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Supported by an already strong order backlog, the company expected revenue, which was €69 billion for continuing operations in fiscal 2010, to return to mid-single-digit organic growth in 2011.
Siemens further anticipated income from continuing operations to be at least €7.5 billion in 2011, from €4.3 billion in fiscal 2010, said the release.
“We’ve achieved outstanding, broad-based orders growth. We’re raising our earnings forecast for fiscal 2011 to at least €7.5 billion,” said Siemens President and CEO Peter Löscher.
In the second quarter of fiscal 2011, income from continuing operations more than doubled due to a strong improvement in operating profit and proceeds from the sale of Siemens’ 34 per cent stake in Areva NP. New orders surged 28 per cent to €20.7 billion. Revenue climbed seven per cent to €17.7 billion. Both results also profited from above-average growth in the emerging countries.
The book-to-bill ratio in the second quarter was 1.17. At €92 billion, the combined backlog for the sectors, including industry, energy and healthcare, was at the record level of the prior quarter, despite negative currency translation effects.
Specifically, with a record-setting 51 per cent increase in order intake, the energy sector was the top growth driver. It profited from a number of major orders for fossil power plants, wind power turbines and power transmission systems. Revenue at this sector climbed eight per cent.
At 22 per cent, the increase in new orders at the industry sector was also in the double-digit range. This sector’s revenue rose nine per cent. The largest gains in new orders were posted by the industry automation, drive technologies and mobility divisions.
At the healthcare sector, new orders increased six percent and revenue five percent.
Siemens AG (Berlin and Munich) is a global powerhouse in electronics and electrical engineering, operating in the industry, energy and healthcare sectors. For over 160 years, Siemens has stood for technological excellence, innovation,
quality, reliability and internationality. The company is the world’s largest provider of environmental technologies. More than one-third of its total revenue stems from green products and solutions.
In fiscal 2010, which ended on September 30, 2010, revenue from continuing operations (excluding Osram and Siemens IT Solutions and Services) totaled €69 billion and net income from continuing operations €4.3 billion. At the end of September 2010, Siemens had around 336,000 employees worldwide on the basis of continuing operations.