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Publication Date: 2109
Report Type: VENDOR
Siemens, a Germany-based multinational company founded in 1847 that focuses
on industry, infrastructure, transport, and healthcare, has undergone a
transformation in recent years. Formerly consisting of numerous divisions and
subsidiaries in a wide range of industries, the firm has been restructured to
create three separately managed companies under the Siemens brand: Siemens AG,
Siemens Energy, and Siemens Heathineers. Focusing on the long term, the driving strategy
is to continue the consolidation
of its business operations to focus on core strengths. This report looks at
Siemens’ operations as a whole.
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Type of Vendor: Electronics Manufacturer
Service Areas: Global
Stock Symbol: SIE (FWB, DAX)
Employees: 293,000 (as of September 30, 2020)
|Siemens Mergers & Acquisitions
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Siemens, founded in 1847, is a multinational company based in Berlin and Munich,
Germany. The technology conglomerate is also the world’s largest provider of
products and services, generating a significant portion of its total
revenue from this sector.
In recent years, Siemens has consolidated its businesses into
these operating areas:
- Digital Industries
- Smart Infrastructure
- Siemens Advanta
- Portfolio Companies
- Siemens Healthineers
- Service & Governance
- Siemens Financial Services
- Global Business Services
- Real Estate Services
In May 2019, Siemens announced it would spin-off its Gas and Power
business into a separate entity, Siemens Energy.
History & Milestone Events
On October 1, 1847, in
Berlin, Werner von Siemens and Johann Georg Halske founded the Siemens &
Halske Telegraph Construction Company, the company that developed into today’s
Siemens. Siemens & Halske built the first long-distance telegraph line
in Europe as well as the Indo-European telegraph line, and then diversified
into electric trains, light bulbs, radios, TVs, electron microscopes, domestic
appliances, pacemakers, computers, and more. The company was highly influential
in technology development across Europe in the early 20th Century, including a
major part of Germany’s wartime production during World War II. Significant events in the history
of the company now known as Siemens are briefly listed below:
- 1966—Modern-day Siemens AG is founded.
Siemens Corporation, USA.
- 1981—Builds the first 64-kbit memory chip.
- 1990—Creates the largest European company in the
computer industry: Siemens-Nixdorf Informationssysteme (SNI).
- 1997—Builds the first GSM cellular phone with color
- 1998—Reorganizes its operations worldwide and merges
its US units: Siemens Business Communication Systems and Siemens Telecom
- 1999—Announces its joint venture with Fujitsu to create
Fujitsu Siemens Computers.
- 2000—Corning purchases Siemens’
interest in Siecor, as well as its global telecommunications
- 2001—Lists on the New York Stock Exchange.
- 2002—Sells seven engineering units to Kohlberg Kravis
Roberts & Company for EUR1.69 billion.
- 2005—Signs a 12-year agreement with the Walt Disney
Company to sponsor attractions in its theme parks … BenQ acquires Siemens’
Mobile Devices business.
- 2006—Acquires Bayer Diagnostics …. Creates Nokia Siemens Networks
for communication services.
- 2007—Names Peter Loescher as its first CEO from outside
- 2008—Divides the operating business into three
sectors – which are classified as Industry, Energy, and Healthcare – following
the realignment of the
- 2009—Acquires a majority stakes in two Chinese metal
companies: Metalworking company Yangtze Delta Manufacturing and aluminum
foundry GIS Steel & Aluminum Products.
- 2010—Appoints US citizen Eric Spiegel as CEO of Siemens Corporation,
- 2011—Sells its IT
Solutions and Services sector to Atos Origin … Reorganizes into four
- 2013—After issuing profit warnings, Siemens reorganizes
itself and promotes Joe Kaeser to replace Peter Loescher as CEO. Prior to
leaving, Loescher orchestrates the sale of its shares in Nokia
Siemens Networks, thereby exiting the joint venture, as well as Siemens’
spin-off of its Osram lighting subsidiary, while keeping a minority share.
several operating divisions including tidal power and hearing aids …
Registers its healthcare division as a separate corporation that remains part of the parent company.
