Siemens delivered a strong Q2 FY25, with net profit surging 11% to €2.4 billion (US$2.7 billion), defying analyst expectations of a decline.
Revenue climbed 6% to €19.8 billion, driven by robust demand for mobility and infrastructure, particularly data centres and rail systems.
Despite the upbeat results, Siemens flagged “increased uncertainty” in the global economy, citing trade tensions and shifting market dynamics.
“We’ve achieved another successful quarter, with orders, revenue and net income all showing clear growth. Our customers continue to rely on our technology, and our global footprint demonstrates our resilience,” said Roland Busch, President and Chief Executive Officer of Siemens AG.
“With our ONE Tech Company program, we’re making bold moves to scale our technologies. The acquisition of Altair and the planned acquisition of Dotmatics will bring new AI offerings to our customers and open up new opportunities in growth markets such as life sciences.”
The digital industries division struggled, with sales sliding by 5%, prompting 6,000 job cuts — about 2% of Siemens’ global workforce. The company remains committed to streamlining operations, focusing on high-growth sectors while navigating macroeconomic headwinds. Meanwhile, Siemens has finalised its €9.5 billion acquisition of Altair, a United States artificial intelligence-driven software firm. It is acquiring Dotmatics, a scientific software provider for US$5.1 billion. CEO Roland Busch emphasised that these deals will expand Siemens’ AI capabilities and unlock new opportunities in the life sciences.
Siemens maintained its 2025 outlook, projecting 3-7% sales growth, with mobility and infrastructure leading the charge. The company’s ONE Tech strategy aims to scale AI-driven solutions, reinforcing its position in industrial automation and digital transformation. Investors remain cautiously optimistic, watching for further developments in trade policy and economic stability.
“By focusing on rigorous execution, we again successfully converted clear revenue growth into strong profit and solid free cash flow. We completed the acquisition of Altair successfully and very quickly just before the close of our second quarter. We confirm our outlook for fiscal 2025,” said Ralf P. Thomas, Chief Financial Officer of Siemens AG.
Trade tensions loom large. U.S. President Donald Trump’s aggressive trade stance disrupts global commerce, fueling market volatility and recession fears. Siemens, with its global footprint, closely monitors tariff shifts, ensuring supply chain resilience while adapting to evolving geopolitical risks. Investors will watch how Siemens navigates these challenges while capitalising on AI-driven growth.
At the time of writing, Siemens AG's stock price (ETR: SIE) was €221.85, down €2.20 (0.98%) from today, with a market capitalisation of approximately €177.48 billion.
