Tag: Siemens

Siemens raises full year outlook after Q2 sales beats forecasts

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Siemens raised its full year sales and profit guidance on Wednesday after the German engineering and technology group beat sales forecasts during its second quarter.

The maker of products ranging from trains and industrial software now expects comparable revenue growth of 9 percent to 11 percent in the 12 months to the end of September, up from its previous outlook for an increase of 7 percent to 10 percent.

Siemens also expects to increase its underlying basic earnings per share to a range of 9.60 euros to 9.90 euros, up from the 8.90 euros to 9.40 euros it said it expected in February.

With a gain from the partial reversal of a previous charge, the overall EPS is expected to increase to a range of 11.61-11.91 euros.

The company had already raised its full-year outlook in February, citing strong demand and its massive order backlog, which increased to 105 billion euros ($115.58 billion) in the second quarter.

ALSO READ: Apple supplier Foxconn to invest USD 500 million in Telangana, KTR says shall create 25,000 direct jobs

The raised guidance came after Siemens reported its second quarter revenue jumped by 14 percent to 19.42 billion euros ($21.38 billion). Analysts in a company-compiled poll had expected 18.59 billion euros.

Industrial profit in the three months to the end of March rose 47 percent to 2.61 billion euros, missing forecasts for 2.70 billion euros.

“Siemens continues its outstanding performance, delivering several records, including impressive margin increases and all-time highs in profit for Digital Industries and Smart Infrastructure, as well as another record in order backlog,” said Chief Executive Roland Busch in a statement.

The results of Siemens, whose sensors, controllers and software are used in factories, transport systems and buildings, are seen as indicators for the health of the broader industrial economy.

The group’s industrial profit includes gains made by its digital industries, smart infrastructure, mobility and health care businesses, which form the core of its operations.

The results underline the recent upward trend in global industry as it overcomes supply chain bottlenecks that have plagued it until last year.

ALSO READ: Tech this week: Launch of Google Pixel 7a, Panasonic 4K TVs and more

Swiss peer ABB recently raised its full-year guidance for sales and profit on the back of a strong first quarter, while French train maker Alstom last week said market momentum remained very positive.

Siemens’s net income almost tripled to 3.55 billion, helped by the company booking a non cash gain of 1.59 billion euros from reversing an impairment charge related to its investment in Siemens Energy.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

State Government infra spending yet to pick up to its true potential: Siemens

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Siemens which posted 39 percent growth in net profits and 28 percent growth in revenues in the March ended quarter, interacted with CNBC-TV18 on Tuesday. Sunil Mathur, MD and CEO of Siemens, says the company’s growth is closely tied with the industrial and infrastructure activities in the country.

The company is an important part of India’s growth story, especially in the ongoing railway capex cycle. The player bagged a large locomotives order worth Rs 26,000 crore in January 2023 for 10 years.

Siemens’ performance in past two years has been positive and reflects India’s growth story. Mathur says “We have good visibility for growth in next 3 to 6 months as orders continue to flow in”.  The company booked new orders of Rs 31,151 crore in the March ended quarter, which included 9000 HP locomotive project.

Though commodity prices are easing, Mathur does not expect the 12 to 13 percent margin range to sustain in the long term as the revenue mix will keep changing. The product segment is short cycle, versus project segment which is long cycle.

Speaking on the Rs 26,000 crore locomotives order, Mathur says every year specified number of locomotives have to be delivered for 10 years. Post which, there will be 35 years of its maintenance. This order will yield mid margins for the company.

“We are very focused on our mobility business, we are looking at more orders for Vande Bharat trains and metros”. Mathur says “we are hungry for more and more and more”.

The company also has operates in the power segment. It acknowledges that it receives payments on time and non receipt of payment is not a concern. The company is not directly exposed to power distribution companies, but is bidding to the Engineering, Power and Construction (EPC) companies and says it receives timely payments from EPC players.

Central government capex spending is strong, while private sector capex is yet to gain pace in the next one year. State government capex has not yet picked up to its true potential, but is expected to gain pace in the next 2 years, says Mathur.