- 2015—Enters into a share buyback program as it slowly
gains ground in its energy management, digital factory, and
- 2016-—Reorganizes into eight operating
divisions … Signs an agreement to merge Siemens Wind Power with Gamesa.
- 2017—Teams with AES to establish Fluence as a global energy
storage technology and services company … Establishes its global logistics
headquarters in Dubai, UAE… Signs a memorandum of understanding to merge
its mobility business with Alstpm in late 2018.
- 2018 – Rolls out the next phase of its strategic plan, calling it
Vision 2020+… Announces plans to acquire mendix, a company involved with
cloud native low code application development, for €600 million ($669
million USD)… Agrees to acquire J2 Innovations, a software framework
provider for building automation and Internet of Things
technologies… The company’s healthcare subsidiary, Siemens Heathineers,
is spun off and publicly listed as a separate company.
- 2019 – EU Commission blocks anticipated merger of Siemens and
Alstom’s rail businesses… Announces plans to acquire the string inverter business of
KACO new energy… Signs agreement to sell its eAircraft unit to
Rolls-Royce… Spins off of Gas and Power business unit to create Siemens
- 2020 – Unveils the "new Siemens AG" with an industrial
core comprising Digital Industries, Smart Infrastructure, and Mobility.
- 2021 – After seven years as chief executive officer and
40 years with the company, Joe Kaeser steps down, with Roland Busch
replacing him as president and CEO… Siemens Mobility announces a $3
billion deal to install a 660km (more than 400 miles) comprehensive rail
system in Egypt featuring the country’s first-ever high speed electrified
main and freight lines.
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- President and Chief Executive Officer – Roland Busch
- Chief Executive Officer, Digital Industries – Cedrik Neike
- Chief Executive Officer, Smart Infrastructure – Matthias
- Chief Executive Officer, Mobility – Michael Peter
- Chief Executive Officer, Siemens Advanta – Aymeric Sarrazin
- Chief Executive Officer, Portfolio Companies – Horst J.
- Chief Executive Officer, Siemens Healthineers – Bernd
- Chief Executive Officer, Financial Services – Roland
- Chief Executive Officer, Global Financial Services – Hannes
- Chief Executive Officer, Real Estate Services – Zsolt Sluitner
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Siemens outlined its "Vision 2020" strategy in 2014, and by August
2018 acknowledged that this strategy was largely completed. Vision
2020 defined the company’s entrepreneurial concept that
allows it to "consistently occupy attractive growth fields, sustainably
strengthen our core business and outpace our competitors in efficiency and
performance." Siemens then implemented Vision 2020+. Part of that
strategy consisted of spinning off the Gas and Power business, contributing its
59 percent stake in Siemens Gamesa Renewable Energy (SGRE) to the new firm,
The company at this point has essentially become three separately managed
companies – Siemens AG, Siemens Energy, and Siemens Heathineers – focusing on
different sectors, "a goal that would have been hard to reach in the
conglomerate structure of the ‘old’ Siemens AG."
Siemens is also looking to further streamline and bolster cost effectiveness
across other areas. For example, the Smart Infrastructure (SI) division will
strengthen its product business, most notably in Asia, and expand its
service business. Additionally, the SI unit is evolving with new technologies in
the areas of electric mobility infrastructure, distributed energy systems, smart
buildings, and energy storage. To accomplish this, SI has said it will hire approximately
6,000 new employees by 2023.
Siemens remains optimistic and forecasts that the COVID-19 pandemic will not
have a long-lasting impact on the global economy. Siemens says it expects
conditions to improve – particularly for its high-margin short-cycle businesses –
in the second half of fiscal 2021. "Even in these challenging times, Siemens has
a very solid financial setup," says Ralf Thomas, the company’s chief financial
Generally speaking, Siemens points to its technical expertise,
"comprehensive" portfolio, and long-standing experience as relative strengths.
Other areas of stability for the firm include:
- Intelligent Infrastructure – Constructing technology and
integrated mobility to make power distribution and "smart" grids more
efficient, thus providing digitization to lead to future developments.
