Siemens earns 53% more at the end of a “stellar” financial year and raises the dividend

The company has proposed raising the dividend to €4 per share to reflect “stellar” performance in fiscal 2021.

Siemens earns 53% more at the end of a stellar year and raises the dividend

The German engineering and energy group Siemens got a attributable net profit of 6,161 million euros at the end of its fiscal year, which concluded last September. This represents an increase of 53% compared to the result recorded in the previous year, reported the multinational.

The company has proposed raising the dividend to €4 per share to reflect “stellar” performance in fiscal 2021 and its confidence in the future development of the company.

The turnover of Siemens in the whole of its fiscal year reached 62,265 million euros, 12.7% above the income recorded the previous year, while orders received grew by 23% year-on-year, to 71,374 million.

In the year, the digital business Siemens increased its income by 10%, to 16,514 million, while the intelligent infrastructure area increased its turnover by 5%, to 15,015 million. For its part, the Siemens mobility business increased its income by 2%, to 9,232 million, while the medical technology unit invoiced 17,997 million, 24% more.

Between the months of July and September, corresponding to the fourth fiscal quarter of Siemens, the German company obtained a attributable net profit of 1,167 million euros, 33.6% less than in the same period of the previous year, when the accounts reflected the extraordinary positive impact of the capital gains from the separation of Siemens Energy.

On its side, the turnover of the multinational in the third quarter increased by 17.7%, to 17,444 million euros and the orders received rose by 26.3%, to 19,070 million.

“In a difficult environment, we have gained market share and clearly exceeded our net profit forecast,” said Roland Busch, president and CEO of Siemens, who expressed confidence that “the momentum will continue in fiscal year 2022.”

In this sense, the executive anticipated that delivery times will continue to be longer, at least in the first half of fiscal year 2022, due to the great backlog and component shortages, In addition to headwinds related to the cost inflation in materials and transport, as well as with the lack of experts in some areas.

“We are confident that we can limit the impact on our profitability by adjusting prices throughout the year,” he added.

On the other hand, the company has proposed increase the dividend from 3.50 euros a year ago to 4 euros per share, to reflect the “stellar performance in fiscal year 2021” and the great confidence in the future development of the company.

In this sense, Ralf P. Thomas, Siemens CFO, underlined that with a very attractive dividend, strong share price performance and a new share buyback program, Siemens continues to deliver a very attractive total shareholder return.