Siemens stock is trading 1 percent higher on the exchanges at Tuesday noon and has gained 37 percent since the start of calendar year 2023.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Siemens results: Net profit rises 39% in March quarter, new orders up 8%

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Siemens Ltd on Thursday, May 11, posted a 38.7 percent year-on-year (YoY) jump in net profit at Rs 471.4 crore for the second quarter that ended March 31, 2023. The company follows a October to September financial year.

In the corresponding quarter last year, the company posted a net profit of Rs 340 crore. CNBC-TV18 Polls had predicted a profit of Rs 410 crore for the quarter under review.

In the March quarter, total revenue stood at Rs 4,857.8 crore during the period under review, up 27.8 percent against Rs 3,801.1 crore in the corresponding period of the preceding fiscal. CNBC-TV18 Polls had predicted revenue of Rs 4,250 crore for the quarter under review.

ALSO READ | Colgate-Palmolive Earnings Preview: Price hikes may not aid operating performance

At the operating level, EBITDA jumped 32.3 percent to Rs 621.2 crore in the second quarter of this fiscal over Rs 484 crore in the corresponding period in the previous fiscal.

The EBITDA margin stood at 12.8 percent in the reporting quarter compared to 12.4 percent in the corresponding period in the previous fiscal. EBITDA is earnings before interest, tax, depreciation, and amortisation.

The company also booked new orders of Rs 31,151 crore in the second quarter of FY23, which included an order of Rs 25,455 crore for the 9000 HP locomotive project. Consequently, new orders in Q2 FY23 grew by 8.1 percent on a comparable basis.

Sunil Mathur, Managing Director and Chief Executive Officer, said the company continues to see substantial tendering by the Indian Railways and continued capex expansion in infrastructure led by central government spending. He said private sector capex is mainly in the steel, cement, data centres, intralogistics, and e-vehicles market segments.

ALSO READ | Airtel Africa reports slight drop in Q4 net; higher all-round usage boosts ARPU 7.4%

The company also re-appointed Sunil Mathur as the managing director and chief executive officer of Siemens Ltd for a further period of five years with effect from January 1, 2024.

Shares of Siemens Ltd ended at Rs 3,806.60, up by Rs 94.00, or 2.53 percent on the BSE.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Siemens is extremely bullish on India and doubling down on the railways segment

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Siemens is extremely bullish on its India business and is doubling down on the railways segment, according to President and CEO Roland Busch.

Busch said Siemens’ growth in India will be driven by all of its businesses. The company has a diverse portfolio, which includes energy, healthcare, infrastructure, and mobility solutions, among others.

Speaking to CNBC-TV18, he adds that the company will add capex in India and will continue to bid aggressively for railway tenders.

Recently, Siemens won a $3 billion order for locomotives, which is a significant milestone for the company. Busch stated that Siemens wants to double down on its mobility success and expand its footprint in this sector. The company sees India as a key market for mobility solutions, and it is actively working to develop innovative products and solutions that will meet the evolving needs of Indian customers.

“We will definitely not slowdown in contrast, we will double down on our success and really do more,” he said.

Read Here | India’s economic growth may rebound after 6-9 months of recessionary pressure

Busch also emphasised that Siemens is “firing on all cylinders” in India.

One of Siemens’ goals is to use its strengths in India to drive global exports. The company sees India as a strategic manufacturing hub, and it intends to leverage its local expertise to develop products that can be exported to other markets. Busch even went so far as to say that he can imagine India becoming a global manufacturing hub for metro trains.

“We are exporting a lot of electric equipment to the Middle East for example, to other places. Once we are established with rollingstock stronger in the Indian market, I can definitely imagine that India will be one of the global hubs for metro cars for example. So I mean it’s a competitive environment if you’re winning there then you can win in other places too.”

