Mucahithan Avcioglu
14 February 2025•Update: 14 February 2025
ISTANBUL
German industrial giant Siemens announced on Thursday that its net income increased by 52% on an annual basis in the first quarter of 2025.
The company's net income reached €3.9 billion ($4.1 billion), although that figure includes a one-time €2.1 billion gain from the sale of motor-maker Innomotics.
First quarter revenue also grew 3% year-on-year, reaching €18.4 billion.
The positive figures come despite a decline in total orders, which dropped 7%, primarily due to a sharp decline in orders in the mobility sector of the business, Siemens said.
Net income in the industrial business line amounted to €2.5 billion, with a profit margin of 14.1%.
Siemens' first-quarter free cash flow increased sharply to €1.6 billion, which Chief Financial Officer Ralf P. Thomas said sets an “excellent foundation” to the year.
"With a promising start to fiscal 2025, we are creating clear momentum for continued value creation for our stakeholders. Our technologies enable our customers to combine the real and digital worlds to improve competitiveness, resilience and sustainability,” said Roland Busch, the president and CEO of Siemens.
Busch added that management sees “strong traction in bringing real-world impact with our leadership in industrial AI.”
The company anticipates moderate macroeconomic growth for the year, uncertainty surrounding trade conflicts, as well as overcapacity in the manufacturing sector and weak consumer demand.
It also says that infrastructure markets, especially in electrification and mobility, remain strong.
Siemens is one of the largest industrial manufacturing companies in Europe.
