Siemens Aktiengesellschaft · XETR:SIE

Siemens Aktiengesellschaft — Siemens — Dresdner Kleinwort – German Investment Seminar (January 2009)

18 slides from Siemens Aktiengesellschaft's conference presentation, Jan 13, 2009

  1. Slide 1: TAP: Focus on Execution – Delivering in 2009

    TAP: Focus on Execution – Delivering in 2009 Joe Kaeser, CFO Dresdner Kleinwort – German Investment Seminar New York, January 13, 2009 Copyright © Siemens AG 2009. All rights reserved.

  2. Slide 2: Safe Harbour Statement

    Safe Harbour Statement This document contains forward-looking statements and information – that is, statements related to future, not past, events. These statements may be identified by words such as “expects,” “looks forward to,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates,”

  3. Slide 3: FY 2008 – Year of massive transition

    FY 2008 – Year of massive transition % Change % Change Q4 Q4 €m Ad- FY 2007 FY 2008 Ad- FY 2007 FY 2008 Actual Actual justed1) justed1) New orders (Cont. Op.) 21,328 22,205 4% 6% 83,916 93,495 11% 13% Incl. ~€1.1bn project Sales (Cont. Op.) 20,201 21,651 7% 9% 72,448 77,327 7% 9% charges (Q1, Q2), €

  4. Slide 4: Charges imply significant cash-outflow in 2009

    Charges imply significant cash-outflow in 2009 Project charges Charges Q4 08 Q1 & Q2 08 €m €m ~1,100 1,081 Total Cash Outflow from FY08 charges ~1,000 ~1,000 2008 2009 ≥ 2010 €m €m €m ~1,780 ~2,430 ~810 390 151 174 162 129 133 PG, TS, SIS Mobility Healthcare Osram Other Fossil, SG&A Siemens Legal an

  5. Slide 5: Fit42010 TAP program – on schedule to first committed milestones

    Fit42010 TAP program – on schedule to first committed milestones Focused organization and strong leadership team in place SG&A program on schedule – majority of restructuring charges booked in Q4 Capital allocation – In order to achieve the capital structure target ratio Siemens returned €4bn to sha

  6. Slide 6: Focused portfolio increased resilience and visibility

    Focused portfolio increased resilience and visibility Increased resilience of portfolio Order backlog provides visibility Siemens portfolio (% of sales1)) €bn Order backlog 4) 100% 100% 85 40 3% 7%3) 70 7 Other2) 38% 14% Healthcare 6 28% 45 45 7%3) Energy 34 Healthcare 8% Energy 14% 48% Industry 33%

  7. Slide 7: Strong balance sheet and adequate maturity profile

    Strong balance sheet and adequate maturity profile Leverage (total debt / capital1)) in % 38% 37% ƒ Strong balance sheet: Low 35% 36% 35% 34% leverage ~33% even during 32% last recession 29% ƒ Conservative financial 25% policy: 2000 2001 2002 2003 2004 2005 2006 2007 2008 ƒ Long-term loan and bond m

  8. Slide 8: Original SG&A program on schedule

    Original SG&A program on schedule SG&A costs in €bn Margin impact with growth at 2x GDP Percentage of sales 13.6 0.9 170 bp Restructuring 16.7% 15.0% charges2) (17.7%)4) (15.1%)4) GDP growth 12.7 = 0% p.a. Portfolio changes 330 bp 12.13) 0.8 (e.g. UGS, 16.7% Diagnostics) (17.7%)4) 13.4% (13.9%)4) GD

  9. Slide 9: Supply Chain – Key driver for securing 2010 targets

    Supply Chain – Key driver for securing 2010 targets Purchasing volume FY 2008 LCC sourcing FY 2008 LCC Other Sourcing 15% ~20% Healthcare 12% 43% Industry 30% ~80% HCC Sourcing Energy Sectors LCC sourcing share Total purchasing volume ~€40bn ƒ Industry: ~22% (not including capex; non-audited figures

  10. Slide 10: Macro environment deteriorates to historical lows

    Macro environment deteriorates to historical lows Global GDP growth 2009E 1) ISM Purchasing Manager Index 3.5% 60 4 3.2% 50.7 50.0 2.9% 48.6 3 2.1% 50 2 38.9 40 1 0.2% 32.4 0 30 Q1 2008 Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q1 2008 Q2 2008 Q3 2008 Q4 2008 Q1 2009 Euro-zone Manufacturing PMI IFO Business E

  11. Slide 11: CFO’s take on sector developments

    CFO’s take on sector developments Energy ƒ No major order cancelations, but push-outs likely ƒ Customers even more price sensitive focusing on TCO1) ƒ Continued volatility of Areva N.P. at equity income ƒ IA: significant de-stocking in challenging environment; focus on Industry defending margins ƒ D

  12. Slide 12: Siemens’ expectations frame for Q1 2009

    Siemens’ expectations frame for Q1 2009 Bookings ƒ Q1 orders down year-on-year but still on level of prior quarter (as reported) Billings ƒ Q1 revenue up ~5% year-on-year (as reported) ƒ All sectors contribute to year-on-year growth Sector Profit ƒ Q1 profit Total Sectors up year-on-year and quarter

  13. Slide 13: Thank you for your attention

    Thank you for your attention Page 13 January 13, 2009 Copyright © Siemens AG 2009. All rights reserved.

  14. Slide 14: Financial calendar

    Financial calendar January 27, 2009 January Q1 financial report and analyst conference call Annual General Meeting February 2009 February Post-Q1 roadshows with CEO / CFO (USA, London) March to be announced April 29, 2009 April Q2 financial report and semiannual analyst conference Page 14 January 13

  15. Slide 15: Siemens investor relations contact data

    Siemens investor relations contact data Michael Sen +49-89-636-33780 Munich Office +49-89-636-32474 US Office +1-408-464-2004 Internet: http://www.siemens.com/investorrelations Email: investorrelations@siemens.com Fax: +49-89-636-32830 Page 15 January 13, 2009 Copyright © Siemens AG 2009. All rights

  16. Slide 16: Reconciliation and Definitions for Non-GAAP Measures (I)

    Reconciliation and Definitions for Non-GAAP Measures (I) Profit Total Sectors is reconciled to "Income from continuing operations before income taxes" under “Reconciliation to consolidated financial statements" in the table "Segment Information." See our Financial Publications at our Investor Relati

  17. Slide 17: Reconciliation and Definitions for Non-GAAP Measures (II)

    Reconciliation and Definitions for Non-GAAP Measures (II) Average Capital employed and average Assets for the fiscal year is calculated as a "five-point average" obtained by averaging Capital employed and Assets at the beginning of the first quarter plus the final figures for all four quarters of th

  18. Slide 18: Reconciliation and Definitions for Non-GAAP Measures (III)

    Reconciliation and Definitions for Non-GAAP Measures (III) Our capital structure target is based on an Adjusted industrial net debt divided by EBITDA (adjusted). For the calculation of Adjusted industrial net debt, we subtract from Net debt (defined as Long-term debt plus Short-term debt and current

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