Good afternoon. It's 3 pm. Thank you for your presence in spite of holidays and strikes. So, thanks for your presence, as I said. So, I declare open the meeting, the combined and general meeting, convened according to the, specific, Burton's.
Anyway, I would like to draw your attention on the fact that this meeting is a public meeting that will be partially broadcasted on the internet site of our company. According to provisions of Article 19, the chairmanship will the the chairman of the a meeting will be the chairman of the Board of Directors. So, I will chair this meeting. I have with me, Lewa Poteker, who is a vice president, vice chairman, and board member, independent board member, Emmanuel Babu, vice, general manager of the meet of the group in charge of finances and legal affairs. I would also like to call here our tellers, Mr.
Claude Bouygues, who chairs the supervisory board of the FCP or mutual fund of Schnida Shareholders, Mr. Olivia Desnos. The 2 members of this of the meeting who have the largest number of, votes. I would like to invite the Delfin Lejuez. She will be the secretary mister, Jean Yves, and Louis Valleirets, auditors of the company are present I would like to, say hello to all the members of the board of directors who are here with us today apart from Missus Cady Copo who apologizes.
She couldn't come and we have someone else as well who couldn't come in because of the strikes. You've seen their pictures. We worked extremely hard this morning, all of us. I would also like to The that was actually hello to the advisory committee of shareholders. Would like to thank all the members of this committee on your behalf for the work they do and they advise they'll constantly give us.
And I have a specific thought for one of the members of this committee who recently left us passed away The necessary coral for the validity of this meeting is 1 quarter at least of the shares of the capital with a writing vote. In other words, more than 139,000,000, the 16th 17th resolution are are are are connected to the the extraordinary general meeting. The resolutions for these resolutions, the Curm is 1 5th of the shares with a writing vote. According to the attendance sheet, I can say that when I opened the meeting, the number of shares, present or represented is is a quorum of 72.18 percent. The legal quorum to organize such a combined meeting has been reached.
I'd like to say that 388, 700 and something, uh,000,000 of votes by correspondence. The members of the Bureau will certify the attendance sheet will sign it. I declare that this meeting has been, regularly or constituted and it can deliver it. I will not read the whole agenda of the meeting and I will let you read this simplified gender that should be on the screen right now. So I talk about the strategy, performance, governance, Leua Peteka will talk about governance by the way, then we'll have a report of the auditors and the resolutions.
We'll vote the resolutions after the Q and A session. In this, digital world, in spite of the fact that we live in a digital world, I have here an exam, a copy of the status and the, the copy of the notice of meeting, a copy of the official bulletin, necessary to organize this meeting, the list of shareholders, registered shareholders, the attendance sheet, and the list of proxies of the shareholders represented. The reports, including the, reports of the board of directors, the board of directors on governance, with a specific part of the report of the board of directors to the general meeting, the report an option of the, share description and performance at shares. The accounts of the group, obviously, the reports of the auditors, the various, the list of resolutions that will be voted this afternoon and all sorts of miscellaneous documents. I would like to say that, the accounts and the text of resolutions, the list of shareholders, all the documents are at the disposal of shareholders according to the law.
If you agree, instead of reading the reports of the board, Emmanuel Baguar and myself are going to comment the slides which we have prepared and the slides which are a summary of the main elements of our strategy, the reports on the accounts. And we then give the floor to Leo Apotiquel, our vice chairman who is an independent board members. He chairs the governance committee and the remuneration committee and you will make a presentation on governance and measures remuneration. I hope that this will be more interesting than actually reading a written report. So I am going to leave this microphone and I will talk about what takes most of my time.
In other words, Schneider Electric. Let's have a look at 2017, and let me remind you some basic points. I'm a Christian and dialect. We always talk about the reason of being the mission of a company in France. Our mission is simple.
It's give our technology at the disposal of any human being anywhere. And 2 technologies are fundamental, electricity, energy, it has the basis of progress of education, and then digital technology In the 21st century, it's now as necessary to human beings as energy itself. In the world today, You have more people within the smartphone that people with access to energy. A picture of Schneider at the end of 2017, €24,700,000,000. That's for the turnover.
5% of the turnover is constantly invested in R&D. We've done it on the systematic way. We've done it over the past 15 years. 41% of the sales in a new economies, we are characteristic because we live in between the mature market and the emerging markets. Asia Pacific is 1% higher, the the the turnover in the is 1% higher than the turnover of sales in Western Europe And North America.
20% of our sales is in developing countries in Africa, Middle East, and Eastern Europe. I'd like to remind you that we've been following us for 15 years now, and we've been able to build a group that is actually, leading, opening the way to transformation. So the convergence of the digital world with a physical world. Those two main transformations as our energy transition, where we're calling France energy of the future, we are going to merge the world of information with and data with a physical world of operations. And if you look at the two businesses in 2017, managing energy is an activity in which we are global leaders.
Our global sales is €19,000,000,000, +4 percent growth rate and, automation. It's an additional, business, I would say. It digitalizes energy. It's €6,000,000,000. It's structurally growing by 6% per year.
We are not leader but we are among the top 3, in the world and we are constantly growing. We are becoming main challenges for our competitors. Here, we capitalize what what we do in Shneeta is catalyzing digit transformation of Energy Management And Industrial Automation. We have to do that. We have a fully integrated portfolio of technologies We have uh-uh products which are connected, control systems, to help us control constantly what's going on and we have more and more soft tweares including, artificial intelligence in order to better optimize what's going on in our customers.
Our customers are and sustainable development. We can better we can help them better make the most of their resources because we manage the efficiency of their industrial processes and we manage the efficiency of energy thanks to our energy management systems. Let me go into the details of what we do. We report to the outside world all our activities thanks to 4 main activities. 3 of those activities do participate to energy management, and we never sell them individually.
Have a medium voltage, a low voltage, a secure energy, all this. I all this is usually combined within complicated and of complete solutions that manage key, applications. You have some examples here. And according to the applications, you have more or less medium voltage, low voltage, secured energy, and so on. But our strength is to be able to supply all this energy in a continuous way to better serve our customer all the time.
In the list, you have a specific application, which is our main application. It's IT Data Center in the digital world. We are global Leaders here and the secure energy part represents 2% of our sales and medium voltage and low voltage represent 1 third of our sales. So this portfolio of activity is quite synergetic. The other point for us is industrial automation.
We sell products. Obviously, connected products that will pilot and control industrial processes. We offer full solution for automation machines. That's for machine manufacturers. We have also full solutions in industrial processes discreet when continues and then we have a full activity in the software business.
I came back to this because as you know, in 2017, after many, many years of discussions and negotiations, we were able to set up a leading company in the software business called AVEVA. 2017, well, we have been given a certain number of rewards in all sorts of different fields, and we're very proud of all these rewards and, proof of recognition. We are considered as a best employer in many countries. In India, for example, but, I'd like to mention and focus on 2 rewards I'm quite proud of. First of all, We are the 5th global company taking into account all sorts of different businesses.
I mean, in which the, socially responsible investors have invested with number 5. We are considered as number 5 here. We've been recognized by responsible, socially responsible investors. And second thing, trade company. 1 employee out of 2 works in the supply chain in the the factory in the logistics center.