- Future of Manufacturing – Includes technological innovations to
support making industrial enterprises "more productive, efficient and
- Digitalization – Offering technology to the economy, industry,
and urban infrastructure "of tomorrow."
Among Siemens’ more glaring deficiencies are:
- Spread Too Thin – The company considers its R&D areas thin,
both geographically and organizationally.
- COVID-19 Impacts – Despite the company’s optimistic outlook,
pandemic-related challenges will remain, causing customer investments to lag behind
economic growth. Negative effects are expected to dampen operating profits for the
company’s core industrial businesses.
For the 2020 fiscal year, Siemens’ profits were down by 25 percent compared
to 2019 earnings, falling to 4.2 euro (approximately $5 billion USD). Company
revenues were 57.1 euro ($67.4 billion), which was down by two percent from the
previous year. In by-segment revenue, Digital Industries was flat at 15.9 euro
($18.8 billion), Smart Infrastructure fell five percent to 14.7 billion euro
($17.3 billion), Mobility declined 29 percent to 9.1 billion euro ($10.7
billion), Healthineers was up two percent to 16.2 billion euro ($19.1 billion),
Financial Services dropped 14 percent to 716 million euro ($845 million), and
Portfolio Companies was down five percent to 5.3 billion euro ($6.3 billion).
However Siemens forecasts a slight increase in 2021 profit as the coronavirus
pandemic wanes and the global economy returns to growth after a tough year for
After 40 years with the company in various capacities, including CEO for the
last seven, Joe Kaeser stepped down in early 2021. His successor, Roland Busch,
is expected to continue the strategy of consolidation begun by his predecessor.
Since Kaeser took the helm in 2013, Siemens disposed
of numerous units through spin-offs and divestitures. For example, in 2014,
Siemens trimmed down from 16 divisions to nine and sold off both its kitchen and
washing machine business and its hearing aid unit. In 2016, Siemens merged its
wind power business with Gamesa and restructured into eight divisions. Siemens
sold the rest of its stake in its lighting business the following year and also
spun off Siemens Healthineers. It continues to further streamline its
core businesses under the Vision 2020+ strategy, which will give those core
businesses "more entrepreneurial freedom under the strong Siemens brand."
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Siemens’ products and
services are listed in Table 1.
|Category||Products and Services|
Products for building performance; building automation and control; HVAC;
Converters; motors; generators; geared motors; gear units; couplings; large
Power generation; high-voltage – power transmission; energy automation &
HiMed, which consists of billing and administration systems, Cockpit pro
Automation systems; identification and locating; industrial communication;
Rail solutions; road solutions; intermodal solutions; and consulting
Equipment and technology finance; working capital finance; project finance;
CERT services: industry services, which include predictive, corrective,
Mobile apps (SINAMICS SELECTOR and SIMATIC Mobile Apps); MindSphere;
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Mergers, Acquisitions, and Divestitures
Mobility revealed that it is acquiring RailTerm, a Canadian
transportation company that provides rail services. The
transaction is expected to help grow Siemens’ Canadian business,
expanding its existing portfolio with “on-the-ground” track and
signaling, electrification, and communication systems. `The
purchase – for which the terms were not disclosed – is expected
to increase Siemens’ employee base by about 200.
Siemens signed an
agreement to acquire Supplyframe, a
:”design-to-source” platform provider for the global electronics
value chain. This $700 million transaction is expected to provide
seamless, quick access to Siemens’ products and Supplyframe’s
marketplace intelligence; strengthen Siemens’ portfolio through
SaaS (Software-as-a-Service). The merger is subject to “customary
conditions” and is projected to close “in the fourth quarter of
fiscal year 2021.”
Mobility completed the acquisition of Padam Mobility, a tech
company that provides AI (artificial intelligence)-powered
platforms and applications for on-demand and para-transit
services. The SaaS (Software-as-a-Service) organization, which
works to improve transportation efficiency, will enhance Siemens’
“intelligent” infrastructure portfolio, focused on intermodal
transportation. Financial details were not revealed.
