BERLIN (dpa-AFX) - Siemens AG (SIEGY.PK, SMAWF) reported that its first-quarter net income attributable to shareholders dropped to 1.01 billion euros or 1.24 euros per share from 2.19 billion euros or 2.64 euros per share last year.
The latest-quarter results was burdened by 0.08 euros from severance charges; the change year-over-year is due to two substantial positive factors outside of Industrial Business in the prior-year period: a gain from the sale of shares in OSRAM Licht AG and sharply lower income tax expenses related to U.S. tax reform.
Adjusted EBITA for Industrial Business was lower, at 2.1 billion euros, due mainly to a decline in Power and Gas; Industrial Business Adjusted EBITA margin at 10.2%, held back by severance charges amounting to 0.4 percentage points.
Revenue for the quarter grew to 20.12 billion euros from 19.82 billion euros last year. Orders increased 13% on a comparable basis, excluding currency translation and portfolio effects, and revenue grew 2% compared to last year.
On a nominal basis, orders rose 12%, to 25.2 billion euros and revenue was up 1%, to 20.1 billion euros; the book-to-bill ratio was 1.25.
For fiscal 2019, the company expects moderate growth in revenue, net of currency translation and portfolio effects. It further anticipates that orders will exceed revenue for a book-to-bill ratio above 1. It expects a profit margin of 11.0% to 12.0% for Industrial Business based on current organizational structure, excluding severance charges.
The company expects basic earnings per share from net income in the range of 6.30 euros to 7.00 euros also excluding severance charges. Fiscal 2018 basic earnings per share from net income of 7.12 euros benefited from 1.87 euros per share in portfolio gains related to our stakes in Atos SE and OSRAM Licht AG and was burdened by 0.76 euros from severance charges, resulting in 6.01 euros excluding these factors.
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