SIEGY Siemens AG (PK)

   By Mauro Orru 
 

Siemens AG said Friday that net profit for the second quarter of fiscal 2021 soared thanks to the performance of its industrial businesses and the sale of its mechanical-drives business Flender.

The German engineering conglomerate said net profit for the quarter ended March 31 climbed to 2.27 billion euros ($2.74 billion) from EUR652 million a year earlier.

Siemens closed the sale of its Flender business to investment firm Carlyle Group Inc. in March, booking a gain of EUR900 million.

Adjusted earnings before interest, taxes and amortization for its industrial businesses rose to EUR2.09 billion from EUR1.59 billion, with a corresponding margin of 15.1%.

Revenue for the period increased to EUR14.67 billion from EUR13.78 billion, while orders rose to EUR15.88 billion from EUR14.66 billion.

Analysts had expected net profit of EUR1.56 billion, revenue of EUR14.13 billion and orders of EUR15.07 billion, according to consensus provided by the company.

"Growth momentum came, in particular, from the automotive industry, machine building, our software business and--from a geographic perspective--from China. Besides the gratifying margin developments at our industrial businesses, our successful portfolio management also paid off," Chief Financial Officer Ralf P. Thomas said.

Siemens raised its guidance for the fiscal year ending Sept. 30, 2021. It now expects net income between EUR5.7 billion and EUR6.2 billion instead of between EUR5 billion and EUR5.5 billion as previously indicated.

Write to Mauro Orru at mauro.orru@wsj.com; @MauroOrru94

(END) Dow Jones Newswires

May 07, 2021 01:20 ET (05:20 GMT)

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