Siemens Hits Record Highs, Then Waves a Currency Red Flag

Siemens braces for macroeconomic turbulence after a stellar financial year  
German industrial giant Siemens posted a record net income of €10.4 billion and free cash flow of €10.8 billion for FY25, driven by robust growth in its Digital Industries and Smart Infrastructure divisions. However, the company’s Q4 earnings call revealed concerns about currency volatility and integration costs from recent acquisitions.

Siemens expects its FY26 earnings per share (EPS) to range between €10.40 and €11, falling short of analyst expectations of €11.54. The company also announced a dividend hike to €5.35 per share and plans to reduce its stake in Siemens Healthineers from 67% to 37%, signaling a strategic shift in capital allocation.

Notable updates  

• FY25 net income reached €10.4 billion, up 16% year-on-year  
• Free cash flow hit an all-time high of €10.8 billion  
• FY26 EPS guidance of €10.40–€11 falls below analyst consensus  
• Currency headwinds and acquisition costs cited as key challenges  
• Dividend raised to €5.35 per share; Siemens to cut Healthineers stake to 37%  
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Sources: Wall Street Journal, Blockonomi, Euronews Business