Siemens closed the
EUR2.025 billion (US$2.41 billion) sale of Flender, one of its Portfolio
companies, to The Carlyle
Group. Flender is a global mechanical and electrical drive
systems supplier. The divestiture – which Siemens noted is part
of its Vision 2020+ strategy to “become a focused technology
company” – was contingent on fulfilling “required approvals” by
Siemens has signed an agreement to purchase Culgi, a computational
chemistry software company that focuses on multi-scale
simulations. This transaction is expected to bring added support
for modeling to the Xcelerator portfolio, and should allow
Siemens to offer integrated, multi-scale technology for “soft
matter” as part of its Simcenter family. Culgi will join Siemens Digital Industries
Software. The transaction is expected to close in calendar
year 2020; its terms were not disclosed.
the sale of Flender, its mechanical and
electrical drive systems supplier, to Carlyle. The EUR2.03 billion
(US$2.4 billion) transaction is part of Siemens’ ongoing Vision
2020+ strategy to “become a focused technology company,” and
makes it possible to forgo the originally planned spinoff and
public listing. The sale is expected to close “in the first half
of 2021,” pending “foreign-investment and antitrust approvals.”
Mobility revealed plan
s to acquire Aldridge
Traffic Controllers to bolster its strategy to “reduce
congestion, increase safety and comfort and improve air quality
in cities around the world.” Upon closing, the group will be
managed as a legally independent company under the Siemens
Intelligent Traffic Systems business. The transaction is subject
to “regulatory approval by the respective authorities” Terms were
Products and Services
Siemens released an
industrial 5G router: the Scalance MUM856-1. This device connects
local industrial applications to public 5G, 4G LTE, and 3G UMTS
mobile wireless networks, and can remotely monitor and service
plants, machines, control elements, and other devices via a
public network connection. The Scalance offering supports mobile
robots in manufacturing, autonomous vehicles in logistics, and AR
(augmented reality) applications in service technicians.
Siemens unveiled the
AI Anomaly Assistant Industrial app. This software employs AI
(artificial intelligence) to detect variances in the process
industry and assess business relevance. The app analyzes
process events that affect parameters such as productivity,
availability, and quality, and alerts the plant operator
regarding detected anomalies, which are then scrutinized for
Siemens Smart Infrastructure
updated its Desigo CC smart building-management platform. The
version 5.0 refresh specifically makes the application available
to additional systems and devices, and includes improved
connectivity, support for more integrations, functions to make
usability more flexible, and bolstered cybersecurity protection
to make buildings more future-proof and easy to manage.
Digital Industries Software unveiled a set of next-gen Veloce
hardware-assisted verification systems. Siemens Veloce offers
rapid verification for IC (integrated circuit) design by
combining a virtual platform, hardware emulation, and FPGA
(field-programmable gate array) prototyping. Releases include
Veloce HYCON (hybrid configurable), for virtual platform /
software-enabled verification; a Strato+ capacity upgrade to the
Veloce Strato hardware emulator; and Primo (enterprise) and
proFPGA (desktop) FPGA prototyping editions.
Siemens signed a
contract to provide the US Air Force with licensing, maintenance,
and support for using its Teamcenter software set as a
“foundational system of record.” This $24.6 million
“indefinite-delivery / indefinite-quantity” deal will
specifically support the USAF’s digital acquisition and
sustainment strategy, regarding critical systems and technology.
the Sitrans CloudConnect 240, an IoT (Internet of Things) gateway
for the process industry. The release provides a second data
channel – running independent of the control system – for
transmitting data from a HART-based field device.
Siemens Smart Infrastructure
and Hassan Allam
Construction were awarded a EUR45 million (US$54 million)
contract to build a National Energy Control Center for the
Egyptian Electricity Transmission Company. The power grid control
center will deploy advanced software and equipment to monitor and
manage extra-high-voltage transmission networks and
power-generation stations across Egypt.
