, Data Centers and OEMs Supported by price actions through the year Impacted by supply chain pressures Energy Management software grew strong double-digit AVEVA impacted by high base Digital Services grew strong double-digit Field Services impacted in H2'21 by restricted site access and shortages Sustainability consulting acting as catalyst for rest of Group portfolio Investor Relations - Schneider Electric | Page 12 Life Is On Schneider Electric#13More Products | More Software | More Services | More Sustainable 2021 innovation highlights Data Centers Buildings Homes Industries Grids Galaxy VL 50% more compact than industry average APC TM Smart-UPSTM Ultra 5kW Up to 1.5x power density. 30% smaller & 55% lighter than a standard lithium-ion UPS EcoStruxure TM Connected Room Solutions for Hotels Personalized guest comfort, increased operational and energy efficiency. Square D & Wiser Energy Center CES INNOVATION AWARDS 2022 NAHB National Association of Home Builders Reduce energy bills & CO2 CES INNOVATION AWARDS EcoStruxure ™ Automation Expert Advancing the future of industry with our open, asset centric and software defined automation system. Next generation Lexium MC12 Multicarrier system Unprecedented simplicity and flexibility from installation and integration to operation and maintenance. EcoStruxure TM DERMS Modular, cloud-based integration of renewables in Advanced Distribution Management Systems DCS AWARDS CRN CX INNOVATION AWARDS TECH IMPACT AWARDS Investor Relations - Schneider Electric | Page 13 CRN PARTNER 2022 Elko+ Ocean Plastic & Merten Innovative and sustainable switches & sockets Motor Management innovations Holistic lifecycle solution for advanced asset management and energy efficiency. From "Design & Build" to "Operate & Maintain. AirSeT SF6-free switchgear, powered by air & digital Services and Partnerships EcoStruxure ™ Services Plan enabled with EcoStruxure ™ Advisors Open, digital collaboration for our partners Life Is On Schneider Electric#14More Products | More Software | More Services | More Sustainable Key customer successes in new innovations KBHOME U.S. Grid-to-plug solution of Square DTM Energy Center enables future- proofing connected homes with easy installation, power reliability and real time monitoring & control A! Aalto University School of Engineering Finland More career opportunities unlocked by agnostic automation platform which doesn't limit students' expertise to a single closed system to be ready for Industry 4.0 EneDis France Green and digital SF6 Free MV switchgear innovation to build grids of the future: greener and smarter by replacing SF6 greenhouse gas with pure air and vacuum interruption to fight against climate change Square DTM Energy Center Investor Relations - Schneider Electric | Page 14 FASSA EcoStruxure T Automation Expert AirSeT >1,000 new patent applications and designs filed in 2021 ~20,000 active patents and patent applications worldwide Life Is On Schneider Electric#15More Products | More Software | More Services | More Sustainable Supporting our customers amidst supply chain constraints Unique Supply Chain Model Specific Actions Agility Centralized purchasing Multi-hub supply chain End-to-end control tower Real-time coordination between supply chain & operations teams Strategic supplier engagement with a long-term partnership mindset Adapting to dynamic market demand Actual ✓ Re-designing product lines growth: Digitized Supply Chain through Ecotruxure™ Net Satisfaction Score (NSS) to be included in short term incentive plan from 2022 Expected growth*: +13% +5% to +8% Specific actions to have long-term benefit even after supply chain disruptions progressively ease *Expected organic growth at start of FY21 Investor Relations - Schneider Electric | Page 15 Life Is On Schneider Electric#16More Products | More Software | More Services | More Sustainable Digital & Software empowers users across the lifecycle Design Build Operate & Maintain Industry & Infrastructure AVEVA AVEVA RIB AVEVA Ecotruxure Power etap IGE+xao RIB etap Ecotruxure Building Partnerships RIB PLANON Ecotruxure Unified Asset Lifecycle Management to loT Connection COMEXOM TechnipFMC (Gε) PI etap IGEIXAO etap AVEVA RIB GROUP IGE+XAO GROUP AVEVA Investor Relations - Schneider Electric | Page 16 Assets under Management +50% YoY 6.2m 100k+ registered users >550 digital offerings >600 Service providers listed Schneider Electric Exchange c.