And this year, Gartner, has rated us as the 18th best industrial company in the world. And in Europe, in the we consider that the 2nd, best, state of the art company in the industrial sector and for our groups for our teams. It's a major, proof of recognition. And we we sell automation systems, but we are more than energy suppliers. We know what we're talking about when we are in the automation business.
Now, two activities Let's look at the strategic context. As I said before, we're talking about digital electricity and the more the most traditional way is to say that, well, electricity is traditional. It's present. It's the past and digital is the future. In Schneider, we do things in a different way.
The first thing you should realize is that your company is present in the digital sector. 45% of what we sell, half of what we sell in Schneider is part of a digital system. It is connected products, control systems, softwares, €12,000,000,000 today in the digital digital world. And things are speeding up. Thanks to, internet of things, augmented reality that will help operators use our systems and deployment of artificial intelligence so that our customers can optimize all their facilities and the digital platform of Chanel is called eco stretch structure.
Let me describe the main elements here. It's a platform. Digital tools to speed up design and use of systems. It's a community of develop integrators. It's also the expertise, the expertise of customers, the expertise of our teams, per industrial sector in order to help, our customers develop.
So I mentioned this form before. So I'm not going to spend too much time on it, but you should remember, three levels, objects connected to internet. Schnida has been, the, pioneer pioneers in the internet of things. Our first system on the internet dates back to 97. After 7 years of tests, it was called Transpuns Factory and then the first version of this Eco structure was launched 10 years ago.
So it's ten year old when for Most of our competitors most of our competitors are just dis discovering internet of things or Second level, you have local control systems. They control what's going on in your house. You tree or, your machine. And 3rd level applications, softwares, more and more, artificial intelligence, that use the database to extract data to actually provide, optimized functions to systems. All this is fully supported by, clouds.
To stop data either on-site or in a centralized center. We have cyber security obviously and our customers can then develop the best and most secure system for their equipments and installations. The digital world will help you make sure that everything can become connected. You want to speed up things from the construction phase to the operating phase. We have digital suites in all our applications.
I'd like to focus on the industrial sector. Some of you have participated to the development of this industrial capacity, you know. And I would like to celebrate with you the fact that in 2018, we finalized in 2018 a merging operation with Aviva. We can then give our industrial customers a very specific solution. The digital model modeling of their factory design, construction of the project from the conception phase, design phase to the maintenance phase.
The we we offer this digital thing to the person who designs a project, from him
to the person who designs a project,
from him to the person and actually operates and works in this in the plant. The sales number is €750,000,000. It's of the biggest companies of industrial software in the world. 4400 employees, 2 third came from Snedre, 1 third Aviva. And market value.
This company obviously is still listed as a stock exchange in London in particular. It's close to its its market value is nearly in 4,000,000 or €4,000,000,000. Sorry. So, we are really developing our portfolio and we have highlighted this particular thing here after when we merged with AVEVA. Now we have going to show you a very short video and it explains what is the added value of Aviva.
Aviso, everything three d is simply the most exciting design product industry has seen, and it will fundamentally improve the way you do your work.
Has been a realization of a long held desire to really push the boundaries of user experience and make that usability just tip people into being able to do their work better, faster, higher quality, and more enjoyably than they've ever been able to do it before.
Aviva Everything 3 d is opening up new ways of working, unlocking 3 d design efficiencies and encouraging designer interaction with innovative capabilities. Aviva E3D delivers dynamic design technology. That brings laser data and 3 d models together inside a unique hyperbubble environment. Enabling flash free, multi disciplined three d design, driving right first time fabrication and installation. It's enabling intuitive design modifications, checks, and design removals against an evolving point cloud, and taking interaction incident situations.
What it's all been about collaboration with our customers, we've really listened to them and we've heard from them that their drivers are increased productivity, improved quality, drive down their scheduled time. And that's been the essence of developing E3D2.1.
The feedback has been amazing. They're telling us that we've reached a new benchmark in the 3 d design software world.
Is for the way designers work. And as a consequence, it's a fantastic time to be a designer.
It's a great, great technology really. You realize that today when we you you develop a project in, the building sector, for example, in industrial sector, 20, 30% of the budget is reconstruct It's difficult when you design a new project to think about everything, what's going to happen in operations and so on. If you do what we do here in other worlds, if you have a full digitalization of a system right from the beginning, you can group these type of prob problems to to decrease conceptual design costs. So, we you are using the same digital model to go from the project world to the operating world. And do not forget what we've been able to do or what we are doing at the moment.
The fact that, I GE and Xao, which is a digital, it's it's a nugget, really. It's a French nugget it's it's based in Toulouse. They specialize in the automatic electrical design. So they are very international, and they've decided to join us to speed up their deployment and development abroad. I'm just saying that it's not only we're not only talking about the industrial world.
We are also transforming the, world of electricity and of energy. The community our community. We have 20,000, integrators of systems. They develop their own applications with our soft wear basis. 25% growth.
The number of objects or things connected to the clouds and we have half a million sites in which, EcoStruxure has been deployed. And the more developers you have, the more functions you have, the more sites are getting connected, and this is how we are developing ecosystem of the digital world with ecostructure. Then expertise per segment, what we we discovered 10 years ago when we launched the 1st generation of EcoStruxure, it was a product company. And when you develop digital operations, you enter into the heart of your customers of all the activities. And it took us time.
Many efforts we have you were patient to to to you supported us all the time. We completed this with application teams and the teams can talk the gas language to customers, even the mind language, hospital language to customers. They have to go over the customer and they really have to find solutions to our customers' problems. So we have R&D Engineers and technicians, We have 15,000 technicians and application engineers. They sit with customers around the table.
They help them define their needs integrate their systems and operate their systems. Where do we meet our customers? Today, we wanted to share with you some moments of an event that took place two and a half weeks ago in Paris. It was, the day of the marathon. You know that to the day when you have a marathon in Paris, it becomes the greatest the city in the world because it becomes a green and Shenidaire Green.
So 5000 customers and employees together out of 55,000 participants and the previous 2 days 4000 customers from all over the world joined us. To to to share on Eco structure and let's spend some moments on this.
I've not been to this event before. So it was amazing to see to the size and scale, and actually the interest that they map people.
Great people. Great networking, great technology, couldn't find a better partner. Very happy with
Better business for a better planet is the only way forward.
Tifique Global.
It's very inspiring and very innovative. Was impressed.
Next meeting, next, shareholders meeting, we'll have the drums from it. So we've talked about digital world, but we are many customers are already digital. And even if electricity is uh-uh hundred years old. The future is much more electric than it is today. We have asked many questions.
We don't yet have all the questions, but consumption of electricity is booming up. Electricity represents 10% global electricity, consumption, but in the future, forecasts vary, obviously. And with the, power of calculation, which is really developing with blockchain and so on. IT could become the biggest electricity consumer before cars in 9 in 2030. Second element 2017 was the milestone for us.
We've accepted that the the the elect fuel of transport would be electrical. And it's a radical change ever since the big the beginning of the use of energy. 30% of energy consumption is in the transport sector. Everything will not become electrical, but most of the transport will become electric It's one of the most radical transformation in electricity, ever since the beginning of electricity and the price of renewable, energies like, wind or solar is decreasing. Many in many countries, solar energy costs less than fossil fuel and it seems that in 2030 solar plus, other energies will be better and more interesting than fossil fuel use.
