Schneider Electric Infrastructure has delivered a 917.8% return in five years, making it a 10x multibagger stock over the period. According to reports, the company transformed from a loss of ₹1 crore in FY21 to a profit after tax (PAT) of ₹213 crore in FY26. This remarkable financial turnaround was accompanied by an almost 2.5-times increase in sales and a 5-times increase in EBITDA over the same period. The change in financial performance was striking, as FY21 was not merely a COVID-19 effect but accumulated losses from previous fiscals that had resulted in substantial erosion of net worth.
The turnaround was not merely a function of higher sales, but resulted from comprehensive operational improvements and strategic repositioning. As reported, management had been working on cost optimization, restructuring, sharper segment focus and stronger go-to-market strategy even during FY21. The company reduced fixed costs, reinforced focus on the right segments, and expanded reach through direct and partner channels. The business also benefited from India's rising investment in electrification, infrastructure and energy transition. The opportunity now is considerably broader than the company's traditional power-equipment business, with Schneider positioning itself around electrification, automation and digitalisation.
FY26 marked significant progress in order execution capabilities. According to reports, order intake rose 27.4% to ₹3,430 crore, while the closing order backlog reached ₹1,911 crore, up 50.1% year-on-year. The company's FY26 wins included projects in data centres, semiconductors, grid modernisation, renewables, metro rail, utilities and industrial infrastructure, demonstrating successful diversification into higher-growth areas. The business has simultaneously moved deeper into these areas, with the opportunity now considerably broader than its traditional power-equipment business.
Schneider Electric is positioning itself around electrification, automation and digitalisation, with strategy focused on technology leadership, customer differentiation and operational excellence. As reported, newer offerings include AI-enabled grid management, digital substations, connected equipment and integrated battery energy storage solutions. The company is expanding manufacturing capacity at Vadodara and Kolkata to support future demand, improve localisation and strengthen supply-chain capabilities. Management said the expansion programmes remain on track, with several capacity additions expected through 2027 and beyond.
Despite strong order performance, the company faced some margin pressures in FY26. According to reports, EBITDA margin slipped to 13.4% from 15.4% in FY25, while June quarter FY27 profitability was pressured by commodity inflation, legacy fixed-price orders and lower operating leverage. Management has initiated pricing actions to mitigate these pressures. For a stock that has already gained nearly 10x, the next phase will depend on sustained order growth, capacity ramp-up, localisation, and recovery in margins. For a stock that has already gained nearly 10x, the next phase will hinge on earnings rather than just order wins.
