Schneider Electric sees fall in Middle East sales
Firm reports 9.4% global growth but reports slower regional sales
Schneider Electric has announced first quarter global sales of US $7.05 billion, amounting to overall growth of 9.4% through the period. The company’s power sector recorded growth of 5.6%, whilst infrastructure grew by 19.7% over the quarter. The power, infrastructure and industry sectors made up the bulk of the company's business, although global industry sales declined 6.8% on a like-for-like basis.
The company's organic growth in Russia, driven up by oil & gas and demand for reliable power, was offset by a fall in Middle East sales. Performance in the region was pulled down, the firm said, by the slowdown in construction markets across the Gulf region.
Schneider Electric president and CEO said, "Organic sales were slightly up in the first quarter marked by contrasting trends in different businesses and regions. Growing North America, Russia, South America and Africa were able to offset a softer Asia in transition and deteriorated economic conditions in Southern Europe".
Schneider Electric, in April this year, stated that it intends to increase its employee numbers in the GCC region by as much as 30%, following strong growth through 2011. The company stated that it had seen strong demand from Saudi Arabia in particular, accounting for 60% of its GCC business over the last year.