Siemens introduced a new AI (artificial intelligence)-based
module for the Mindsphere Predictive Service Assistance
application. The module works to identify concrete fault patterns
in motors “at an early stage,” helping reduce downtimes and
improve spare parts and maintenance processes.
Siemens introduced the Industrial Edge v1.0 open platform.
This software – which expands Siemens’ offerings for industrial
IoT (Internet of Things) – offers scalable infrastructure for
managing connected devices and apps. The software provides
seamless, production-level data processing with integrated device
and app lifecycle management.
Siemens announced the Analyze MyDrives Edge. This edge
application for drives supports high-frequency data exchanges
between Sinamics drives and the Industrial Edge platform. The
Analyze MyDrives Edge includes functions similar to Mindsphere
Analyze MyDrives, but is enhanced with intelligent features based
on high-frequency data exchange.
Siemens has unveiled an industrial 5G
router. This device uses Scalance MUM856-1 industrial
applications, such as machines, control elements, and other
devices, and be remotely accessed via a public 5G network.
Siemens has introduced Industrial
Edge, an open software platform for creating IIoT (Industrial
Internet of Things) deployments at the machine level. The
Industrial Edge v1.0 platform provides “ready-to-use,” seamless
services via a central, scalable management system for managing
connected-edge devices and apps.
Siemens has extended its Analyze MyMachine / Condition
software with a Mindsphere application. This integration is
designed to improve machine tool availability through predictive
maintenance, and creates a “mechanical fingerprint” of the
machine tool to assist condition evaluation, analysis, and
comparison of connected machines. The technology uses
high-frequency CNC (computer numerical control) data. The release
is available for Sinumerik Edge.
Siemens Smart Infrastructure
led out Enlighted Safe, a workplace digital contact-tracing
app to help employees safely return to the physical workplace.
The product is built on Enlighted’s RTLS (real-time location
services) capability, with employees assigned BLE (Bluetooth Low
Energy) identification badges to continuously record location,
movement, and proximity to other employees while in the building.
Alliances and Joint Ventures
Siemens and German
biotechnology company BioNTech announced plans to
expand their strategic cooperation. In particular, the companies
are intensifying their collaboration toward rapidly expanding and
creating production capacity for the Covid-19 vaccine.
Siemens entered into
a collaboration agreement with Threedy to focus on visual
computing tech for “immersive” experiences. The cooperation is
expected to enrich Siemens’ Sidrive IQ digital platform – for
drive systems and related technology – by incorporating Threedy’s
instant3Dhub visual computing platform. As such, Sidrive IQ will
combine IIoT (Industrial Internet of Things) and 3D data,
resulting in digital content that empowers customers to
understand drive systems and resolve faults.
that InoBat Auto, a battery
cell manufacturer for electric mobility, selected its electrical,
automation, and digital technology portfolio to digitalize its
value chain for electric vehicle battery production. InoBat plans
to take advantage of flexible, transparent, and efficient
processes, across “all fields of production,” to improve battery
production and speed time-to-market. InoBat will specifically use
Siemens’ solutions to develop a holistic digital factory approach
in its R&D and Gigafactory facilities.
Siemens Smart Infrastructure and Telefonica Tech entered
into a collaboration agreement to introduce solutions for
increasing physical security, monitoring, operational and energy
efficiency, user experience, and services digitalization. In
particular, the companies plan to offer infrastructure to
specifically support data collection and analysis.
cooperating with Schaeffler in a bid
to promote “intelligent diagnostics for drive systems.”
Specifically, Siemens will combine its IIoT (Industrial Internet
of Things) platform – Sidrive IQ – with Schaeffler’s experience
designing, manufacturing, and servicing bearings. The integration
of Schaeffler’s analysis service for automated bearing
diagnostics in Sidrive IQ makes it possible to determine the
bearing condition with improved precision.
Siemens and Google Cloud established an
agreement to cooperate on AI (artificial intelligence)-based
technology to support industrial manufacturing. This
collaboration will focus on promoting scaled AI deployments to
optimize factory processes and bolster productivity.