Watch accompanying video for more

Also Read | Expect cement prices to rise in May or June: Anil Singhvi, Shree Digvijay Cement

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Siemens consortium, Gujarat Metro Rail join hands for advanced rail electrification technologies

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Automation giant Siemens, along with Rail Vikas Nigam Ltd (RVNL) in a consortium, said they have received two separate orders from Gujarat Metro Rail Corporation Ltd (GMRCL).

Siemens revealed that its share as part of the consortium is Rs 678 crore. 

The first order is for Surat Metro Phase 1, which is over 40 kilometres, and covering 38 stations. While the second order is for Ahmedabad Metro Phase 2, which is 28 kilometres, covering 23 stations and 1 depot, Siemens said in a statement.

The Munich-headquartered company will provide project management, rail electrification technologies, including advanced power supply and distribution systems. Siemens will also be providing advanced digital solutions such as Supervisory Control and Data Acquisition (SCADA) solutions for both metros, the company added.

Also Read: Indian microblogging platform Koo fires 30% of its staff over funding crunch

“Siemens takes great pride in being an integral part of the development of Gujarat’s public transportation system through these landmark metro projects. They will play a pivotal role in enhancing the quality of life and the all-around growth of the cities and region.

We would like to thank GMRCL for trusting Siemens in their journey of creating a safer, greener, and smarter transport solution for sustainable cities,” said Gunjan Vakharia, head of mobility business at Siemens.

In February, Siemens launches its first industry-ready 5G routers in India. The company said industrial 5G routers provide a connectivity backbone for digital transformation in the manufacturing industry.

Also Read: Google perks gradually vanishing — is employee morale at stake?

For the first quarter, the company’s net profit soared over 85 percent to Rs 462.7 crore against Rs 250 crore in the same quarter last year. The company also saw an improvement in its margin, which surged by 440 basis points to 14.9 percent against 10.5 percent in the same quarter last year.

Stocks of Siemens settled at Rs 3,271.30 apiece, up nearly 0.30 percent, when the market closed today, April 20, 2023. However, the stock has declined by nearly 2 percent this week to date.

Also Read: Siemens signs single-largest Indian contract with Railways worth Rs 26000 crore

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Siemens launches industrial 5G routers in India

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Manufacturing giant Siemens on Thursday said it was rolling out private industrial 5G routers to help boost the digitisation of the manufacturing sector in India. The company said in a statement that the routers will “enable enhanced mobile broadband transmission, massive machine-type communication and ultra-reliable low latencies”.

Siemens said applications of industrial 5G offer long-term benefits to a variety of consumer-facing segments that depend on a low-latency, fast communication network.

“… intra-logistics, autonomous machines, industrial edge, remote diagnostics, augmented reality, assisted work, wireless backhaul, edge computing and mobile equipment (will benefit),” the statement added.

Moneycontrol, quoting Suprakash Chaudhuri, Head (Digital Industries) at Siemens Limited, said in a report, “Availability of 5G is a milestone on the path to Industry 4.0, in which smart factories become more flexible and productive thanks to end-to-end digitalisation and the internet of things. While in most consumer applications the focus is mainly on high data rates, industrial networks tend to focus more on low latency and high availability. This is where private 5G networks step in as they can be configured to suit the requirements of the manufacturing industry. Private 5G networks also offer data security.”

Further, the company said various security functions are baked into the router, which will enable the device to monitor data traffic and secure the users against unauthorised access — such as an integrated firewall as well as authentication of communication devices and encryption of data transmission via VPN. “If there is no available 5G network, the device automatically switches to 4G or 3G networks,” the statement added.

Also read: Telecom Tariff Hikes – Why will they hike and why they will not

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Siemens Q1 Results | Profit zooms to Rs 463 crore on higher volumes, beats estimates

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Engineering and automation major Siemens Ltd on Tuesday reported a 84.3 percent year-on-year (YoY) jump in consolidated net profit at Rs 462.7 crore for the first quarter that ended December 31, 2022, driven by higher volumes, better price extraction, and positive forex and commodity effects.

In the corresponding quarter last year, the company posted a net profit of Rs 251 crore. CNBC-TV18 Polls had predicted a profit of Rs 322 crore for the quarter under review.

