The order volume is high, as is the turnover, but Siemens made a loss of 1.5 billion euros on the stock exchange in the second quarter. The reason for this is the group’s weakening energy division, but the Russian business is also depressing numbers and mood. The forecast for the year as a whole is falling.
The industrial group Siemens has to report a loss of 1.5 billion euros in the quarter from April to June because of the crash of Siemens Energy on the stock exchange. The impairment of the 35 percent stake in Siemens Energy amounts to 2.7 billion euros, Siemens announced in Munich. In addition, there would be “Russia-related” charges of 600 million euros. However, incoming orders and sales increased.
Siemens Energy shares fell 40 percent between January and June. The energy technology manufacturer, independent and listed on the stock exchange since the end of 2020, is having trouble with the crisis at its Spanish subsidiary Siemens Gamesa. The wind turbine manufacturer writes high losses despite high demand. There is a fierce price war on the market, and there are also management errors.
Siemens emphasized its “strong growth momentum”, especially in the business areas of industry – including factory automation – and infrastructure. The group received orders worth 22 billion euros in its third fiscal quarter through the end of June, up 1 percent from the same quarter last year, and sales rose 4 percent to 17.9 billion euros.
“Our business is attractive and has grown again. This shows that we have the right offer and the right strategy to be successful even in uncertain times,” said Siemens CEO Roland Busch. Siemens had to lower its forecast for the full year up to the end of September due to the high impairment of its stake in Siemens Energy.
In the past fiscal year through September 2021, Siemens generated sales of 62.3 billion euros. The group has around 300,000 employees worldwide.