+25% Growth of business through e-commerce in 2021 Life Is On Schneider Electric#17More Products | More Software | More Services | More Sustainable Supporting our customers in their digitization journey Leveraging experience from Schneider's Smart Factory deployment Our expertise, combined with our technologies serve our customer supply chain Lexington, USA Monterrey, Mexico th Gartner 4t Supply Chain Rankings Le Vaudreuil France Wuxi, Wuhan, China China Sustainability Smart Manufacturing Batam, Indonesia Industry 4.0 Lighthouse facilities WORLD ECONOMIC FORUM Investor Relations - Schneider Electric | Page 17 Supply Chain D— Smart Sensors Asset management Lean Nexans Digital transformation program to bring Industrial 4.0 to plant operations MERATUS Digitizing brownfield to support a new digital business model Faurecia inspiring mobility Ramping-up a Digital and Sustainable Greenfield site Process Analytics Secondary sensing Life Is On Schneider Electric#18More Products | More Software | More Services | More Sustainable Key customer success in Digital/Software MARS U.S. AVEVA & Schneider joint offer providing on-premise and future cloud-based solutions to drive productivity and performance improvement in Food and Beverage factories Ecotruxure AVEVA Innovation At Every Level modülpan Turkey IGE+XAO & Schneider empowered project rendering with eCAD 3D technology for hospital and residential sector Ecotruxure ICE+XAO Innovation At Every Level GROUP India JKCement One integrated digital EcoStruxureTM solution with L&T and AVEVA collaboration to support customer's sustainability initiatives - green power utilization and CO2 emission reduction Ecotruxure Innovation At Every Level BNMC) 白银有色集团股份有限公司 China BAIYIN NONFERROUS GROUP CO.LTD EcoStruxure TM solution to drive digital transformation with IT/OT convergence coupled with AVEVA Advanced Process Control Ecotruxure Innovation At Every Level AVEVA LEY Investor Relations - Schneider Electric | Page 18 AVEVA L&T Electrical & Automation Life Is On Schneider Electric#19More Products | More Software | More Services | More Sustainable Supporting our customers in services Consult Modernize Commission Train Safety Efficiency Sustainability Recycle for Circularity Repair Maintain 2021 highlights: End-to-end Digital Experience and Cybersecurity with EcoStruxure Field Services Strong increase in headcount to support growth ambition Resilience More than 110,000 hours of training for High customer satisfaction particularly for Expertise and Strong growth across geographies FS engineers Safety Investor Relations - Schneider Electric | Page 19 15 Three pillars for Services transformation: Seamless Capex to Opex Unified customer approach Scale through partners Digital Services 800+ additional customer sites under remote monitoring Leveraging Connected Services Hubs with global coverage Life Is On Schneider Electric#20More Products I More Software | More Services | More Sustainable Supporting our customers in decarbonization, from strategy to execution EGT Accelerating its journey to address climate change Schneider Electric partnered with EQT to develop SBT strategy and roadmap for implementation -350M metric tons CO2 saved & avoided on our customers' end since 2018 8 op PLASTIC OMNIUM Carbon neutrality roadmap co-designed & implemented with Schneider Electric Ability to track & monitor energy usage & set targets for energy efficiency, GHG reduction & renewable energy procurement Investor Relations - Schneider Electric | Page 20 Life Is On Schneider Electric#21More Products I More Software | More Services | More Sustainable Accelerated sustainability journey continues 2021-2025 SCHNEIDER SUSTAINABILITY IMPACT CLIMATE SSI #3 - Reduce CO2 emissions from top 1000 suppliers' operations by 50% 1000+ Suppliers joined The Zero Carbon Project and now ready to drastically reduce their carbon emissions Score reached 3.92/10 in Q4 2021 2021 Q1 Q2 Q3 Q4 Target RESOURCES SSI #4 - Increase green material content in our products to 50% 11% First company in the industry to offer Home Energy solutions made from upcycled ocean plastic, and with 100% recycled packaging 1 Score 1. 