- First-quarter revenue up 5% to €17.415 billion; on a comparable basis, excluding currency translation and portfolio effects, revenue up 3%
- Orders of €18.013 billion for a book-to-bill ratio of 1.03; 11% decline compared to Q1 FY 2014, which included a €1.6 billion order in Saudi Arabia
- Industrial Business profit of €1.819 billion 4% lower due mainly to Power and Gas as expected; Industrial Business profit margin within the expected range
- Income from continuing operations of €1.106 billion burdened outside the Industrial Business; furthermore negative swing within discontinued operations affects Net income which was €1.095 billion, with basic earnings per share (EPS) of €1.30
- Strong contribution to Free cash flow from Industrial Business
- During the first quarter, Siemens classified the hearing aid business as discontinued operations; prior-period results are presented on a comparable basis
- Portfolio milestones include closing the acquisition of the Rolls-Royce Energy aero-derivative gas turbine and compressor business in the first quarter; followed, in January 2015, by closing the divestment of the hearing aid business (expected pretax gain: approximately €1.6 billion), closing the divestment of Siemens' stake in BSH Bosch und Siemens Hausgeräte GmbH (BSH) (expected pretax gain: approximately €1.4 billion), and completing the contribution of the metals technologies business into a joint venture; furthermore, we expect a profit impact due to a funding commitment of €0.3 billion related to Unify Holdings B.V. in the second quarter
"The performance of most of our businesses was within our expectations. While some Divisions provided excellent performance, Healthcare needs to step up its efforts to quickly resume to its outstanding performance and Power and Gas will need a more comprehensive concept to return to historical margins longer turn."
- New orders up 12 percent – Revenue development nearly stable
- Book-to-bill ratio 1.20 – Order backlog at record level of €102 billion
- Double-digit growth in net income and earnings per share
Siemens delivered a sound quarter to start its fiscal year 2014. Supported by several major orders, new orders rose 12 percent year-over-year, while revenue development was nearly stable. "We delivered a sound quarter to start our fiscal year. As expected, market conditions were not in our favor. We continue to focus on our productivity program for the year, and on the actions we will take beyond 2014," said Siemens President and CEO Joe Kaeser.
Siemens has entered into an agreement to acquire Invensys Rail, the rail automation business of Invensys for approximately €2.2 billion (£1.742 billion). At the same time, the company plans to divest its baggage handling, postal and parcel sorting activities. Both planned transactions are part of the recently launched "Siemens 2014" company program, which amongst others, is aimed at strengthening the company's core activities. With revenues of approximately £800 million, Invensys Rail is a leading software based rail signaling and control company. The acquisition will expand Siemens' presence in the growing global rail automation market. "Today's moves are important measures to focus our core activities. We are exiting a non-core business with limited synergy potential while strengthening a resilient and high return business by combining two organizations with similar cultures and attractive synergy potential. The combined business will ensure profitable growth opportunities worldwide for the Siemens Infrastructure & Cities Sector," said Roland Busch, CEO of Siemens Infrastructure & Cities. The transaction is subject to Invensys shareholder approval and regulatory clearances.
Siemens continued broad-based revenue growth in the second quarter of fiscal 2012. Revenue in the second quarter rose nine percent year-over-year, supported by a strong order backlog. New orders were down 13 percent. Income was considerably below the prior year due to burdens in the Power Transmission Division and an equity investment loss at NSN. In addition, there had been an extraordinary gain of €1.5 billion on the sale of Siemens' stake in Areva NP in the second quarter of 2011. "As expected, the second quarter was not easy. While we achieved clear growth in revenue, orders came in below the prior year due to lower volume from large orders. For fiscal 2012, we're on course to achieve our goals for revenue and orders. Profit for the quarter was below our expectation due to charges at power transmission projects in Germany," said Siemens President and CEO Peter Löscher.
Siemens ended fiscal 2011 with record operating results and begins the new fiscal year in a position of strength. Total sectors profit climbed by 36 percent to €9.1 billion, income from continuing operations by nearly two-thirds to €7 billion. Revenue and new orders also increased. While revenue from continuing operations grew seven percent to €73.5 billion, new orders rose 16 percent to €85.6 billion. Peter Löscher, President and CEO of Siemens AG stated: "With a strong fourth quarter in a turbulent economic environment, we ended fiscal 2011 with record operating results. With our new organization in four Sectors, we have aligned our business even more closely with our customers. Siemens has a strong portfolio and stands for stability and confidence in troubled times. We are well positioned for moderate revenue growth in fiscal 2012 and surpassing the €100 billion revenue threshold in the medium term."