So again, not everything will be replaced by renewable energy, but most of the traditional energy will be replaced
talking about the mutation in the energy market, it is changing and getting to a new way. The first source of energy, the cheapest, the easiest to implement, the simplest to deploy is the energy efficiency. We never speak about it, but this is where we all agree to say that this is the top priority. 2nd point is what we call smart grid. And the third point is the fact that the generation which were or the production of electricity was which was centralized in the past is now distributed to reduce grow grids closer to consumers.
What is the long term view? I could show you so many applications that we already have You take, Milford in the United States. Now for the high-tech, they had reliability issues due to, climatic variations, hurricanes, on the East Coast of the United States. So they establish a micro network to make their power supply more reliable and made 15 to 30 percent annual savings on energy expenses because this is less expensive than the traditional energy supply. I'd like to share another example with you, which were took place 3 weeks ago when we inaugurated our new center in Southeast Asia in Singapore.
We have a neighbor there. It's the group called Bollore. They have a logistics center, but instead of speaking about Schneider Electric this time, I would like to share with you this testimony from a client.
Bollogistic is a tier 1 supply chain partner and a global leader in international transport and logistic. We are passionate, inventive, and enterprising, committed to social responsibility, sustainable development, and protecting the environment. My name is Nathalija. I'm the head of one of our logistic hub here in Singapore. With 1,800,000 square meter of warehouse space across 105 Countries, we need to be at the forefront of technology in this fast changing industry.
Bollore is the 1st largest hope in the world to implement power attack. A wireless energy sensor, which stands out in alert whenever there is any irregularity with our facilities. This keeps us fully connected to the vital assets that power our business. EcoStruxure, power monitoring expert, identifies power quality issue in our electrical distribution system. This allows us to proactively investigate any potential issues.
Comprehensive metering diagnostics reports are presented through EcoStruxureperadvisor. Which helps us to communicate with stakeholders and customers. We've seen at least 10% decrease in energy consumption, and this is significant reduction to our carbon footprint, which needed electric solutions in place, vulnerabilities, and power to expand, innovate, make the best decision with continuous, measurable energy saving, and increase reliability. We look forward to continue
I think it is better to hear that than listening to a very long explanation. I'd like to link to the strategic access with our acquisition, the acquisition we made last year, the which will which is a source inverter. This is what organizes the channel between the electric grid and alternative sources. Previously, we were talking about generators. But now the, world is more complex you have when your renewables, energy source, a battery source, an electric source.
So all this needed a lot of new technologies. We're a leader in China, leaders in Europe. We were not enough in the United States, so Asco will help us fulfill our aim and reinforce our technology portfolio to meet those new needs in distribution. Now the new electrification of the economy and digitizing of the economy is new. Clients now want to have benefits for their business.
They want benefits for their installation. So first of all, they can be provided with more energy efficiency, thanks to this convergence between electricity and digital More productivity in the projects and CapEx reliability and security. We want to make sure we prevent major turnarounds or, for example, in a, operation room and how hospital. There can be no interruption in power supply. It is also the reliability of operators on the machines.
Thanks the digitization, we can have augmented reality capacity to diagnose what is taking place in a dangerous environment, an electric cabinet, or a machine without having to, put any hand on it, and it's also sustainable development. A company such as ours is carbon neutral by 2020 or 2030, a 100% renewable energy based in 1030 and dividing by 2 hour energy consumption by 2030. And since we're talking about sustainable development, I to remind you of the great vacation of Schneider, which is to serve sustainable development. Over the past 15 years, we developed our Schneider Portfolio to provide our customers with new solutions to make more by using less resources. This is a commitment that we'll now cover all the aspects of what we do in Schneider.
You know that through the technologies we address, the, climate problems, the necessity to divide by 2 hour carbon emissions. So there's a need to be 3 times more efficient than we are today. And at each level, in the level of products and solutions, We have a real value proposition for our customers for their use, and our objective is to reduce Our customers emissions by a 100,000,000 tons in the next 3 years. Every 3 years in Schneider, we have a multidimensional progress plan for CSR and sustainable development. We just finished this 3 year cycle.
We met all our objectives and we are now beginning a new cycle where we will of course focus more on the fight against climate change. And also, we will stress the importance of Circular Economy health and fairness with international plans for the, holidays of our employees taking care every event in their families, not just births, but any problems they have, and they want to have a leave to take care of their family. Ethics in an is another very important area for the company. And we also have a very important plan in development providing energy to millions of people around the world. I added this slide because it really summarizes our ambition 2025, we want to be able to train 1 million people who come from the lowest levels of society to help them manage energy so that they can have reliable sustainable and green energy for 50,000,000 people.
It's one of the most admirable programs we have. We want to be carbon neutral 2030. All this through the plan I just explained. Renewable energy supply and dividing by 2 our footprint by 2030. Everything we do is part of our strategy and the deployment of this strategy is not against the value we give to our shareholders.
But by focusing on the solution of the major issues our customers meet, we are also creating value for our shareholders as proof the last financial year 2017. But as a teaser to our presentation by Emmanuel Babour, I would like to remind you of the highlights of 2017. Back to growth with a continuous, acceleration throughout the year, productivity of €2,000,000,000 over 3 years with a consistent increase of our operational margin in 2017, plus 9 and net results 23%. With Schneider's team, I always think that what is good for the company is good for business. So the achievement of the strategy I just described was proven by those numbers and to look at this with more detail, I give the floor now to Emmanuel Babour.
Thank you for your attention. Thank you very much ladies and gentlemen Thank you for your attention 2017 was an exceptional year. You saw all the strategic progress we made this year. 2017 is also a year of excellent financial performance for our company. And this is what I would like to, cover with you.
As an introduction, everybody could say 2017 was an easy year because the global economy was on the go, and it was easy to reach our numbers. Yes. Of course. 2017 is taking profit, taking benefit of the improvement of the global economy, but it goes beyond that. And it is a success of our strategy and the quality of its implementation.
Look at how this translates. We exceeded all the objectives we had set ourselves at the beginning of the year, beginning with organic growth of our revenue. We were aiming 1 to 3% Beside the medium voltage activity, the objective being to improve our profitability. Well, actually, the result was plus 4 point 5% beside the, medium voltage with an acceleration at the end of the year. We also wanted an organic improvement From 20 to 50 basis points, we doubled this number with plus 90 basis points.
All this, of course, is converted into a strong cash flow generation, which is important to invest and pay dividends. Once again, we exceeded our long term objectives with what which was to transfer or or convert a 100% in a free cash flow. It also led to a major improvement of our investment on capital employed. Our ROCE is was supposed to be between 11 15%. And the financial performance cannot be only the accounting of the company as such as John Pascal, our ambition, our vacation is also to be a major player in sustainable development for our planet.
And this is one of our achievements, but Jean Pascal already shared that with you. Let's look in more detail in all those numbers and begin with our revenue number. 24,700,000,000. This progression is +1.2 percent and with comparable scope of activities and same ForEx. This progression is +3.2 percent over the year.
What is interesting as well is that we made some progress on all our geographies. Asia Pacific is the top region with the highest growth, plus 6%, which is a remarkable performance with China where we had a 2 digit growth and also great performance in all the other areas in the region, India, Vietnam, or Indonesia. Rest of the world, plus 3% with a vigorous growth. Rest of the World are all the emerging countries outside of Asia Pacific. And for 2017, we had beautiful growth in Russia, Africa, and many most our Middle East countries.