2021 baseline 3/10, 2025 target 10/10 Investor Relations - Schneider Electric | Page 21 3.92 3.75 EQUAL SSI #9 - Provide access to green electricity to 50M people +4.2M Schneider Electric solutions helped 4 million people to get access to safe, clean and reliable electricity in 2021 Life Is On Schneider Electric#22More Products | More Software | More Services | More Sustainable With ambitious targets and continuous benchmarking Recognition CDP DISCLOSURE INSIGHT ACTION A LIST 2021 CLIMATE SUPPLIER ENGAGEMENT LEADER 2021 Our Pledges 2025 Carbon neutrality in our operations 2030 Net-zero CO2 in our operations CDP A List (Climate) 11 years in a row 2040 Dow Jones Sustainability Indices Powered by the S&P Global CSA 86/100 End-to-end carbon neutral value chain industry average of 28/100 2050 Net-zero CO2 supply chain PLATINUM Top 1% 2022 ecovadis Sustainability Rating vigeqiris Top 1% among 85,000 companies #1 Electronic Components & Equipment sector No net biodiversity loss in our direct operations by 2030 act+nature Investor Relations - Schneider Electric | Page 22 Life Is On Schneider Electric#23Thanks to the engagement of our people MEANINGFUL INCLUSIVE #1 the world's most sustainable corporation CRS FORTUNE CHANGE THE WORLD EMPOWERED RIGEF Innovation for Cool Earth Forum 2021 GLOBAL 100 TOP CEOS 208 BEST PRACTICE Great Place To ✓VISA WINNER Work Certified BEST EMPLOYEES' CHOICE 2021 CLEAN 200 Dow Jones Sustainability Indices Powered by the S&P Global CSA ENERGY STAR AWARD 2021 AWARD WINNER GREEN STAR PARTNER OF THE YEAR Sustained Excellence Linkedin glassdoor TOP 20 COMPANIES France BEST PLACES Winner Microsoft Partner of the Year O WORLD'S MOST ETHICAL N COMPANIES www.ETHISPHERE.COM LEADER IN ANDS PRIX DE DIVERSITY TO WORK TRANSPARENCE GSSC SERAMOUNT Bloomberg 2001 GOLD COMPANY Maste EWOB FOR DADS H SUPPLY CHAIN ELMAT 2021 Gartner Communications Awards The Drum Search Awards THE SABRE AWARDS ASIA PACIFIC Employee Engagement Investor Relations - Schneider Electric | Page 23 DESIGN AWARD 2021 reddot winner 2021 SPA Health & Safety Aw ROSPA ENONERING 2021 CES INNOVATION AWARDS THECHANNELCO CRN ENGINEERS CHOICE AWARDS 2022 PARTNER PROGRAM GUIDE 2021 The Gartner Supply Chain Top 25 for 2021 Europe Supply Chain Top 15 for 2021 TROPHEES Institutional RI Investor vs. 2019 +7 pts (Engagement Index) Progressing toward our 2025 target Flexibility at Work Policy Well-being in our DNA Life Is On Schneider Electric#24Our strategy and execution translates in shareholder value Total Shareholder Return SE #1 over a 3-year period* 320 300 280 260 240 122 220 200 180 160 140 120 100 80 60 40 January- 2019 January- 2020 January- 2021 1-YEAR TSR c. +50% Schneider December 31, 2021 3-YEAR TSR c. +210% * SE performance among 11 peers as considered for long-term incentive plan (base 100: Jan 1st, 2019) Proposed dividend subject to Shareholder approval on May 5, 2022 Investor Relations - Schneider Electric | Page 24 €2.90** Dividend per share +12% vs. 2020 Progressive Dividend ** for 12th year in a row x2.8 2009 2010 2011 2012 2013 2014 2015 2016 © 2017 2018 2019 2020 2021 Payout ratio of c.50% of Adj. Net Income Life Is On Schneider Electric#25FY 2021 Financial Performance Highlights Hilary Maxson | CFO Investor Relations - Schneider Electric | Page 25 Life Is On Schneider Electric#26FY21 Financial highlights - Record performance in Revenues and Profitability Setting the path for ongoing sustainable growth Revenues €28.9bn, +12.7% org. Strong demand across end-markets and geographies Gross Margin 41.0%, -10bps org. Maintaining strong GM in the face of inflationary pressures Adj. EBITA Margin 17.3%, +140bps org. Record margin, reaching the 'c.17%' ambition one year ahead of schedule 200 Net Income €3.2bn, +51% Rebounding to levels above 2019 Free Cash Flow €2.8bn, 87% conversion Record operating cash flow. FCF impacted by working capital needs ROCE 13.5% Resuming an upward trajectory 1. Conversion of FCF / Net Income (Group share) 2. Adjusted for recent large M&A Investor Relations - Schneider Electric | Page 26 Life Is On Schneider Electric#27Strong growth in 2021 up +12.7% organic, c.