Specifically, Siemens will integrate Google Cloud data cloud and
AI / ML (machine-learning) tech within its own factory automation
Siemens Smart Infrastructure
engaged Italy’s On in a new partnership to promote “future urban
mobility” at Rome’s historic center. Through this agreement,
Siemens will deliver charging stations and cloud-based software
to support future charging infrastructure management. The
deployment is designed to support an electric vehicle-sharing
service throughout the city.
Siemens forged a
strategic partnership with auto manufacturer Mercedes-Benz. This
agreement is designed to expand digitalization for sustainable
automobile production methods. The deal serves to expand a
“long-standing” cooperation between the parties in the field of
engineering and production. Siemens will provide access to its
expertise and technology regarding automation, industrial
software, and smart infrastructure.
Siemens, IBM, and its Red Hat unit announced a new
collaboration agreement. Together, the companies plan to employ a
hybrid cloud to deliver an open, flexible, secure offering to
“drive real-time value from operational data.” The joint
initiative will see Siemens Digital Industries Software apply
IBM’s open hybrid cloud approach – built on OpenShift – to extend
MindSphere’s deployment flexibility.
Siemens Smart Infrastructure
teamed with Auto-Info to develop a modular COVID-19 examination
unit. This mobile lab structure and system is designed to avoid
contamination by employing the Climatix IC platform, which offers
a flexible and scalable advanced HVAC control solution from
Siemens. Additional information is available via the Siemens Web site.
Siemens is collaborating with Merck to develop a technical
backbone for “modular production of the future.” The companies
are planning to create a production line that combines individual
process modules. In particular, they are using MTP (Modular Type
Packaging) and POL (Process Orchestration Layer) technology to
reduce engineering effort. Siemens noted that, with its
integrated product range covering all production levels, it
should be able to provide necessary hardware and software
components from its own product portfolio.
Siemens has established a strategic partnership agreement with Zeta, a biopharmaceutical
project specialist. The deal is designed to promote
pharmaceutical process digital transformation. In particular,
Siemens will serve as “system provider” partner, offering
software with the Digital Enterprise Portfolio, in addition to
integrating existing platform functions, developing new modules,
and collaborating to improve value chain integration.
Siemens and Celonis have forged a
global strategic partnership to focus on optimizing “key”
business processes for procurement, sales, accounting, and HR
(human relations). The companies plan, in particular, to focus on
digitalization and operational process automation that is
enhanced by AI (artificial intelligence), and will integrate
products from Siemens Global Business Services within the Celonis
Siemens has reached an agreement to become the “exclusive global
sales partner” for Log.Go.Motion. The
cooperation agreement, which is effective immediately, will see
Siemens serve as a global third-party distributor for the
Moby.Check process software, which is used to create, control,
and monitor digital inspection checklists for servicing,
maintenance procedures, production, and logistics.
Siemens is partneri
ng with Germany’s regional Allgauer Uberlandwerk utility and
their “project partners” on a new pebbles research project to
develop a local electricity market that employs blockchain
technology. The pebbles electricity trading platform, which is
currently in demonstration phase, can be used to market
electricity directly to consumers without having to pass through
marketers or grid operators. The platform supports flexible power
from battery storage or controllable loads, and is designed to
create end-to-end transparency and trust between users.
Siemens is working with Toutenkamion
Group, a French designer and manufacturer, to create a set of
mobile ICU options for hospitals and healthcare environments
during “epidemic” or “temporary construction works.” Siemens Smart Infrastructure
will develop an agile container system of highly innovative
mobile intensive care units to offer practical solutions to
ensure adequate care.
Siemens and Macquarie‘s Green Investment
Group are launching a distributed energy JV: Calibrant Energy.
Calibrant will work to bundle distributed energy technology and
financing expertise to create “Energy-as-a-Service” solutions.
Terms were not disclosed.
Siemens and Atos have signed a five-year extension of their strategic partnership.
This Customer Relationship Agreement, which is part of the
companies’ 2011 agreement, will see Atos deliver digital,
integrated, and cybersecurity solutions to support Siemens
digital strategic objectives, while both companies pursue joint
go-to-market opportunities. The deal will focus on accelerating
Siemens digital objectives for services modernization and
digitalization, data driven digital, cloud transformation, and
cybersecurity. Atos will also invest in innovation and digital
modernization, in order to advance Siemens innovation topics.