North America is progressing by 2%. The end of the year, noted an acceleration ending with plus 6% on q 4 for North America. But throughout the year, the American economy constantly, improved and consistently showed, an increase in the numbers. Europe our growth is 2% there. Most of our large countries had growth such as France, Germany, Italy, and Spain, There are some worries in Europe, of course, as you know, with the United Kingdom, with cert uncertainties about the Brexit.
To deliver a strong financial performance, of course, we have to grow our revenue, but also improve margins. And this is what we did in 2017. 1st, we made progress on our gross margin with comparable scope. We improved by 40 basis points. We have an inflationary environment.
We improved our operational execution. This is thanks to our global supply chain. Jean Pascal Ribeland also improved our margin on solutions. Under the gross margin, we were also able to grow our costs less than our revenue. This also contributes to the improvement of a margin, and this is really, challenge for us societies, we have many investments to make to support the digitization of economy.
It is imperative that we achieve those investments. So in this context of high investments, we need to have costs that grow less than our revenue. And this means we were very efficient in our sin savings plans, our simplification system. With those 2 elements of margin improvement, we get to a very high organic growth for our adjusted EBITDA. This is the operating income.
With a 9% growth and we achieved €3,650,000,000. It is a historical record for the group It is a margin by 14.8%. You need to know that the margin improvement took place. Thanks to 2 main business activities. And between energy management and Industrial Automation, we have 90 to a 100 basis points in margin improvement.
This is the main area for activity 2017. Great progression of our results. We also made other progress to deliver this great financial performance. We reduce the cost of debt. We totally benefit from this environment with low interest rates and we continue with our long term debt, which is a promise of stability for Schneider, very low interest rates in 2017.
We had a very good, maturity a time of 7 to 8 years. So we were able to finance the group, thanks to our reputation, our sound, financial system. So great conditions. We also be been able to reduce our taxes. This is thanks to the acquisition of Invensys, which came with many, tax levies.
It is also due to the evolution of our profitability per country in the areas where we make our profit. And it is also the US tax reform. You might have heard about it. Which reduced considerably the tax, on companies. This is great news for us.
All this leads to, net earning results of
22,250,000,000.
So a growth by 23%. If you look at restructuring costs, the net earning adjusted reached its €2,400,000,000. It is a progression by 11% compared with the previous year. And if you look at a rate of 12% thanks to a per share buybacks in 2017. We were able to improve our profit per share.
A strong progression in our revenue, and we were able to transform this revenue and free cash flow. This is another record for 2017. It is the highest free cash flow ever generated by the group €2,250,000,000. Which can support, the profit growth. And thanks to this free cash flow, we were able to reduce our net debt in a significant way.
The end of the year, our debt is €4,300,000,000 and our ratio debt net debt on EBITDA is 1.0 in 2017 year on year it's a reinforcement. All this, strong cash flow good performance allow us to propose to this, general assembly. Dividend increased by 8%. You see the consistent increase of our dividends over the past 9 years If you approve this dividend, it will be on payment on May 4th. And this year, there's also a levy, which is particular because on the €2.29 0.09 of €0.19 will be a normal dividend in France and €2.01 will be seen as a contribution, reimbursement.
So it is not submitted to tax. As Jean Pascal explained, our objective here is to continue, provide our best return on your investment in Schneider. And you see here that we put all our resources at the service of that. So +8 percent for the dividend. That is what we will propose today.
Share buyback, which is funded with a very cheap debt. We have almost the same result, but we can distribute this with less shareholders so it's a bigger share for each person. And if we look at the past 3 years, I think the numbers are quite striking. 75% of cash flow generated the company was given back to our shareholders either through the dividends or through the share buyback. Scheme.
So this progression is based on the highest return possible for our shareholders. Strong growth of our results in 2017 excellent performance, very active year to continue to optimize our portfolio. We transferred one asset with very good conditions, $900,000,000, Telvent, very nice, asset, but the synergies with the rest of the group was still too limited. And Jean Pascal spoke about the major acquisitions that we made. There absolutely key to reinforce our leadership in energy management or industrial automation.
The acquisition of Aviva and great news here. The closing took place on March 1st, but we can already say that it is on a very positive note. The software grew by 5% on the first quarter. And for this scope before merger, Aviva had a great 2 digit growth. So all this is great news.
And we're already in 2018. So let's have a look at how our business started the year. For Q1 in your company, there's been a new acceleration of our revenue growth for its comparable data plus 6.2 percent This is a remarkable growth compared with 2017 where it was 3.2%. So Energy Management And Industrial Automation has a great growth 6% and 9%, respectively. Look at the Pacific Asia Spectacular with +14 percent.
It's which was really, the most dramatic growth, but all the others as well, India, of course, Indonesia, Vietnam, are also progressing very sharply. North America and rest of the world, same dynamics, plus 5 percent. We're talking about a global growth on the world economy with a great performance of our teams in North America. It's an excellent team just like China. We think that we are gaining new market shares in the past few months.
The most limited, growth is in Western Africa +2 percent, but there was a difference because of Easter holidays of which was overlapping q 1q2. Spain and Italy, very good performance, and a situation with a lot of uncertainties in the United Kingdom. So very good beginning of this year for Schneider Electric. After Q1, we're able to confirm our objectives for the whole year 2018. Our objective is to deliver another strong growth for our adjusted EBITDA around 7%.
Remember, it was 9% in 2017. So a new year of strong organic growth and we use 2 leverages for that. 1st, the organic growth of our revenue, we want to be in the top of this bracket from 3 to 5 percent. And the second leverage is the margin improvement, and we hope here to get to the top of the bracket from 20 to 50 basis point improvement of our margin. This performance Can be also seen in our stock exchange trend.
It's nice to see the long term investors, which is most of you around here. You are with us for a very long period of time. But we must also deliver performance on the short term. So for the long term performance, if you purchase Schneider shares 10 years ago, and you reinvested the dividend in Schneider Shares, you get a 144% return over 10 years. If you compare with the average of CAC 40, which data 48% on the same period.
You have 2.5 times the performance of CAC 40 over the past 10 years. On the last 12 months, there's less of an over progression, but we are beating 40 with 12.2% for the past year when CAC 40 was performing by 11.2%. As usual, I would like to conclude telling you what is our relationship with our shareholders. This relationship is at the heart of our concerns. We provide all the resources for that.
We have a dedicated team to support our shareholders. First of all, I would like to highlight the fact that we are developing a lot to nourish this relationship with our shareholders. It can be through site visits, conferences on different topics linked with our activities or our stock exchange development. You have a few examples here of, meetings or events organized by Schneider. Our next visit in June is our hub in Normandy.
Is very interesting to see how a distribution center, which is really at the state of the art in terms of distribution is organized. So if you can join us for this event, please feel free to contact I'm on. She's in the room and she'll help you with your registration. We also have an information center, which is dedicated where you can find a wealth of information on your company. And with great pleasure, as usual, I like to speak our advisory committee.
Patrick Du Boer is the chairman. He's in the room. I'd like to say hello to Patrick, this is a very easy channel to get in touch with us, get sent through your remarks, critics, suggestions, or even congratulations. Why not? Feel free to use this number.