+7% vs. 2019 Analysis of Change in Group Revenues (in Єm) +3.5% +16.2% +12.6% +13.7% +9.9% 25,159 Group +12.7% org. (+6.9% org. in Q4) -1.3% 28,905 Mainly due to the strengthening of the EUR against the USD partly offset by the weakening EUR against the CNY Mainly comprises the FY20 acquisitions of RIB Software and L&T E&A, along with in FY21 ETAP and OSIsoft by AVEVA, partly offset by some smaller disposals Rest of Scope Forex FY 2021 FY 2020 Western Europe Asia Pacific North America the World Based on current rates, the FX impact on FY 2022 revenues is estimated to be between +€500 million to +€600 million The FX impact at current rates on adjusted EBITA margin for FY 2022 could be around +10bps. Investor Relations - Schneider Electric | Page 27 Life Is On Schneider Electric#28Strong 2021 revenues - maintaining good growth vs. 2019 Products 59% of FY21 revenues +11% +16% Group +13% org. FY21 vs. FY20 Group +7% org. FY21 vs. FY19 Systems 23% of FY21 revenues -1% +9% Software & Services 18% of FY21 revenues +7% +7% FY'19 FY'20 FY'21 FY'19 FY'20 FY'21 FY'19 FY'20 FY'21 Investor Relations - Schneider Electric | Page 28 Life Is On Schneider Electric#292021 Group revenues - exceeding 2019 levels across regions NORTH AMERICA +7% org. +13% org. FY'19 FY'20 FY'21 REST OF WORLD +11% org. +16% org. Country above/below FY'19 Sub-region above/below FY'19 WESTERN EUROPE +4% org. +10% org. FY'19 FY'20 FY'21 ASIA PACIFIC +9% org. +14% org. FY'19 FY'20 FY'21 FY'19 FY'20 FY'21 Investor Relations - Schneider Electric | Page 29 Country above/below FY'19 Country above/below FY'19 Life Is On Schneider Electric#30Strong 2021 revenues - delivering growth on strategic pillars More Products More Software More Services +16% organic Up +11% org. vs. 2019 +8% organic Up +12% org. vs. 2019 +6% organic Up +5% org. vs. 2019 More Sustainability Strong double-digit organic vs. 2020 and vs. 2019 Investor Relations - Schneider Electric | Page 30 Life Is On Schneider Electric#31Q4 2021 up +6.9% organic Analysis of Change in Group Revenues (in Єm) wwww +6.4% +7.1% 7,126 Group +6.9% organic Q4 2020 Energy Management Industrial Automation 800 6000 Investor Relations - Schneider Electric | Page 31 +1.4% +2.7% Mainly due to the weakening of the EUR against the USD and CNY Mainly comprises the acquisitions of ETAP and OSIsoft by AVEVA, partly offset by some smaller disposals Scope 7,910 Forex Q4 2021 Life Is On Schneider Electric#32Energy Management - Q4 org. growth performance by geography W. Europe N. America Split of Q4 2021 revenue by geography: 25% 29% North America +6% Asia Pac. 30% Rest of the World 16% Mid-single-digit growth in U.S. and Mexico up strongly while Canada grew slightly Sales in quarter impacted by supply chain constraints Strong residential and Data Center markets Sustainability offers in the U.S. continued to see strong growth up double-digit Canada sales driven by Residential and Data Center markets Mexico benefitted from good project execution Western Europe +5% Double-digit growth in Germany and Spain driven by Group's residential offers U.K. up high-single digit supported by Data center markets and non-residential technical buildings Italy grew mid-single digit with continuation of good growth in Residential France saw solid growth in Residential market Growth in Nordic countries more subdued, up low-single digit Rest of the World +13% Double-digit growth in Middle East, South America, Africa and Central & Eastern Europe Middle East saw strong product sales in Turkey and a partial rebound in Saudi Arabia due to project execution South America strong in Brazil and Chile, supported by price Africa strong in Egypt which continued to deliver on a large infrastructure project CIS grew mid-single digit against a high base, with continued good demand in Residential markets Investor Relations - Schneider Electric | Page 32 Asia Pacific +7% China was up mid-single digit, against a high base with good demand across end- markets and despite supply chain pressures and some localized lockdowns India up high-single digit as post-lockdown rebound continued, including positive trends in commercial buildings Australia saw solid growth, with strength in residential and transportation markets, though Services was impacted by a combination of shortages and lockdowns Broad-based growth across the rest of the region, led by New Zealand and Singapore both up strong double-digit Some countries still impacted by COVID-19 Life Is On Schneider Electric#33Industrial Automation - Q4 org. growth performance by geography W. Europe N. America Split of Q4 2021 revenue by geography: 26% 26% North America +19% Asia Pac. Rest of the World 32% 16% Strong double-digit growth in the U.S. and Mexico while Canada contracted U.S. Discrete automation markets & demand for Industrial Software led strong growth Process & Hybrid end-market demand recovering, yet to translate to growth Canada sales grew in Discrete automation markets