Siemens has outlined its strategy for future growth at the “Siemens ONE Tech – Strategy & Results” event, focusing on expanding its digital business and leveraging artificial intelligence. Roland Busch, President and Chief Executive Officer of Siemens AG, stated: “Siemens today is stronger than ever – with a record fiscal 2025. Our strategy works. We grow by combining the real and the digital worlds. With our ONE Tech Company program, we enter the next stage of growth and raise our mid-term ambition for revenue growth to 6 to 9 percent.” He added, “With a highly synergistic portfolio, we aim to double our digital business revenue, capitalize on growth regions and verticals, and scale our AI offerings with €1 billion investment over the next three years.”
The company has raised its mid-term revenue growth target to between 6% and 9%, excluding Siemens Healthineers. Earnings per share before purchase price allocation (EPS pre PPA) are expected to increase in the high single-digit range due to greater profitability in industrial businesses. Siemens will maintain its progressive dividend policy even after deconsolidating Siemens Healthineers and may temporarily allow a higher payout ratio if needed. Share buybacks will remain central to shareholder returns.
After the planned deconsolidation of Siemens Healthineers, Siemens aims for reduced complexity and simplified governance while increasing its focus on fast-growing digital markets aligned with automation, digitalization, electrification, sustainability, and artificial intelligence.
Siemens estimates that its addressed markets are growing at about 6% annually and could reach a total value of €650 billion within five years. The digital segment is projected to expand faster—by approximately 11%—to €175 billion by 2030. Additional market expansions could add €50 billion in fiscal year 2025 alone, with these segments expected to grow annually by up to 18% through 2030.
The company’s growth strategy centers around four areas: expanding its digital business (“Grow Digital”), investing in key geographic regions (“Grow Regions”), targeting specific customer industries (“Grow Verticals”), and advancing artificial intelligence capabilities (“Grow AI”). For example, Siemens expects average annual growth of 15% in its digital business over the next five years—doubling it by 2030—and plans more than €1 billion in AI investments over three years.
In fiscal year 2025, Siemens reported record financial results despite global challenges. Ralf P. Thomas, Chief Financial Officer of Siemens AG said: “Since cash generation is the ultimate yardstick for business performance, I’m extremely pleased that our fourth-quarter and fiscal-2025 results broke records for free cash flow... Profitable growth and stringent portfolio management form the basis of our success. Our shareholders benefit directly from an increased dividend proposal and a successful, accelerated share-buyback program. We enter fiscal 2026 strengthened with an ambitious outlook.”
Net income reached €10.4 billion—a third consecutive annual record—with orders rising by 6% on a comparable basis to €88.4 billion and revenue up by 5% to €78.9 billion compared with last year’s figures (€84.1 billion orders; €75.9 billion revenue). The profit margin for Industrial Business was nearly unchanged at just above 15%. Shareholders are set to receive an increased dividend proposal of €5.35 per share.
Looking ahead to fiscal year 2026, Siemens anticipates stable global economic conditions but expects negative currency effects will impact nominal volume growth as well as profits across industrial businesses.
For individual divisions:
- Digital Industries projects comparable revenue growth between 5%–10%, with profit margins from 15%–19%.
- Smart Infrastructure expects comparable revenue gains between 6%–9%, with margins from 18%–19%.
- Mobility forecasts comparable revenue increases between 8%–10%, with profit margins from 8%–10%.
For the overall group (excluding legal or regulatory impacts), comparable revenue is expected to rise between 6%–8%, maintaining a book-to-bill ratio above one; EPS pre PPA is forecasted between €10.40–€11.00.