It's a toll free number. It will make our communication easy. This is the end of my presentation. Thank you very much. Back to Jean Pascal.
So now the main part of the meeting governance. I'm going to give the floor to me Doctor. Who is, responsible of this governance committee for the board of directors. He will tell you about the situation as a independent board member. A few words about the board itself You have here your, board members.
If you could, zoom Do we have an available cameraman for to film the first seats here? Yes. We have people they own with us. Most of them. They pay you great attention to this presentation even if they know what's going on in this group, obviously.
So I would like to pay tribute to 3 board members Cachi Cup, Xavier Fontaine, Henry LaCmann. They are going to leave, the board just after this meeting, Katiko couldn't be with us today. She's in Marseille. And as you might have heard, there is some strike in the transport system in France here at the moment. So anyway, I would like to congratulate to thank them really from the bottom of my heart their contribution to the contribution to Shneider.
I'd like to thank Orylakman in a more specific way because he was my predecessor. He took me on board. He really, helped me and, he's always supported me. It was a great adventure, and I would like to thank him very, very much because we're all proud of what his Dano Schneida today. Thank you.
This is the example of a well prepared transition of a transition which is quite smooth and everything's doing going on fine, really. I would also like to seize this opportunity to say hello to Florent, Andre Grenaval, the first, they're with us here today. They're not yet board members. We will ask you to vote for their appointment of the Board of Directors. We would like to welcome them on board because we are quite convinced that they are of a great value and they will help this group.
Now I will give the floor to Leo Apetica. He will see few words about governance. I am going to make most of this, mic here. So anyway, good afternoon. Let me talk about governance and, I will explain what this board does your board, I should say.
As you know, Schneider is very strict in the implementation of governance principles. Our organization, our, guarantees an independent control of managers. This is done by the board itself and, the vice chairman of the board is in a an additional guarantee. This board is independent. 82% of the board members are independent members.
And they work a lot. The average participation rate of board members 90% we meet, eight times a year, including a session of 4 days dedicated to strategy in China. And we had on top of that, we had 3 executive sessions. In other words, We work without management during those sessions. Every year, we review the functions of the chairman and, general manager.
I would like to thank the chairman, by the way, As always, we have renewed our trust in Jobesca and this As long as this function is unified, there will be an independent chairman and general manager. Your board works with 5 different committees for traditional committees and a new committee that was recently created a digital committee. And the powers of the CO are limited. Obviously, any acquisition or divestment above €2250,000,000 has to be approved by the board. This way of working, the way of working of your board has been validated by an external firm, external experts, we have they they they confirm our self assessment.
They they've been very positive. I'd like to draw your attention on a a quote An external experts, international expert, I should say, said. Compared to good practices, of Board of Directors, the board, Sheneda Board is quite remarkable, and I would like to congratulate and thank that all the board members here for their work and competencies and constant presence Now, there are things that we should improve nevertheless. We have to transform what we call the strategy committee into an investment strategy 2nd, we are going to formalize an integration program for new board members and on a systematic basis at each at the end of each meeting, we will, talk about succession plans of managers twice a year at least. In 2017, the board worked on a certain number of recurring subjects the combination of industrial software or shared electric and the merging with Aribeeva, in other words, acquisition of ASCO, renewal of the board creation of a digital committee self assessment, formalized with the support of external experts and the within the in order to follow risks.
We've worked on specific studies in logistics, in supply chain, compliance, and and succession plans of managers and of members of the executive committee and their remuneration. Before affirms, for sorry, the 4 committees are working on a certain number of specific points are the following audit and risks. Very traditional committee, I would say study, we study the accounts, revenue, financial information, management control, risks and the, the policy of distribution. Then the governance and remuneration committee, whom which I chair is also in charge of the, list of members of the board, integration of new board members, remuneration, of, managers, taking into account this French law called, then succession plans on managers and formalized self assessment. 3rd committee chaired by Linda Knoll, This committee is in charge of reviewing the remuneration policy of the members of the executive committee, professional and, equal professional, equal, equal pay as well.
I put in the see performance including this new barometer called Planet Associate. This is change the sustainability impact and then the the strategic committee with Xavier Fontaine that focuses on the preparation of the strategic session of the board definition of themes, connected to organic growth and critical review of external growth projects. Of the group. So that's it for this short presentation of what the board did in 2017. Now, let's talk about the main points on the agenda of a general meeting of shareholders.
You have to approve a certain number of major decisions first approval of the accounts and the amount of the dividend, then we'll go into the details of the resolution on the, board member of the of the board. Sorry. We talk about the remuneration of the managers top managers and we'll talk about the renewal of the status of the managers. We'll you will also vote on the renewal mandates, and the the appointment of the certain of of the new members to the board, the renewal of financial authorization. Every year.
98%. This buyback planning are for 98% of the employees of the group. So it's a So let's talk about resolution 1 to 4. Reiteration amendment of the status of, 2 board members, Mr. Trico and Babbo.
First of all, the indemnity departure indemnity. We suggest that it is equal or period to twice the annual remuneration and the other past 3 years. With a certain number of specific conditions, performance conditions in particular. If the board, is talking about this non comp non competition, amendment. I mean, this remuneration will be, different.
3rd, the right to keep stock options and performance of shares allocated for all new plans, the, will it will be connected to the time of presence of the manager. 2nd point the approval of the non managing direct board members remuneration. This will not be sorry. This is this is the convention about the specific missions of the vice president who is is an independent board member's remuneration as indicated on the slide. So I'll now can talk about the remuneration of the corporate managers.
Let me remind you principles we used to work on this remuneration. For years now, we have decided that we should build a remuneration strategy Based on 3 pillars, 1st of all, remuneration of performance, alignment, with the, interests of shareholders and competitiveness. These are 3 pillars can be subdivided to principles performance. Principal number 1, the variable component will prevail 80% for the CEO and 75% for the vice, chairman, vice man managing director. Second principle, evaluation of performances according to, economic criteria that can actually be measured foot principle, financial objectives, sustainable development, and the transformation, distributed in a very balanced way.
Alignment with the interests of shareholders. We have here 2 main principles, overweighting relative of relative overweighting of shares in the global remuneration and principle number 5, alignment of performance conditions on what shareholders expect. We align ourselves on the published guidance. Competitiveness, we want to motivate and keep our managers in a very competitive international market. So 2 principles here.
1st of all, remuneration of corporate managers we want to have, the the average of the group of reference. That's for the remuneration. As I said, top managers and principle on the 7 will take into account, the stock, Europe 50 and CAP40. So if you look at the performance and the way we, compensate managers The generals, the CEO, and the vice CEO, the things are quite well aligned. With the value creation of for shareholders.
This is what we want to keep actually, and this is main basis for the calculation of the remuneration policy. Proposal for 2018, it's in line with our strategy. We suggest a slight increase of the fixed annual remuneration in order to a reward, the performances of the share of the of the managers, the the the the the success we we are quite successful Emmanuel and Jean Pascal. I've given you all the numbers. I won't, give them again, but I'd like to draw your attention the fact that we have an annual growth of the net earnings of 3.3% over this period of time.
So it's it's fair. It seems it seemed to us fair to actually, apply this to the remuneration of managed the merging of, with AVEVA was finalized successfully. This was a crucial strategic operation for the sure of the group. And if we want to go on keeping an eye on competitiveness of managers, when we compare ourselves with other companies, we want to be competitive. So we have go we are going to suggest an increase of the fixed annual remuneration plus 5% for mister.