but were weaker in Process & Hybrid Mexico sales were strong in process automation supported by project execution Rest of the World +12% Strong growth in Discrete markets, and a return to sales growth in Process & Hybrid South America, CIS and Central & Eastern Europe all up double-digit, led by OEM & with Process & Hybrid recovery in South America Middle East up high-single digit with growth in Discrete automation in Turkey offsetting weakness in Process & Hybrid in the Gulf Africa saw solid growth including in Process & Hybrid Western Europe -7% Up mid-single digit adjusting for high base of comparison in Software, mainly in the U.K. & Switzerland Good growth in Discrete automation markets, while Process & Hybrid markets remained weaker Good growth in France, Italy and Spain, led by Discrete automation markets Germany around flat, with good growth in Discrete markets offset by Process & hybrid Strong growth in discrete automation in the U.K. Asia Pacific +10% Contrasted performance between strong sales growth into Discrete markets, and continued softness in Process & Hybrid Electronic component shortages continue to impact across the region China up double-digit against a double-digit base, with strength in multiple OEM segments, despite supply chain constraints India up strong double-digit, led by packaging and hoisting segments, and customers operating in export markets Australia and South Korea down against a high base in software, otherwise flat Japan up mid-single digit Investor Relations - Schneider Electric | Page 33 Life Is On Schneider Electric#34Adj. EBITA: Record margin at 17.3%, growing +140bps org. In Єm 2020 2021 Reported change Organic change Revenues 25,159 28,905 +14.9% +12.7% Gross Profit 10,156 11,843 +16.6% +12.5% Gross Margin (%) 40.4% 41.0% +60bps -10bps SFC1 (6,230) (6,856) +10.0% +5.8% SFC1 Ratio 24.8% 23.7% (% Revenues) -110bps -150bps Adjusted EBITA 3,926 4,987 +27.0% +23.2% Margin % 15.6% 17.3% +170bps +140bps R&D/Sales ratio 5.3% 5.1% -20bps -50bps 1. Support Function Cost Investor Relations - Schneider Electric | Page 34 Energy Management Industrial Automation c.+140bps c.+90bps Org. Adj. EBITA Org. Adj. EBITA SFC/Sales ratio improves from 24.8% to 23.7% due to volume recovery in FY21 and continued cost control discipline SFC up +5.8% organic in value, with the reversal of temporary savings from FY20 and to support topline growth Operational efficiency plans continued to deliver structural savings, while investment in strategic priorities continued R&D (partly in COGS, partly in SFC) increased by +4% org., while R&D/Sales ratio was ~5%, in-line with the long-term average, although slightly down on FY20, due to the lower revenue last year while R&D spend was protected Life Is On Schneider Electric#35Gross Margin: Strong performance despite inflationary headwinds ww Gross Margin: Analysis of Change (%) +0.5 41.0 +0.4 -0.3 +0.1 40.4 -0.7 +0.6 Net Price +41 M€ Pricing on products: +612M€ Raw Material headwind: -571M€ Industrial Productivity +164M€ ⚫ -161M€ headwind from freight and electronic components Underlying Industrial Productivity +325M€ FY 2020 Net price Productivity Mix R&D & Prod. Forex Scope & others FY 2021 Labor infl. 1. Price on products and raw material impact Investor Relations - Schneider Electric | Page 35 Life Is On Schneider Electric#36SFC: 2021 continues to deliver on structural savings Analysis of Change of SFC (in Єm) 906 181 6,230 -36 220 -411 282 6,856 390 Investing in Group's strategic priorities to support future growth Mainly impact of recent acquisitions • Partial reversal of the c.€300m tactical savings delivered in 2020 Structural savings on target and aligned with operational efficiency plan of c.€1bn between 2020-2022 FY 2020 Forex Inflation Investment Tactical savings Structural savings Scope & Others FY 2021 Investor Relations - Schneider Electric | Page 36 Life Is On Schneider Electric#37Net Income of €3.2bn In Єm 2020 2021 % change Adjusted EBITA 3,926 4,987 +27% Other income and expenses (210) (21) Restructuring (421) (225) Amortization & imp. of purchase accounting intangibles (207) (410) EBIT 3,088 4,331 +40% Financial costs (278) (176) Income tax (638) (966) Equity investment & Minorities (46) 15 Net income (Group share) 2,126 3,204 +51% Adjusted Net income¹ 2,614 3,409 +30% Adjusted Earning per share¹ 4.72 6.13 +30% 1: Adjusted net income and EPS calculation in appendix Investor Relations - Schneider Electric | Page 37 M&A / integration costs, offset by gains on disposal for Cable Support, US Motion and IMServ. 