Klaus Patzak (54), currently Managing Partner of the Siemens Portfolio Companies, has been appointed Chief Financial Officer (CFO) of the new Siemens Gas and Power business (GP). In this role, Patzak will be responsible for building the Finance governance structures, steering the activities required for carving out and listing, and helping to shape the format of the future stand-alone Siemens energy business. In his new role, he will report directly to Lisa Davis, Chief Executive Officer (CEO) of the Gas and Power Business that is to be created. Via a functional reporting line, he will also report to Siemens CFO, Ralf P. Thomas.
- Orders grew 6%, to €23.6 billion, and revenue rose 4%, to €20.9 billion, for a book-to-bill ratio of 1.13 and record high order backlog of €142 billion
- On a comparable basis, excluding currency translation and portfolio effects, orders increased 4% and revenue was up 2% compared to Q2 FY 2018
- Adjusted EBITA for Industrial Business climbed 7% to €2.4 billion, with most businesses increasing their performance; Industrial Business Adjusted EBITA margin reached 11.4%, even with severance charges taking 0.3 percentage points
- Net income reached €1.9 billion, near the prior-year level which benefited substantially from a €0.7 billion Adjusted EBITA from Centrally managed portfolio activities; the current period benefited from a lower income tax rate, and basic EPS of €2.24 was burdened by €0.08 from severance charges
"We delivered on our promises again this quarter, and even exceeded expectations in many areas. Now, we enter into a new era to become an even stronger and more focused Siemens."
- Creation of new major player on the energy market with business volume of €30 billion and over 80,000 employees through spinoff of Gas and Power and transfer of Siemens' SGRE stake
- Spinoff to give shareholders direct participation in success and enable rapid implementation
- Future industrial core: Digital Industries and Smart Infrastructure
- Ambitious medium-term goals refined and long-term aspiration outlined
- Savings of €2.2 billion by 2023 through structural efficiency gains planned
- Growth in future-oriented fields to generate net increase of over 10,000 jobs despite efficiency measures
Siemens intends to meet its medium-term growth and profit targets by clearly focusing its portfolio on dynamic growth markets and efficiency gains. To this end, the Supervisory Board of Siemens AG today unanimously approved the next steps in the company's Vision 2020+ strategy concept, including the spinoff of Siemens' Gas and Power (GP).
- The agreement with Ministry of Electricity paving way to full execution of Iraq Roadmap
- Roadmap scope covers short, mid- and long-term addition of new highly efficient power generation capacity
- Includes rehabilitation, upgrade of existing plants, expansion of transmission and distribution networks
- Three contracts valued at around EUR 700m awarded for Phase 1 of the Roadmap
In a move that takes the roadmap for rebuilding Iraq's power sector a step further, Siemens and the Ministry of Electricity of the Republic of Iraq signed an implementation agreement to kick off the actual execution of the roadmap. The agreement builds on the exclusive Memorandum of Understanding signed between the ministry and Siemens in October last year, and outlines the specific projects, associated budgets and timelines for the execution phase, covering all essential elements of the electrification of Iraq. This includes the addition of new and highly-efficient power generation capacity, rehabilitation and upgrade of existing plants and the expansion of transmission and distribution networks. The document was signed by Joe Kaeser, President and CEO of Siemens AG, and Luay al-Khatteeb, Iraq's Minister of Electricity, in Berlin in the presence of Adil Abdul-Mahdi, Prime Minister of Iraq and Angela Merkel, Chancellor of the Federal Republic of Germany.
Mariel von Schumann (47), Chief of Staff and head of Governance & Markets at Siemens AG, will leave the company at the end of June 2019, following the successful implementation of the company's new structure as part of the Vision 2020+ strategy program.
Klaus Patzak (53) is returning to Siemens AG as Managing Partner of its Portfolio Companies (POC), effective April 1, 2019. The finance and transformation expert was most recently Chief Financial Officer of Bilfinger SE, having previously been Chief Financial Officer of Osram Licht AG. For several years, Patzak served, among other things, as head of Finance and Controlling at Siemens AG. In his new role, he will report directly to Roland Busch, Chief Operating Officer of Siemens AG.
- This year's trade fair slogan: "Digital Enterprise – Thinking industry further!"
- Enhanced portfolio: cutting-edge technologies such as artificial intelligence and Edge computing increase productivity and flexibility
At Hannover Messe, Siemens is presenting numerous additions to its Digital Enterprise portfolio for the next level of digital transformation in the discrete and process industries. At the center of its booth, Siemens is using a model for the automotive industry to show how the unique portfolio of industrial software and automation technology seamlessly connects the virtual and real worlds. Using cloud and Edge-based data analyses together with other future-oriented technologies, such as additive manufacturing and autonomous manufacturing systems, creates new possibilities in the areas of efficiency and flexibility.
- This year's trade fair slogan "Digital Enterprise – Thinking industry further!"
- Roadmap for the factory and process automation of the future
- Scalable concept up to the MindSphere IoT operating system leads to renaissance on the shopfloor
- Enhanced portfolio: cutting-edge technologies such as artificial intelligence and Edge computing increase productivity and flexibility
At Hannover Messe, Siemens is presenting numerous additions to its Digital Enterprise portfolio for the next level of digital transformation in the discrete and process industries: "Through the integration of cutting-edge technologies into our portfolio, we can help industrial companies to benefit from rapidly growing data volumes in new, wide-ranging ways. With the use of technologies such as artificial intelligence, Edge computing and additive manufacturing, we are paving the way for the future of industry. We are also rethinking process control technology and introducing the innovative web-based Simatic PCS neo process control system," Klaus Helmrich, Member of the Managing Board of Siemens AG and CEO of Digital Industries, explains at the press conference for the Hannover Messe on April 1. Under the slogan "Digital Enterprise – Thinking industry further!" Siemens demonstrates how companies of any size can use industry-specific solutions to increase their flexibility and productivity and to develop new business models. "Innovation partnerships between large companies and SMEs are just as essential as cooperation between business, science and politics," Klaus Helmrich notes.
- Strategic Partnership Agreement signed
- Technology collaboration agreement in heavy-duty gas turbines
Siemens AG and State Power Investment Corporation Limited (SPIC) signed a comprehensive Strategic Partnership Framework Agreement (SPFA). This follows a Technology Collaboration agreement on heavy-duty gas turbines between Siemens AG and China United Heavy-duty Gas Turbine Company (UGTC). The SPFA was signed by Qian Zhimin, Chairman of SPIC and Joe Kaeser, President and Chief Executive Officer of Siemens AG on March 26, 2019 in Beijing. The SPFA will further expand the cooperation in power generation in addition to the earlier agreed technology collaboration between Siemens AG and UGTC and will create a China-based supplier eco-system. Both companies will also collaborate in high-technology product demonstration e.g. in the field of digitalization of power plants or in hydrogen utilization projects and smart energy management for a decentralized energy system. Furthermore, both parties agreed to cooperate in project execution, and will jointly develop proper Gas-to-Power projects worldwide.
- Company awards free shares worth nearly €68 million
- High number of employee shareholders – 300,000 – constant since last year
- For the first time, Siemens employees worldwide donate share dividends to social projects
Today is "Share Day" in Germany, and Siemens is marking the occasion by highlighting its firmly anchored ownership culture: some 300,000 of the company's 379,000 employees worldwide are also Siemens shareholders. This means that nearly 80 percent of all Siemens employees are simultaneously co-owners of their company. The number of employee shareholders at Siemens has remained constant since last year. No comparable company can point to such a high number of employee shareholders.