Siemens Ag Spons Adr (SIEGY) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

We are here to talk about growth, sustainable, profitable growth. And this is important, accelerated growth. Just look at what we have done in the last five years since we have become a focused technology company. This was our growth trajectory for the period starting fiscal year 2021 until fiscal year 2025. Average revenue growth, 8% per year in this period, up from 2% in the previous decade. Average profit margin of our industrial business, 15% up from 10%. And average free cash flow margin, 13% up from 7%. The total shareholder return of 151%. We outperformed the DAX and other indices. Higher growth, higher margins, higher free cash flows. This successful performance continues. So let's take a look at our most recent past, fiscal year 2025. And it was another record year for Siemens. Our orders reached 88 billion euros, 6% above prior year's level. Revenue grew by 5%, a total of 78.9 billion euros. And book-to-bill ratio of 1.1, a high quality backlog of 117 billion euros. We move with confidence in our fiscal year 2026. Our industrial business showed a strong performance, a record profit of 11.8 billion euros. Our free cash flow at a new historic high, 10.8 billion euros. This means we turned 14% of sales straight into cash. with 10.4 billion euros record in net income for the third consecutive year. And finally, we achieved earnings per share, pre-PPA, of 10 euro, 71 euro cents, and we adjusted this, as you know, for effects from dotmatics, Altair, and Enermotics. And we achieved this in spite of substantial uncertainties all around the world, geopolitics, new tariffs and protectionism, slow consumer spending. We created substantial value for all our stakeholders. Now, let's take a look at the performance of our industrial businesses. Let's start with digital in...