Last time he got an increase was in 2013 and mister Babo this increase will be plus 12 percent fixed annual remuneration in order to reward, the managers for the successful transformation of the group, the development of its profitability structure. And as far as mister Babo is concerned, the specific success of the merger between the software activities and Aviva. The summary of this remuneration proposal for 20172018. Mr. Triquhar 2017 fixed remuneration €950,000.
We are following here We are strictly following the remuneration voted by the general meeting in 2017. So, this is we stick to the policy you approved So, fixed annual remuneration 2017 for Mr. €1000, variable share was 1,800,000, which means it gives a toll number of 2 2,832,000. We have given, performance shares at of 3000000.3.2000000. So total remuneration plus share 6,000,000 Then pensions will be as indicated here, 543,000.
So, tool number is 6,600,000 and for 2018 will the the fixed share will be 1,000,000 the variable share will be 1.3000000so2.3 then, 3,200,000 shares will be given to him. The value of the shares granted given to Mr. Triquhar is 3,200,000, so total number 5.5 toll number 3.035. Mr. Babaud in 2017, 600 and 5000 variable 920, variable share.
Number of shares as indicated here, 12,000 and so on. So that gives us anyway a total number of 3.2 a 1,000,000, and 2018, 680 fixed remuneration, same for the revenuation, tool number as indicated here, 1.3 performance shares, plus pensions, plus other advantages that gives us a total number of 3,100,000. That is what we are suggesting anyway for 2018. Now, let me introduce introduce our new candidates. Missus Flora, she, magistrate for the old ex minister of the government.
And since September 2016, she is, associated manager an investment fund called Corbin Lial Capital in France and Europe. We are very happy to take Missus Pela on board. She will share with us her economic and financial knowledge and parents of business, so good knowledge of the economic world in France and Asia. She volunteers to join faith committees, audit and risks, human resources, and RSC and digital. I've also a great pleasure to introduce, Mr.
Andreas Vonovald is CUO Vista's Wind System AS. He has had a long career first in Sweden, for Ericsson, in Sweden, Singapore, United States, Brazil, and UK, he will give us his experience in growth strategies and changes in companies, in businesses, he's got a deep knowledge of the newer of energy, the activities of Schneider Electric, and its competitive environment in all its geographies, and it will join the investment committee. If you approve our proposal when we In this general meeting, your board will be younger with a strong additional competencies and our board will be able to, face the various issues of the future The average age this year was 57.5 years, 13 board members, 2 of them employed by Schneider. 42 percent of the board members were, ladies, independent board members, 80 2%. We'll have now 8 board members with a, competencies in accounting and finances, 7, with an industrial competency, 5 in digital world, 5 have an excellent, experience and knowledge of the US markets and 4 are the good knowledge of the Asian market.
So, I hope that these candidates, these appointments will be voted by you. And then Resolution 15 to 17, we are asking you to go on with our buyback, share buyback program, maximum €90 per share, and renewal of authorization to have again this increase of capital for the employees. Thank you. Thank you. Thank you very much, Leroy.
I would like to thank the Board of Directors because since with this new governance, the work of the board has been multiplied by at least 2, you know, the a certain number of things were prepared in the past by a specific committee, but now the board is working hard. People are very active. They spend a lot of time working for Schneider and it it's it presents a lot. This, we had to organize a number of sessions outside France. So they have to travel.
They have to suffer jetlag, and they have to be quite organized. So thank thank you very much. Then I would like to call the auditors who will make their presentation on the, fiscal year So, special reports on the accounts and on the the suite number of authorizations. For profit sharing plans and so on and then increase of the capital strictly reserved for employees of the group. Thank you very much.
Ladies and gentlemen, good afternoon. It's a great pleasure to make this presentation on behalf of all the auditors. The 5 reports we have drafted for you. These reports are at your disposal, so I will just summarize them. First of all, we have an opinion report on annual accounts and a report on consolidated accounts.
We have a report on conventions and, regulated or agreements and 2 reports on specific operations and specific operations for the corporate capital. In our opinion report, we we certify that these annual accounts that you will now have to approve in the first and second resolutions of this general meeting. So, we approve this report. As part of the implementation of the European reform, the format of our reports has evolved. We now explain key points, which according to us, the key points which have been the most important one for the establishment of these accounts, and as far as the annual concern, you have the assessment of the participation.
And the debts connected to these participation in other businesses as far the consolidated accounts are concerned, we have selected 4 main theme. 1st evaluation of a of goodwill, brand image, capitalization, and evaluation of development costs, recognition, and as of assets. And last but not least, the item of risks and evaluation of corresponding provisions. So we also confirm that our reports comply with the law. Now, conventions and commitments our reports include 2 new conventions that have been accepted by the board directors It's a commitment vis a vis mister Jean Pascal Tricoire and mister Emmanuel Babau.
You got an you you had the presentation of this commitments and then conventions and agreements that you have approved previously, that's all sorts of placing 2017 had been presented in our report. Then, extraordinary as far as the extraordinary general meeting is concerned, we have 2 specific reports, on the resolutions of the, corporate capital. So a mesh issuing of a certain number of, of shares. We don't we we do not have we didn't have to make any specific comment on these operations which are absolutely part of the legal system prevailing in this country. Thank you very much for your attention.
So ladies and gentlemen, Emmanuel Ibaboo, myself, Mr. Apotheca, we are at your disposal to answer your questions, if any. Before I answer your questions, I'd like to say that we have received a 4 questions come from is shareholder who's got 12,000 shares of the company and another one from Sebastian Boire. Is a representative is a shareholder with 1 share. The board met this morning, and we have, drafted quest answers to the question, and the answers are on the website.
Excuse me. Now questions, in order to make sure that can ask your question, please. If you have different questions, sorry. Ask your questions. I I've asked asked all your questions when you have the microphone.
I am going to start with the Committee of Advisory Committee of Shareholders who is going to repeat the questions it got on our internet site in particular. The interpreters, sorry, we do not and hear the question. Sorry. I'm the interpreter sorry. Mr.
Prico is answering a question. The interpreter didn't hear, but anyway, we are all, we know all about cyber security. You know, cyber security is obviously a very important to a certain number of things happened last year. So, several elements to your in my answer. First of all, we have a digital committee It will be shared by, Eric Berto, sorry, and the committee will obviously focus on cyber security.
It will be one of the first issues that the committee will address. 2nd way of to to to answer your question on internal cybersecurity. We have sort of delegated IT, fully dedicated to entities and businesses. Now, a few years ago, we have globalized all this. We have 1 IT manager chair who is in charge of the digital operations of Schneider.
So he's in charge of internal digital businesses and external ones. We within Schnida, We have cyber security services. When we commissioned a system, we when We take into account cybersecurity. We'll ask our customers the type of cybersecurity system they want and we really give them the full power, I would say, of our R and D and of our we we develop customized solutions in other words. And obviously, we have to keep an open eye on this.
It's very let's, they are more and more on our system, internal, customer systems, and so on. So we constantly work to defend ourselves to increase defense The fact that we are a big company that we have an a good R and D budgets. So obviously, we are able defend ourselves in a much better way than smaller companies, but obviously, let's understand, let's keep a low profile line here. We are constantly attacked. We constantly work on this.