In the December quarter, total revenue stood at Rs 4,015 crore during the period under review, up 13.1 percent against Rs 3,550 crore in the corresponding period of the preceding fiscal. CNBC-TV18 Polls had predicted revenue of Rs 3,960 crore for the quarter under review.

The company follows October-September financial year.

Also Read: SAIL Q3 Results | Profit drops 65% to Rs 542.2 crore on higher expenses, beats estimates

At the operating level, EBITDA jumped 64.8 percent to Rs 600 crore in the first quarter of this fiscal over Rs 364 crore in the corresponding period in the previous fiscal.

EBITDA margin stood at 18.9 percent in the reporting quarter as compared to 10.3 percent in the corresponding period in the previous fiscal. EBITDA is earnings before interest, tax, depreciation, and amortisation.

The company’s new orders from continuing operations stood at Rs 5,446 crore, a 6 percent increase over the same period last year.

The company had booked a large order worth approximately Rs 900 crore for Pune Metro Rail Line 3 corridor in the first quarter of 2022. Consequently, new orders in the first quarter grew by 28 percent on a comparable basis.

Also Read: Nykaa Q3 Results | Profit declines 71% to Rs 8.1 crore, revenue jumps 34%

Sunil Mathur, managing director, and the chief executive officer said, “All our businesses performed well in the first quarter driven primarily by continued expansion in capex across most market verticals.

The substantial increase in the outlay for capex in Infrastructure including in the railways made in the recent Budget announcements will give a continued boost to the Indian economy and consequently to all our businesses.”

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Siemens signs single-largest Indian contract with Railways worth Rs 26000 crore

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Siemens Ltd on Monday, January 16, said the company has received an order for 1,200 locomotives of 9000 horsepower (HP) from Indian Railways. This is the single-largest locomotive order in the history of Siemens Mobility and the single-largest order in the history of Siemens in India, Siemens said in an exchange filing.

The company will design, manufacture, commission, and test the locomotives. Deliveries are planned over an 11-year period, and the contract includes 35 years of full-service maintenance.

Also Read: A Rs 40,000 crore asset manager is seeing capital from FDs shift to this segment

The locomotives will be assembled in the Indian Railways factory in Dahod, Gujarat. Maintenance will be performed in four Indian Railways depots located in Vishakhapatnam, Raipur, Kharagpur, and Pune. Locomotive assembly and maintenance will be implemented together with the staff of Indian Railways. The contract has a total value of Rs 26,000 crore (approximately), excluding taxes and price variation.

Siemens CEO Roland Busch said the company is supporting the sustainable transformation of India’s transportation sector as the country seeks to almost double freight capacity on its railways.

The state-of-the-art locomotives will be used for freight transport throughout the Indian Railways network and are specified to haul loads of 4,500 tonnes at a maximum speed of 120 km per hour.

Also Read: Davos 2023 | Tech Mahindra in no rush to announce CEO CP Gurnani’s successor

“I’m proud that this major order will help India achieve its ambitious goal of creating the world’s largest green rail network, as our locomotives will save more than 800 million tonnes of CO2 emissions over their lifecycle,” he said.

“Producing 9000 HP, they will be one of the most powerful freight locomotives in the world. They will be equipped with advanced propulsion systems that are also produced locally in Siemens factories in India as well as the Railigent platform to deliver high levels of availability and performance,” it added.

Sunil Mathur, Managing Director, and Chief Executive Officer said the company takes pride in partnering with Indian Railways in this prestigious project. The 9000 HP electric locomotive is a significant milestone in the rail electrification mission of Siemens.

Shares of Siemens Ltd ended at Rs 2,941.65, down by Rs 25.85, or 0.87 percent on the BSE.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Railways picks Siemens for Rs 26,000-crore contract for manufacturing and maintenance of 1200 locomotives

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

The Indian Railways has issued a Letter of Award (LoA) for the Manufacturing and Maintenance of 9000 HP Electric Freight Locomotives to Siemens, India. The technology partner, Siemens, will manufacture 1200 locomotives at the Railways factory over a period of 11 years. The estimated value of the contract is Rs 26,000 crore excluding taxes and price variation.