2020 was mainly M&A/ integration costs Restructuring costs due to Group's ongoing cost efficiency plan to deliver c.€1bn in savings. The Group now expects restructuring costs of between €850 million to €950 million over three years (2020-2022), c. €300 million lower than previously anticipated Increase mainly due to acquisitions completed in H2'20 and H1'21: including RIB Software, L&T E&A division and OSIsoft Life Is On Schneider Electric#38Free Cash Flow at €2.8 billion - record operating cash flow impacted by working capital requirements Analysis of debt change in €m 2020 2021 Net debt at opening Dec 31 (3,792) (3,561) All-time high operating cash flow, up +22% as a consequence of the strong performance in 2021 Operating cash flow 3,651 4,469 Capital expenditure - net (762) (817) Operating Cash Flow net of capex 2,889 3,652 FY21: Build-up in inventory due to demand and component shortages. Receivables up on higher demand (DSO stable). FY20: reflective of lower demand environment Change in trade working capital 517 (1,114) Change in non-trade working capital 267 261 Free cash flow 3,673 2,799 Mainly consists of €3.5bn cash consideration for OSIsoft, along with other acquisitions of the period Dividends (1,525) (1,585) Acquisitions net - (2,393) (4,231) Share buyback on hold for much of 2021 Net capital increase (7) (46) FX & other 483 (503) (Increase) / Decrease in net debt 231 (3,566) FY21 includes payment for additional stakes in RIB Software and IGE+XAO. FY20 benefitted from €1.1bn third- party cash held in relation to AVEVA rights issue Net debt December 31 (3,561) (7,127) Life Is On Schneider Investor Relations - Schneider Electric | Page 38 Electric#39Return on capital: Driving ROCE towards 15% 15% 14% 13% 12% 11% 10% ROCE 13.5% 11.8% 9% 2017 2018 2019 2020 2021 ROCE including recent large M&A ROCE without recent large M&A Investor Relations - Schneider Electric | Page 39 Group ROCE: 13.5% (vs. 12.0% in 2020) +1.5pt increase on improved profitability & capital discipline despite inventory build needed for supply chain challenges Recent software deals are catalysts for future sales growth and long-term value creation Life Is On Schneider Electric#40Capital allocation: priorities unchanged 1 2 3 Strong Investment Grade Credit Ratings Continued focus on Dividends Portfolio Optimization Share Buyback Successful integration of recent acquisitions and deliver associated synergies Near-term Focus: Further progress on disposal program: on track to meet 2022 timeline Small bolt-ons or partnerships linked to long-term strategy Investor Relations - Schneider Electric | Page 40 AGM proposal to raise +buyback purchase cap to €250 Life Is On Schneider Electric#41Balance sheet remains strong Leverage returning towards a more typical level Net Debt/ Adj. EBITDA* 0.75x Dec-20 1.42x Jun-21 Main impacts • Net cash payment for OSIsoft of €3.5bn in H1 • Payment of FY20 dividend for €1.5bn in H1 1.22x • FCF benefit of -€2.8bn Dec-21 * Trailing 12 months Adj. EBITDA; Net debt as of period end Investor Relations - Schneider Electric | Page 41 • Dec 2020 impacted by holding of 3rd party cash from AVEVA rights issue Life Is On Schneider Electric#42Expected Trends & Financial Target Jean-Pascal Tricoire | Chairman & CEO Investor Relations - Schneider Electric | Page 42 Life Is On Schneider Electric#43Expected trends in 2022 The Group expects to grow both its revenues and profitability in 2022, in line with the framework for sustainable growth for the medium and long-term announced in its recent Capital Markets Day. In 2022, the Group expects: • A continuation of strong and dynamic market demand, including further recovery in late-cycle segments • All regions and all four end-markets expected to contribute to growth • Sales to benefit from higher level of backlog exiting 2021 • Ongoing uncertainty linked to health crisis Ongoing global supply chain pressures continue to impact in coming months • Increased pressure on input costs, including raw materials, labor, freight and the sourcing of electronic components • Despite the overall inflationary environment, and current supply chain pressures, the Group aspires to be net price positive for the full year (including impacts of freight and electronics) Investor Relations - Schneider