We always find solutions with authorities in particular. There are new rules that will have to be used in Europe on data protection. This should start in May. And all the employees of Schneider, are being trained on this and we will obviously comply with these new rules.
That transformations in the energy business are a very topical smart grid development of electric vehicles announcement of Total who's going to acquire Direct Energy. What are the impacts on the business of Schneider check and how does it influence your strategy? Well, it is reinforcing our strategy. You know as well. For 15 years, we announce a world that will be, growing digital and electric.
And in the past 2 who couple of years, we had even a a sharp acceleration here. So it's a move that is really very favorable for Schneider Electric and a a digital world is really very favorable for a company such as ours, bringing digital in, building in the 3 in other smart cities. 5 years ago, it was still a marginal phenomenon compared with more traditional technology but it is now really accelerating, and I showed you 10% of the Chinese vehicles will be electric next year. And all this will benefit our technologies. We won't be able to do everything.
One of our strengths is really to continue to be focused And we've always been more focused than our competitors. We will continue to do so. But for the past 10, 15 years, We decided to focus on the upstream of the energy, the downstream of the energy, a flow that is after the distribution. And now with the digital, we are really and reaching our, offer with new functionalities. One question from here in the center.
Good afternoon. We were told that the French tax system is one of the strongest. We even send our agents in Greece when they had trouble, and things are much better for them now. Now, installation of Schneider in China, did it change something about your tech tech scheme? I didn't understand the question.
Well, we pay our taxes only in France or in China or everywhere. What do we do? We pay taxes in all the countries where we have business. So obviously, we pay our taxes in France. We also pay taxes in China and in all the countries where we operate.
We are submitted to the local tax system. That is where the activity is taking place. Where the business is taking place. So it will depend on our activity in the country and not it's not depending on the tax system. So you don't go to places where the tax is more, is lighter?
No. We are where our customers can buy So but they tend to buy in the countries where there is less taxes, more dynamic countries. My name is Roger Tong. Mr. Chairman and I have two questions.
One on governance. I see that M and A's after 250,000,000 need to be approved by the board of directors. My question is the following If the answer by the board is negative, do you, proceed anyhow to the, acquisition or transfer? No. I obey.
Second question for Flora. Could you tell us more about the aster startup company? Will you have other start up like the one brought by Flora? Well, to give you some elements of context, acquisitions and sessions beyond 250,000,000 are submitted to the review of the investment committee, which was previously the strategic committee, and then a decision of the board. And I am very keen on that because this is our tradition in Schneider, Transparency, and cross debate.
Below that, even we also have cases that are submitted to the board. So there is the rules, but also the need for transparency. Now concerning Aster, it's a venture capital associated to Schneider. With this fund, we can sponsor many startups around the world. To be inspired by them, help them develop, and also link them to our growth.
And this will continue not only in France, in the United States, in China, where we have multiple startups. Besides this, Flora Perez has her own investment fund, which has nothing to do with aster, which belongs to Schneider. If you vote for her, she will be part of our directors and there will be no relationship with Esther. One more question there. Mr.
Chairman Mr. Du Solon for the individual Shareholder Ship Fund? One question. You were able to value to 3,000,000,000 your technology or 3 d technology. Will you have a frontal conflict with Dassault Systems.
2nd question, several studies revealed that we will be missing 2,000,000 engineers in augmented reality or artificial intelligence How will Schneider face this scarcity of talents? And will you be able to achieve your metamorphosis with success concerning our First question, the 3 d development is not because of Dassault System. We do that to serve our clients. It's a matter of positioning on the market. We have operations where we have a very strong and global brand image, but we were not there for the design of the project.
But if we want to be very efficient, Our digital model must be the same from design to operations. This is the reason why we create a continuum in the portfolio of the company. Everybody's producing 3 d. It's not the monopoly of one company. It is a natural form of representing reality in our digital universe.
Now concerning talents, yes, there is a global talent war, not only for ai, but I showed you the global balance and you see that one of the strong points we can value is the fact that we are multi local, we have that organization that we call global and connected with responsibility centers are not only in one place. In the current world, where global talents have offers from all over the place, We can manage their responsibilities globally while remaining to our clients, timelines, friends, families, and this is an advantage. Only very few if no companies at all can propose that Schneider. So this is our value proposition. For those who joined Schneider, they can stay in agriculture, their local universe, while being emerged in the most global company in the industry.
It's a privilege to work at the 1st row of all the main technological transformations of this century, the energy transformation, and the convergence of industrial operations and IT. And I will also add that there is a clear contribution to sustainable development We're here to preserve our planet and solve the poverty issues with the access to energy and access to digital. This is why we're offering and it is successful. So this is our driver. It's our passion in Schneider.
We have this mission or mission statement of the company, and at the same time, this luck we all have work daily with a global community, which is multi color, multicultural divers, and this with is helping us to make to progress faster than others. More questions? Good afternoon. My name is Weemath. I'm a shareholder in pure assets, medium voltage with time.
Is it a business you continue to develop, or is it slightly leaving your core business. Well, as explained, In the past 10 years, through acquisitions, we considerably reinforced the medium voltage industry in Schneider. We didn't do that for medium voltage per se. I'm formally from Maurer, and I always worked on median voltage. But for a client, you don't speak about securities security, secure energy, low voltage, medium voltage.
You speak about electric distribution and outside buildings and houses. It begins with medium voltage. We need that. For all the companies we acquired, this Medium Voltage has not reached the maximum performance as could achieve a world leader. We're working at it.
For the past 2 years, the medium voltage performance is improving. We, but we're just at the middle of it for the time being. We haven't reached what it would take to be a world leader. We are in size, but we are not a leader in performance. So we still need to develop this activity on the right segments and make sure we get the right synergies with low voltage and the rest of the distribution.
So I don't have a absolute answer to your question, but I spend most of my career to rebuild medium voltage muscle. Now, it's up to the teams to make sure it works. Do we have more questions? Okay. One last question and then we'll move on.
Microphone number 1. I'm an individual shareholder. I got in late and I'd like to know up to when you take signatures on the attendance list. It's it's over. It was closed at 2:30.
I think the attendance list was closed at 3 o'clock, 3 o'clock after closure of the doors. What happens for those who are late? I know it's not a burning question, but It's not easy to come here with all the strikes. I'm sorry for you, sir. No more question?
A short question. What do you think about the Yankee meter while you should turn to enemies. But you, what do you think about it as a technician? The smart meters are implemented in many countries. It's a gateway between the smart grid and, industry automation and smart buildings to manage efficiency.
So it's been around for quite some time. Is there any interest for the consumer? I think you should call entities, really. In a digitized world, the main change you will have is that for the first time in the energy world, everything will be connected from the power generator to the plug in your home. It is calibrated to cover the peak, you know, every year you have an consumption peak in winter that can be shorted.
If there is no peak, most of the time, their network is underused. So connecting the consumption point to the generation point improves hugely our efficiency of the networks. And I understand that Linky is 1 heart office. Thank you. But we do not participate to that.
We upstream and downstream from that meter. Good afternoon. How about energy storage? Are you looking at batteries as an industry? Because this is very important and we trend we tend to think apart from Elon Musk from Tesla That there is nothing to do with batteries.
