Siemens posts record €8.5bn profit, nearly doubling last year earnings

 

FRANKFURT – German multinational Siemens posted a record profit on Thursday for its recent fiscal year with after-tax earnings of €8.5 billion ($9.2 billion) – almost double the previous year’s figure, the company said.

Last year, the engineering and technology conglomerate had said it had suffered from the consequences of the war in Ukraine and a value adjustment on the share package in the former subsidiary Siemens Energy.

There were no such setbacks for Siemens in the past fiscal year. On the contrary: the interim recovery of its energy stock resulted in a strong profit in the second quarter, which contributed to the current record.

“Fiscal year 2023 was a year with numerous records,” said chief executive Roland Busch. In the industrial business, earnings and profitability reached their highest levels ever. “Our strategy is paying off in the long term.”

Sales and incoming orders also increased. On a comparable basis, sales increased by 11% to €77.8 billion and incoming orders by 7% to €92.3 billion.

The order backlog at the end of the fiscal year on September 30 was €111 billion.
Siemens said it expects profitable growth in the industrial business.

At €10.40 to €11.00, earnings per share are also expected to be higher than in the past fiscal year, albeit excluding the Energy investment. Sales are expected to increase moderately by 4% to 8%.

The number of employees in the Group worldwide rose by around 9,000 to 320,000, in Germany from 86,000 to 87,000.