Siemens Q3 FY2025 Earnings Release
Period: April 1, 2025 - June 30, 2025
Date: August 7, 2025, Munich, Germany
Solid Performance Continues - Outlook Maintained
Siemens AG's Q3 performance demonstrates robust results amidst a volatile global market, with sustained growth momentum in orders, revenue, and net profit. Digitalization and sustainability continue to drive growth. The acquisition of Dotmatics further strengthens Siemens' position in the life sciences sector, integrating scientific insights with the company's industrial AI expertise.
"Our third quarter results show that Siemens is performing robustly, despite a volatile global market. We are maintaining our growth momentum in orders, revenue, and net profit. Digitalization and sustainability are continuing to drive our growth. With the successful completion of the Dotmatics acquisition, we are also gaining new market access in the life sciences sector, combining scientific insights with our industrial AI expertise," said Roland Busch, President and Chief Executive Officer of Siemens AG.
"In the third quarter, we achieved an impressive €2.9 billion in free cash flow. We are again aiming for double-digit free cash flow margin for the full year. We are very confident that we will continue to achieve profitable growth. We are therefore maintaining our outlook for fiscal year 2025," said Ralf P. Thomas, Chief Financial Officer of Siemens AG.
Key Financial Highlights
Order intake was driven by a significant increase in large orders in the Mobility business, up 28% on a comparable basis (currency and portfolio effects excluded). Revenue increased by 5% overall, supported by growth across most industrial businesses. On a nominal basis, orders grew 25% to €24.7 billion, and revenue rose 3% to €19.4 billion, with the book-to-bill ratio remaining strong at 1.28.
Profitability in the industrial businesses reached €2.8 billion, with a profit margin of 14.9%. Net profit increased to €2.2 billion, corresponding to basic earnings per share (EPS) of €2.61. PPA (purchase price allocation) adjusted EPS was €2.78. The PPA-adjusted EPS was further increased by €0.15 due to the impact of the earlier-than-planned acquisitions of Altair and Dotmatics, which were completed in the second and early fourth quarters of fiscal year 2025, respectively.
Free cash flow from continuing operations was €2.9 billion, a significant increase from €2.1 billion in the prior-year period (Q3 FY2024).
Detailed Financial Table (Q3 FY2025 vs Q3 FY2024)
| Metric | Q3 FY2025 | Q3 FY2024 | Change (%) | Comparable Change (%) |
|---|---|---|---|---|
| Orders (in millions of €) | 24,719 | 19,782 | 25% | 28% |
| Revenue (in millions of €) | 19,377 | 18,900 | 3% | 5% |
| Profit (Adjusted EBITA) - Industry Business | 2,820 | 3,033 | (7)% | |
| Less: Pension obligations | (120) | (62) | ||
| Profit Margin (Adjusted EBITA) - Industry Business | 14.9% | 16.5% | ||
| Excluding pension obligations | 15.6% | 16.9% | ||
| Profit from continuing operations (in millions of €) | 2,222 | 2,158 | 3% | |
| Less: Pension obligations | (143) | (76) | ||
| Profit from discontinued operations, net of tax (in millions of €) | 21 | (25) | n/a | |
| Net Profit (in millions of €) | 2,243 | 2,133 | 5% | |
| Basic EPS (in €) | 2.61 | 2.51 | 4% | |
| PPA-adjusted EPS (in €) | 2.78 | 2.66 | 5% | |
| Free Cash Flow (continuing and discontinued operations) (in millions of €) | 2,918 | 2,121 | 38% | |
| Cash Conversion Rate | 1.30 | 0.99 | 31% | |
| ROCE (continuing and discontinued operations) | 14.6% | 17.3% |
Further Details on Financial Performance
The Mobility business saw a significant increase in order intake, more than tripling compared to the previous year due to large orders. The Smart Infrastructure and Digital Industries segments reported a slight decrease compared to the strong prior-year quarter. Revenue growth was driven by the Mobility business, with growth also seen in most industrial businesses. The Digital Industries segment experienced a decline in software business due to a very high comparable base from the strong prior-year period.
Currency translation effects led to a 4% decrease in order growth and a 3% decrease in revenue growth. Overall, portfolio transactions had a minimal impact on business volume.
Profitability in the industrial businesses saw a significant decrease in Digital Industries, following an exceptionally strong software business performance in Q3 FY2024. However, other industrial businesses improved their profit and profitability, with Smart Infrastructure contributing the most.
Performance outside of industrial businesses benefited from the completion of the partial sale of the airport logistics business, resulting in a €200 million profit.
Siemens generated a solid free cash flow of €2.9 billion in the third quarter, an increase from €2.5 billion in Q3 FY2024, with improvements across all industrial businesses. Cash outflows for taxes decreased to €0.8 billion compared to €1.2 billion in the prior year.
Siemens issued bonds totaling US$7 billion and €4 billion with maturities ranging up to 40 years. These payments are not included in the free cash flow.
The provision for pension and similar obligations as of June 30, 2025, was €0.8 billion, remaining at a low level similar to March 31, 2025.
Return on Capital Employed (ROCE) decreased, as the increase in net profit was offset by a significant increase in average capital due to the Altair acquisition.
Reference and Contact Information
This document is a Japanese translation of the press release issued by Siemens AG (Munich, Germany) on August 7, 2025 (local time). The official languages of this document are German and English, and their content and interpretation take precedence. The original press release and related materials can be found at the following URL (in English):
https://press.siemens.com/global/en/pressrelease/earnings-release-and-financial-results-q3-fy-2025
Media Inquiries:
Siemens Japan K.K. Public Relations Agency
Prap Japan Inc. Sato, Fujii
E-mail: siemens@prap.co.jp