Is Schneider going to get there or not? Well, we won't be able to do everything. So we are not in batteries, but we are with the most the biggest integrators of energy storage for consumption with a world leader for energy supply to data centers. Each time you click on the web, You might get this energy from Schneider. All these data centers are extremely sensitive.
It's very, top of the technology, IT and they are secured by the batteries and the management of this is a system from Schneider. Secondly, we speak about storage for the rich, rich Tesla, and particularly for California. 40% of our revenue is in emerging countries. We are leaders of this storage power storage in those countries with systems that are much, much, much cheaper and more developed like in India, where we are providing pure energy for Indian households because in India, it's, a daily problem with the, shortage or, shutdowns for your computers, your fridges, your children who need to study at home. So, no, we're not going to produce batteries because this is chemical and our core business is not in chemicals, but we will have a very strong relationship with battery providers.
In the Western world, we speak a lot about Tesla, but you have 25 times this capacity in batteries in China. They are not so but they go much faster and it's, a provider which is a Japanese company called Panasonic. So it concerns many different companies. They are in competition. Our job is to manage batteries as we manage solar panels and windmills.
We provide the energy, the intelligence, and the muscles for the energy management. And with ASCO, which does a source inversion, we can manage this new source of energy for storage. Good afternoon. I'm part of the advisory committee for shareholders, and I'd like to speak about cycle structure development strategy. Your strategy is based on partnership and not vertical integration to do everything by yourself.
What are the benefits of this strategy you chose? It's an excellent question. It is really linked to our genetics. In energy, we have many competitors who go and see the end users to integrate things for our end users. We decided to be the company number 1 in the business in terms of partnerships.
We did that in the past with electricians, installers, automation integrators, etcetera. If you look at our sales portfolio, our channels for the market, we are by for the company which is structured through partnerships, we think that everyone should focus on is best competence. In our case, it's technology. So having technology that can be a assemble like Legos or plug and play with thousands of partners that are out there in the field. They know the culture better.
They know the language. They know characteristics better than us. So this is why from the beginning, we chose to do the partnerships. When we started in the digital world, we applied the same recipe as for the physical world. And we prefer to work with partners.
So for all the levels of ecostructure, connected products, control organ organizations, They are all developed on open standards, allowing to thousands of partners to provide their bricks with their intelligence and added value to the system, and we want to be the most open company in the sector. Well, thank you very much. This will conclude this Q And A session. So if nobody else wants to ask for the floor. I will submit our resolutions to the vote of the assembly.
Let us start the vote. It's an important amendment in this assembly. Please stay up to the end of the vote. I would like to mention that we are happy to give you as a gift, a product from Schneider. It's a a solar panel with the light bulb.
It was developed within the access to energy program. You will see that it was done by our design department. It's full of, smart devices. You can use it in many different situations. And remember, that this is something we designed for the people who are at the make sure that they can use this in complicated environment with minimum comfort.
But it is very successful. 1st, for the coverage of the needs of these households, And we're selling this more and more in mature countries because people find a natural use to the lamp. It was distributed with NGOs. And also in 2017, we started working with the United Nations and were able to provide them to a refugee camp in chat. So we're very proud of this product, and we're happy to share this with you.
So you will have it? You will have it? The vote. So when you give your voting, box back, there's no free lunch. And now Delphine will manage the proceedings for the vote.
Ladies and gentlemen, dear shareholders, Good afternoon. I see that the number of shares for the present by people present is 44103,556 10,768, which is the final, quorum, 72%. So for the Ordinary and the extraordinary assembly. The quorum is reached so we can start the vote Before we start with voting for the revolutions, please watch this video that will explain how you can use the voting box. You just have to, press the button bot button button giving your position in the 15 seconds following the explanation.
Yes. No. Abstench.
Racelle.
Thank you for watching this video. We now move on to the 1st resolution approval of corporate financial statements for 2017 financial year. Vod is open. The vote is closed. Resolution adopt it.
2nd resolution. The 2nd resolution is the approval of consolidated financial statements for 2017 financial year. Vogue is open. Fotis closed. The 2nd resolution is approved.
The 3rd resolution concerns the distribution of a dividend of €2.20 after the, financial year with an accrual, which is negative, it will be issued on 4th May 2018. There's a specific tax system for this distribution. Up to 2.01. It is considered as as a reimbursement off contribution, vote is open. Vote is closed.
The 3rd is adopted. 4th resolution, approval of the regulated agreements and commitments relating to Mr. Jean Pascal Quell's status vote is open. Fotis closed. The resolution number 4 is adopted.
Is the approval of the regulated agreements and commitments relating to mister Emmanuel Baboo's status. Vote is open. Votis closed. The 5th resolution is do approved. The 6th resolution concerns the information regarding regulated agreements and commit undertaken during previous financial years, in particular, the remuneration of mister Leo Apotecare as an independent director.
Code is open.
Tubatiklou. Boat
is closed The 6th resolution is adopted. The 7th resolution is the approval elements of compensation paid due or awarded in respect of this 2017 financial year to Jean Pascal Voci's open.
This is vote is closed and the 7th resolution is adopted. 8th resolution approval of elements of the compensation paid duo awarded in respect of the 2017 financial year to Mr. Emmanuel Babu. The vote is open. Vote is closed.
8th resolution is adopted. 9th resolution approval of principles and criteria for determining, allocating, and granting the elements of the compensation and benefits of all types that may be granted to the chairman and chief executive officer in back to the 2018 financial year. The vote is closed. 9th resolution adopted. 10th resolution approval of principles and Craig Syria for determining, allocating, and granting the elements of the compensation and benefits of all types that may be granted to the deputy Chief Executive Officer in respect of the 2018 financial year.
What is closed? Change resolution adopted. 11th resolution, renewal of the of a directorship, Mister Willie Kisling. So 11th resolution adopted. 12th resolution.
Renewal of a directorship, Mrs. Linda. So vote is closed. 12th resolution adopted. 13th resolution appointment of a director, Mrs.
Florent. The vote is open. 30 teeth resolution adopted. 14th resolution appointment of a director, Mister Anders of Renovant. 14th resolution adopted.
15th resolution, authority granted to the board of directors to buy back company shares the maximum is 10% of the capital and the maximum purchase price per share, a a €90 And this authorization will end on the 23rd October in, in 2019, and it's not public. Vote is closed. Resolution number 15 adopted. 16th resolution, delegation of authority to the Board directors to undertake capital increases reserves for participants in a company savings plan up to a limit of 2% of the share capital without shareholders preferential subscription rate. This authorization, the maximum is 2% of the capital, as I said, yes.
And it's in line with the 19th 20th resolutions adopted last year. And this authorization is valid for 26 months. 16th resolution adopted. 17th resolution, delegation of powers to the Board of Directors to undertake capital increases, reserved for, employees of foreign companies of the group. Up 1% up to 1% of the share capital.
Authorization is given for 18 months. You can vote. The 17th resolution is adopted. 18th resolution is powers for formalities, to, given to to management. Vote is closed.
The 18th resolution is adopted. And I will give floor back to Mr. Triquhar. Thank you, Delphine. So ladies and gentlemen, very thank you very much for your, participation to this general meeting.
We'll meet again next year on 24th April 2019 for our next general meeting. And please, join us now for a, drink and some Schneta products, obviously. Thank you.