- Siemens’ industrial business profit for the first quarter was €2.52 billion, a 7.6% decrease year-on-year, but exceeded the estimate of €2.43 billion.
- The overall profit margin was 14.1%, slightly higher than the estimated 14%, but lower than the previous year’s 15.8% margin.
- The company reported a net income of €3.71 billion, marking a 55% increase compared to the previous year.
- Earnings per share (EPS) before purchase price allocation reached €4.86, significantly surpassing both last year’s €3.19 and the estimated €3.77.
- Digital Industries profit was down by 34% year-on-year at €588 million, yet it beat the estimate of €564.8 million.
- Although Digital Industries’ profit margin decreased from 19.6% to 14.5%, it still surpassed the expected 14%.
- Smart Infrastructure saw a slight profit increase of 0.7% to €891 million, exceeding the estimate of €888.8 million.
- Smart Infrastructure’s profit margin was slightly below forecast at 16.9% compared to an estimated 17.2%.
- Mobility segment profit dipped marginally by 0.8% to €249 million, falling short of the expected €266.6 million.
- Siemens’ revenue increased by 3.4% year-on-year to €18.35 billion, surpassing the forecast €18.2 billion.
- Digital Industries revenue fell by 11% year-on-year to €4.05 billion, meeting the estimated €4.03 billion.
- Smart Infrastructure revenue increased by 9.5% to €5.29 billion, exceeding the forecast of €5.21 billion.
- Revenue in the Mobility sector rose 10% to €2.97 billion, higher than the expected €2.94 billion.
- Total orders were €20.07 billion, a 7.3% decline year-on-year, yet above the estimated €19.63 billion.
- Siemens reported strong growth in free cash flow, reaching €1.58 billion, a 51% increase compared to the previous year.
- The company anticipates moderate macroeconomic growth in fiscal 2025, amid geopolitical uncertainty and challenges in the manufacturing sector.
- Siemens confirms its fiscal 2025 outlook, with a focus on financial strength and creating long-term value for shareholders, as affirmed by CFO Ralf Thomas.
A look at Siemens Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Siemens AG, an engineering and manufacturing company with a focus on electrification, automation, and digitalization, is positioned well for long-term growth. Smartkarma Smart Scores indicate a positive outlook for Siemens across various factors. With a strong momentum score of 5, Siemens shows great potential for future performance. Additionally, scoring 4 for growth suggests that the company is likely to expand and evolve in the coming years, aligning with its innovative focus on technology and solutions.
While Siemens’ value score of 2 indicates some room for improvement in terms of being undervalued, its resilience and dividend scores of 3 showcase stability and a commitment to shareholder returns. Overall, with a solid foundation in engineering solutions and a progressive approach to digital advancements, Siemens stands to remain a key player in the industry for the foreseeable future.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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