Electric | Page 43 Life Is On Schneider Electric#442022 Target The Group sets its 2022 financial target as follows: 2022 Adjusted EBITA growth of between +9% and +13% organic The target would be achieved through a combination of organic revenue growth and margin improvement, currently expected to be: Revenue growth of +7% to +9% organic Adjusted EBITA margin up +30bps to +60bps organic This implies Adjusted EBITA margin of around 17.6% to 17.9% (including scope based on transactions completed in 2021 and FX based on current estimation). The Group expects progress on these levers to be weighted towards H2. Further notes on 2022 FX & Scope available in slide 50 Investor Relations - Schneider Electric | Page 44 Life Is On Schneider Electric#45Our medium and long term targets as announced during November 30, 2021 Capital Markets Day Accelerating Financial Targets Accelerating Markets Incremental Growth Drivers Unique Operating Model Sustainable Revenue Growth Adj. EBITA Margin Expansion Free Cash Flow 2022-2024 Between +5% to +8% organic, on average Between +30 bps to +70 bps organic, per year c. €4bn by 2024 Longer Term Ambitions 5%+ organic, on average across the cycle¹ Opportunity to further expand with business mix and operational leverage Aspiration To consistently be a Company of 25* 1 across the economic cycle, incorporating Sustainable Growth targets for 2022-2024 *sum of organic revenue growth % and adj. EBITA margin % Investor Relations - Schneider Electric | Page 45 Life Is On Schneider Electric#46Q&A Life Is On Schneider Electric Investor Relations - Schneider Electric | Page 46#47Investor Relations ready to engage Proposing quarterly interaction with investors showcasing specific businesses, geographies or functions 17 February 17 March FY Results Bank of America Merrill Lynch Global Industrial Conference J.P. Morgan Global ESG Conference Q1 2022 Revenues Shareholders' Meeting Société Générale ESG/SRI Conference 23 & 24 March 27 April 5 May 11 May 10 June J.P. Morgan European Capital Goods CEO Conference 16 June 22 June Exane BNP Paribas 24th European CEO Conference Berenberg SDG Conference 29 & 30 June UBS ESG Conference 28 July 2022 Half Year Results 27 October Q3 2022 Revenues Information on www.se.com/finance Consensus available on http://www.se.com/en/about-us/investor- relations/share-information/share-price.jsp Investor Relations - Schneider Electric | Page 47 Life Is On Schneider Electric#48Investor Relations contacts Amit Bhalla - [email protected] Graham Phillips - [email protected] Alban de Beaulaincourt - [email protected] Andrew Gamwell - [email protected] To schedule an interaction with Schneider Electric, please contact [email protected] Investor Relations - Schneider Electric | Page 48 Life Is On Schneider Electric#49Appendix Investor Relations - Schneider Electric | Page 49 Life Is On Schneider Electric#502022 additional notes Foreign Exchange impact: Based on current rates, the FX impact on FY 2022 revenues is estimated to be between +€500 million to +€600 million. The FX impact at current rates on adjusted EBITA margin for FY 2022 could be around +10bps Scope: Around +€150 million on 2022 revenues and around -10bps on 2022 adjusted EBITA margin, based on transactions completed in 2021 Tax rate: The ETR is expected to be in the 23-25% range in 2022 Restructuring: The Group expects restructuring costs of between €850 million to €950 million over three years (2020-2022), c. €300 million lower than previously anticipated Investor Relations - Schneider Electric | Page 50 Life Is On Schneider Electric#51Positive evolution of demand trends in Q4 vs. pre-pandemic levels Data Center Machine Solutions / OEM Residential Buildings CPG MMM Utilities Oil & Gas Transportation www Based on non-GAAP orders in selected segments Investor Relations - Schneider Electric | Page 51 www Q4'21 vs Q4'19 ++ ++ ++ ++ + ++ ++ Life Is On Schneider Electric#52Q4 Business performance highlights by end-markets Energy Management Industrial Automation End Markets Buildings Residential remains a strong growth area supported by hybrid working, underlying urbanization & renovation trends Non-Residential healthcare, retail, life science, warehouse/distribution remains strong. Hotels & commercial offices continued to gain momentum Data Center Data Center & Network saw good sales growth across hyperscale and smaller customers despite shortages Combined