German industrial conglomerate Siemens posted a net profit of 1.4 billion euros in its third financial quarter after a loss of 1.5 billion euros in the same period last year. This is despite a new charge from its stake in the troubled former Siemens Energy division.
Renewed success
“We have once again made a profit and demonstrated our competitive strength in all areas of our business,” said CEO Roland Busch.
Revenues on a comparable basis rose 10 percent to 18.9 billion euros. Order intake increased 15 percent to 24.2 billion. They were driven by a number of large orders from its smallest corporate division, Mobility.
The decline in orders from the largest division
In the largest division, Digital Industries (DI), incoming orders fell by more than a third. According to Siemens, there was an “accelerated decline” in the short-cycle business, mainly involving factory automation.
Although DI’s third-quarter results were otherwise solid, Siemens has slightly lowered its forecast for its most profitable division for the full fiscal year – sales should not grow as fast and the margin forecast is also slightly more cautious.
However, this does not change the outlook for the group as a whole. Siemens confirmed its full-year outlook.
Siemens is a manufacturer of a range of products from trains to industrial software. The Group has production plants and an extensive business structure in the Czech Republic. It also owns two shared service centers, 13 development centers, and departments in the country, as well as ten competence centers with global reach.
Source Czech Press Office