Industries Software announced that it is leveraging
the Mendix low-code
application-development platform within its Industrial Edge
services. This deployment is designed to help customers “build
contextual and personalized solutions” and “enable data-driven
Personnel and Organizational
its new growth strategy and “comprehensive sustainability
agenda.” Particular tenets include accelerating high-value growth
as a focused technology company; creating maximum customer
impact by combining the real and digital worlds; focusing on
sustainability via its “DEGREE” framework; updating its financial
framework. Additional details< /a> are available via the Siemens Web site.
Annette Kraus as Chief Compliance Officer and Head of its
Compliance Organization. Kraus – who succeeded Martina Maier,
effective immediately – most-recently served as Chief Counsel
Compliance and leader of Siemens’ global investigation team.
Hands has donated tablet devices and other technology to
Germany’s THW Foundation to support its efforts at 668 branches
in fighting COVID-19. The units – which will be equipped with
cloud-based apps that are based on Siemens Mendix software – will
specifically be used by civil-defense and disaster-control teams.
The tablets are made possible via a novel coronavirus relief fund
that the initiative set up in March 2020.
Roland Busch as its new President and CEO, and re-elected Jim
Hagemann Snabe as Supervisory Board Chair. Busch replaces Joe
Kaeser, a 40-year Siemens veteran who is stepping down after
seven years leading the company. Despite this news, Kaeser will
still stand for re-election to Siemens Energy‘s
Supervisory Board and as Board Chair on February 10th. For his
part, Busch is a former Head of Strategy, Managing Board
Director, CTO, and, for a time, COO and Deputy CEO. Other newly
elected Supervisory Board members include Grazia Vittadini (CTO,
Airbus) and Kasper Rorsted
(CEO, adidas), replacing Nicola Leibinger Kammuller and Werner
two new members to its Supervisory Board. The nominations –
which serve to replace the departing Nicola Leibinger-Kammüller
and Werner Wenning – include Airbus CTO, Grazia Vittadini,
and Adidas CEO, Kasper Rorsted. In addition, Siemens is
nominating Jim Hagemann Snabe to again serve as Chair. Terms
are for four years.
Siemens Smart Infrastructure is supplying a “Tier
IV-certified” data center near Paris, France. The Thesee data
center is located in Aubergenville, and is designed to meet
industry standards for availability and energy efficiency.
Siemens will install its White Space Cooling Optimization “smart”
solution to optimize energy efficiency.
that Eva Riesenhuber will lead Investor Relations, effective
December 1, 2020. Riesenhuber replaces the departing Sabine
Reichel, who will step down due to “personal reasons” one day
prior. The unit, Siemens also noted, will be assigned to the CFO,
effective immediately. Riesenhuber is the former CFO and General
Partner for Siemens’ Next47 global startup unit.
Energy will establish its corporate center in Berlin,
Germany. This nod is regarded as a “return to its roots” as the
company’s city of its origin. Siemens Energy’s administrative
headquarters will remain in Bavaria. As to which location will
serve as headquarters, Siemens noted, remains “open,” with a
“more detailed concept” to be “developed in the coming months.”
strong earnings growth of 244 percent, year to year, for the
fiscal 2021 second quarter ended March 31, 2021. Company profits
totaled EUR2.4 billion (US$2.9 billion), or EUR2.79 (US$3.39) per
share, reflecting higher adjusted EBITA Industrial Businesses,
gains on the sale of Flender within discontinued operations, and
“favorable effects outside Industrial Businesses. This amount
compares to Siemens’ FY20Q2 net income of EUR697 million
(US$846 million), or EUR0.79 (US$0.96) per share. The European
company also posted revenues of EUR15.9 billion (US$19.3
billion), marking 8 percent growth over fiscal 20Q2 sales of
EUR14.7 billion (US$17.8 billion). By segment, Digital
Industries’ revenue improved 9 percent Y2Y to EUR4 billion
(US$4.9 billion), Smart Infrastructure increased 1 percent to
EUR3.6 billion (US$4.4 billion), Mobility was a flat EUR2.3
billion (US$2.8 billion), Siemens Healthineers grew 8 percent to
EUR4 billion (US$4.9 billion), and Siemens’ Portfolio Companies
declined 16 percent to EUR723 million (US$878 million).