hardware, software, digital services and field services enabled customers to expand quickly at both local and regional levels Distributed IT experienced another quarter of strong demand & sales Infrastructure Industry Broad portfolio of offers well oriented as Grid Discrete automation grew across operators invest for resilience and decarbonisation Project execution supported sales growth Double-digit growth in Smart Grid Benefitting from expansion of certain utilities & good traction with Microgrid operators Transportation demand was good in the quarter in both businesses WWW saw solid demand several segments despite component shortages Sustained growth in Hybrid industries continued, including in CPG Demand improved in MMM Strong demand in O&G towards end of year including EcoStruxure ™ decarbonization & efficiency offers Investor Relations - Schneider Electric | Page 52 Life Is On Schneider Electric#53Q4 Group revenue: Up in all regions, though impacted by supply chain pressure NORTH AMERICA 28% +7% WESTERN EUROPE 25% +2% United States Canada Mexico N Z France Germany United Kingdom REST OF WORLD 16% +13% Spain Italy Nordics ASIA PACIFIC Russia South America Middle East Africa % GROUP SALES ORG. GROWTH Investor Relations - Schneider Electric | Page 53 31% +8% خالد ° AN China India Australia Singapore Japan Life Is On Schneider Electric#54Adj. EBITA + 23% org. due to higher volumes, productivity and mix 3,926 Analysis of Change of Adjusted EBITA (in €m) 108 164 1,039 41 -71 -359 179 4,987 -40 FY 2020 Volume Net price1 Productivity Mix R&D & Production Labor infl. SFC Forex Scope & others FY 2021 1. Price on products and raw material impact Investor Relations - Schneider Electric | Page 54 Life Is On Schneider Electric#55Q4 2021 results CLIMATE 2021-2025 SCHNEIDER SUSTAINABILITY IMPACT 1 Grow Schneider Impact revenues*2 13 2 Help our customers save and avoid millions of tonnes of CO2 emissions³ ABLO 3 Reduce CO2 emissions from top 1,000 suppliers' operations Q1 Q2 2021 Q3 Q4 Target Score1 3.92 3.75 Baseline Q4 2021 2025 Target 70% 71% 80% 263M 347M 800M 0% 1% 50% RESOURCES 4 Increase green material content in our products 7% 11% 50% O CO 6 5 Primary and secondary packaging free from single-use plastic and using recycled cardboard 13% 21% 100% TRUST 6 Strategic suppliers who provide decent work to their employees4 In progress 100% M Q 7 Level of confidence of our employees to report unethical conduct5 81% +0pts +10pts EQUAL 1 10 O 8 Increase gender diversity in hiring (50%), front-line management (40%), and leadership teams (30%) 9 Provide access to green electricity to 50M people 41/25/24 41/27/26 50/40/30 30M +4.2M 50M GENERATIONS 4 LOCAL 10 Double hiring opportunities for interns, apprentices, and fresh graduates 11 Train people in energy management? +1 Country and Zone Presidents with local commitments that impact their communities Per Schneider Electric definition and methodology 2021 baseline 3/10, 2025 target 10/10 2 Baseline 2019 3 Cumulated since 2018 Program in development 5 Baseline 2021 6 Cumulated since 2008 Investor Relations - Schneider Electric | Page 55 4,939 x1.25 281,737 328,359 x2.00 1M 0% 100% 100% 7Cumulated since 2009 Life Is On Schneider Electric#56wwwwwwwww Adjusted Net Income calculation In €m FY2020 FY2021 Adjusted EBITA 3,926 4,987 Amortization of purchase accounting intangibles (207) (389) Financial Costs (278) (176) Income tax with impact from adjusted items (781) (1,028) Equity investment & Minority Interests (46) 15 Adjusted Net Income (Group share) 2,614 3,409 Adjusted EPS (€) 4.72 6.13 Investor Relations - Schneider Electric | Page 56 Life Is On Schneider Electric#57ROCE calculation ROCE Calculation P&L items EBITA1 Restructuring costs CO Other operating income & expenses = Adjusted EBITA x Effective tax rate of the period² = After-tax Adjusted EBITA 2021 Reported (1) 4,627 (2) -225 (3) -21 (4) (1) (2) (3) 4,873 (5) 23.2% (A)=(4) x (1-(5)) 3,742 2021 2020 2021 Balance Sheet items Reported Reported Avg of 4 quarters Shareholders' equity 23,727 28,109 26,498 Net financial debt 3,561 7,127 (C) 7,363 Adjustment for Associates and Financial assets (fair value) -1,065 -1,687 (D) -6,137 = Capital Employed 26,223 33,549 (E) = (B)+(C)+(D) 27,724 = ROCE (A) / (E) 13.5% 1. Without recent large M&A 2. Effective tax rate Investor Relations - Schneider Electric | Page 57 Life Is On Schneider Electric#58Life Is On Schneider Electric