Siemens AG has reported a successful fiscal year 2024, achieving record profits and maintaining its strategic focus. Roland Busch, President and CEO of Siemens AG, highlighted the company's strong performance in electrification, transportation, and industrial software sectors. He noted that while the automation business faced challenges, Siemens is poised for further growth in fiscal 2025. "Starting in fiscal 2025, we will take Siemens to the next level of value creation," Busch stated. The company plans to continue investing in research and development as well as mergers and acquisitions to leverage its technological strengths.
Ralf P. Thomas, Chief Financial Officer of Siemens AG, reported a free cash flow of €9.5 billion for fiscal 2024. Thomas emphasized the company's commitment to capital allocation aimed at profitable growth and attractive returns for shareholders. He announced a proposed dividend increase to €5.20 with a yield of 2.9 percent.
Looking ahead to fiscal 2025, Siemens anticipates moderate macroeconomic growth amid geopolitical uncertainties and challenges in the manufacturing sector due to overcapacity and weak consumer demand. However, infrastructure markets remain robust, particularly in electrification and mobility.
The Digital Industries division expects revenue changes between -6% to 1% with a profit margin ranging from 15% to 19%. Smart Infrastructure projects revenue growth between 6% to 9% with margins from 17% to 18%. Mobility forecasts an increase in revenue by 8% to 10%, with profit margins also expected between 8% and 10%.
Overall, Siemens Group anticipates comparable revenue growth between 3% and 7%, expecting basic EPS from net income before purchase price allocation accounting (EPS pre PPA) for fiscal year-end within €10.40 to €11.00 range.