The Munich-based Siemens now expects revenue growth of at least seven percent for the current fiscal year. Outgoing Chief Financial Officer Ralf Thomas narrowed the forecast on Thursday during a conference call, citing the upper half of the previous range of six to eight percent. The reason for this increased optimism lies in the growing confidence for the company's two core divisions: Digital Industries (DI) and Smart Infrastructure (SI). SI is projected to see revenue growth of 7.5 to 9.0 percent, thanks to a strong order backlog, placing it in the upper half of the previously forecasted range. The profit margin is also expected to be in the upper half of the range, at 18.5 to 19.0 percent. For DI, Siemens now anticipates a margin "towards the upper half" of the target corridor of 15 to 19 percent.
(Reported by Alexander Hübner. Edited by Olaf Brenner. For inquiries, please contact our editorial team at berlin.newsroom@thomsonreuters.com (for politics and economy) or frankfurt.newsroom@thomsonreuters.com (for companies and markets).)
Siemens AG is one of the world's leading manufacturers of electronic and electro-technical equipments. Net sales break down by family of products as follows:
- medical equipment (29.6%): medical imaging systems, laboratory diagnostics and hearing aid systems, etc.;
- smart building and infrastructure solutions (28.7%): energy transition solutions, HVAC products (heating, ventilation and air conditioning systems), building security systems (fire detection and protection systems, access control, video surveillance and intrusion detection systems, etc.), building management systems, etc.;
- digital industrial equipment (22.1%): automated production, assembly, logistics and monitoring systems, etc.;
- mobility solutions and systems (15.8%): rail vehicles, rail automation systems, rail electrification systems, digital and cloud-based solutions, etc.
The remaining net sales (3.8%) are primarily from financial activities (leasing, equipment and project financing, financial consulting services, etc.).
Net sales are distributed geographically as follows: Germany (14.8%), Europe/Commonwealth of Independent States/Africa/Middle East (32%), the United States (28%), America (4.6%), China (9.1%), Asia and Australia (11.5%).
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