Siemens recorded 38
percent Y2Y income growth for the fiscal 2021 first quarter. The
three-month period ended December 31, 2020 saw profits hit
EUR1.5 billion (US$1.8 billion), or EUR1.70 (US$2) per share,
compared to year-ago earnings of EUR1.1 billion (US$1.3 billion),
or EUR1.31 (US$1.57) per share. Revenues, meanwhile, totaled
EUR14.1 billion (US$17 billion). This amount marked a 3 percent
increase over FY20Q1 sales of EUR13.7 billion (US$16.5 billion).
By segment, Digital Industries revenue was a flat EUR3.8 billion
(US$4.6 billion); Smart Infrastructure revenue fell 1 percent to
EUR3.5 billion (US$4.2 billion); Mobility sales increased 1
percent to EUR2.2 billion (US$2.6 billion) ; Siemens Healthineers
revenue was up 8 percent to EUR3.9 billion (US$4.7 billion); and
Portfolio Companies sales declined 23 percent to EUR649 million
Siemens logged a 28
percent Y2Y decline in net income for the fiscal 2020 fourth
quarter ended September 30, 2020. Profits, which Siemens noted
benefitted from EUR800 million (US$944 million) in income
attributed to “discontinued operations,” were EUR1.9 billion
(US$2.2 billion), or EUR2.17 (US$2.56) per share. This sum
compares to FY19Q4 earnings of EUR1.5 billion (US$1.8 billion),
or EUR1.61 (US$1.9 billion) per share. At the same time, Q4 sales
totaled EUR15.3 billion (US$18.1 billion), down 1 percent from
FY19Q4 revenues of EUR15.7 billion (US$18.5 billion). In terms of
revenue by segment, Digital Industries fell 2 percent to EUR3.9
billion (US$4.6 billion), Smart Infrastructure was down 10
percent to 3.8 billion (US$4.5 billion), and Mobility improved 14
percent to EUR2.1 billion (US$2.5 billion). Other areas include
Healthineers, which saw revenue grow 4 percent Y2Y to EUR4.8
billion (US$5.7 billion), Financial Services sales declining 20
percent to EUR217 million (US$256 million), and Portfolio
Companies revenue falling 6 percent to EUR1.2 billion (US$1.4
billion). For the full year, Siemens’ profits were EUR4.2 billion
(US$5 billion), or EUR4.93 (US$5.82) per share, an amount that is
down by 25 percent when compared to fiscal 2019 earnings of
EUR5.6 billion (US$6.6 billion), or EUR6.32 (US$7.46) per share.
Company revenues were EUR57.1 billion (US$67.4 billion), which is
down by 2 percent from FY19 sales of EUR58.5 billion (US$69
billion). Regarding by-segment revenue, Digital Industries was a
flat EUR15.9 billion (US$18.8 billion), Smart Infrastructure fell
5 percent to EUR14.7 billion (US$17.3 billion), Mobility declined
29 percent to EUR9.1 billion (US$10.7 billion), Healthineers was
up 2 percent to EUR16.2 billion (US$19.1 billion), Financial
Services dropped 14 percent to EUR716 million (US$845 million),
and Portfolio Companies were down 5 percent to EUR5.3 billion
Siemens has noted the
existence of what it called “fake promotional letters” for a new
The Heavy Industry Magazine publication. These in-circulation
letters, Siemens noted, use an “outdated Siemens AG letterhead”
and the “signature of Siemens AG CEO Joe Kaeser” to solicit
advertisements. Despite not yet pressing legal action, the
company unequivocally stated that “the letter is fake and the
signature is a forgery.”
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