The contract will entail the manufacturing of 1200 High Horsepower (9000 HP) electric locomotives and their maintenance for 35 years.  The technology partner also has the responsibility to ensure 95 percent availability and 1,50,000 km of trouble-free operation of locomotives before any maloperation. This is specified as one of the guaranteed Key Performance Indicators (KPIs).

The agreement with Siemens India will be signed within 30 days of the issue of LoA, and the proto-type locomotives are to be delivered in the next two years.

ALSO READ: Indian Railways five-year plan: 3,000-4,000 new trains, private operators, decongestion on tracks, coach upgradation

Siemens will manufacture the electric locomotives at Dahod locomotive factory in Gujarat and maintain them at four depots at Visakhapatnam, Raipur, Kharagpur, and Pune, according to the official statement.

Siemens will also provide training to railway staff at Dahod for manufacturing these locomotives.

The high horsepower locomotives will be the future workhorse for freight operation on Indian Railways. They are planned to be primarily used on the western dedicated freight corridor and on graded sections of Railways. They will be used for hauling container freight trains in double stack configuration of 4500 tonnes at 75 kmph at 1 in 200 gradients. The average speed of such trains will be improved to around 50-60 kmph over the existing 20-25 kmph.

The quantum jump in the operating parameters will lead to an increase and enhancement in line capacity. These locomotives will be equipped with state-of-the-art IGBT-based propulsion technology. They will provide savings in energy consumption with regenerative braking technology.

There is also a provision to manufacture and supply Standard Gauge locomotives for the export market.

ALSO READ: Indian Railways looks to achieve net-zero emission by 2030: Official

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Siemens gains for fourth day; FIIs bet on Shriram Transport: What kept dealers busy on Monday?

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Shares of Siemens ended higher for the fourth straight day on Monday, continuing its outperformance from the time it emerged as the L1 bidder for a large electric locomotive project.

Brokerages like Macquarie believe that the size of the project is close to Rs 20,000 crore, much higher than the company’s current order book.

Sources within the dealing room tell CNBC-TV18 that a section of FIIs are buying into the stock, thereby aiding its outperformance.

Siemens’ shares have risen 10 percent over the last four trading sessions.

A Volatile Day

Benchmark indices began the new trading week on a volatile note with Sensex and Nifty ending flat after recovering from the day’s low. The Nifty 50 managed to eke out a one point gain while the Sensex fell 50 points after dropping as much as 500 points in early trading.

All eyes are now on the FOMC rate decision later this week.

Dealers indicate that FII flows were mixed in Monday’s session but with a positive bias. “Market-at-close” basket buying was seen at a leading FII desk.

PSU Banks continued to outperform and dealers suggested that these stocks continue to be well bid from FIIs. PNB joined the list of state-run lenders getting positive views after an upgrade from JPMorgan.

Dealers now point to a Nifty range of 18,300 – 18,900 for the near-term.

Besides Siemens, here are some other stocks that have been part of the dealing room chatter today:

Shriram Transport Finance: Shares of the CV financier ended higher for the seventh straight day. The stock has now gained in nine out of the last ten trading sessions. Dealers believe that FIIs are buyers in the stock and it is likely to see very high delivery volumes in Monday’s trading session.

Also Read: Sriram group merger: Shriram Finance, to be formed in 2 weeks, will be India’s second largest NBFC

Axis Bank & HDFC Life: Both stocks have been consolidating in a narrow range. Dealing rooms suggest that large block deals are likely to take place in both these stocks. With regards to the nature of these block deals, they may be clean out trades from large global investors.

Campus Activewear: Another stock where a large block deal may take place is Campus Activewear, which was under pressure on Monday after a two-day surge. Dealers indicate that a large private equity investor is likely to be the seller in the potential transaction.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow