Orders rose 21%, to €3.677 billion, and revenue increased 10%, to €9.182 billion. On an organic basis, excluding the net effect of portfolio transactions and currency translation, orders climbed 26% year-over-year, and revenue rose 13%. Total Sectors profit –a measure combining profit from the Industry, Energy and Healthcare Sectors– climbed 33%, to €2.084 billion.Income from continuing operations rose strongly to €1.475 billion from €608 million in the prior-year quarter. Basic earnings per share (EPS) from continuing operations were €1.61, up from €0.64 a year earlier. Net income was €1.419 billion. A year earlier, net income of €2.065 billion benefited from a substantial gain in discontinued operations related to the transfer of the carrier business into Nokia Siemens Networks. Basic EPS declined to €1.55 compared to €2.25 in the prior-year period. Siemens completed the second tranche of its share buyback program in July, raising total purchases to €4.0 billion in the fiscal year. Approximately €1.3 billion of the total occurred in the third quarter.
Peter Löscher, President and Chief Executive Officer of Siemens AG:
“We shifted Siemens into a higher gear in the third quarter, reaching important milestones on our reorganization path. We are becoming faster, more efficient and more focused as a company, with the timely entrepreneurial approach that is required to stay on this course,” commented Siemens CEO Peter Löscher. “Regarding fiscal 2008, we affirm our full-year outlook. While we expect a less favorable macroeconomic situation in fiscal 2009, we still plan to grow at twice the rate of global GDP. We are also committed to achieving a combined Sector operating result of 8 to 8.5 billion euros for the year. Our new management incentive system should play an important role in our progress ahead, along with worldwide employee participation in Siemens’ success through equity ownership.”
Please read the complete Earnings Release in the attached PDF:
All figures are preliminary and unaudited. This Earnings Release should be read in conjunction with information Siemens published yesterday regarding legal proceedings. More detailed disclosure regarding legal proceedings is provided in the annual report.
Earnings before interest and taxes, or EBIT (adjusted); Earnings before interest, taxes, depreciation and amortization, or EBITDA (adjusted); Return on capital employed (ROCE); Return on equity (ROE); Free cash flow; and Cash conversion rate are non-GAAP financial measures. Information for reconciliation to the most directly compara-ble IFRS financial measures is available on our Investor Relations website under www.siemens.com/ir
Financial Publications. “Profit Total Sectors” is reconciled to “Income from continuing operations before income taxes” in the table “Segment Information.”
Effective October 1, 2008 Jens Michael Wegmann (42) will become Head of the Industry Solutions Division of the Siemens Industry Sector. He will take over as CEO from Jørgen-Ole Haslestad, who will be leaving Siemens in September at his own request. Wegmann began his carrier at Siemens in 1989 as a development engineer in robotics. After various assignments in automation, plant engineering and service in the chemicals, paper and steel industries, he took over as Head of the Metals, Mining & Paper Technologies Unit in the former Industrial Solutions and Services Group in 2000. He has been Head of the Security Solutions Unit of Siemens Building Technologies since 2002. Wegmann studied at the University of Brunswick, Germany and is a graduate of electrical engineering.