Siemens (SIE) Investor presentation summary

Transformation and growth trajectory

• Achieved significant value creation with revenue CAGR of 8% and profit margin increase to ~15% from FY21-25, outperforming major indices in total shareholder return by a wide margin.

• Record FY25 results: revenue €88.4bn (+5%), orders €84.1bn (+6%), free cash flow €10.8bn (+14%), and net income €11.4bn (+16%).

• Strategy focuses on combining real and digital worlds, leading in automation, grid protection, rail infrastructure, and industrial software.

• ONE Tech Company program targets stronger customer focus, faster innovation, and higher profitable growth.

• Portfolio transformation includes high-growth software acquisitions and divestments, with a plan to deconsolidate Siemens Healthineers via a 30% spin-off.

Portfolio and business segments

• Post-spin-off, the portfolio is highly synergistic and focused on scaling, with capital reallocation to higher synergy businesses.

• Digital Industries FY25: €17.8bn revenue, 15.9% margin; Smart Infrastructure: €23.0bn, 18.3% margin; Mobility: €12.4bn, 8.8% margin.

• Digital Industries Software recurring revenue doubled from FY20 to FY25, with SaaS and cloud ARR exceeding targets.

• Smart Infrastructure digital revenue tripled since FY20, with strong growth in data centers and power utilities.

• Mobility segment leverages digitalized rail automation and service ecosystems, with global leadership in rail infrastructure.

Growth drivers and market opportunities

• Five secular growth drivers: AI, automation, digitalization, electrification, and sustainability.

• Addressed markets (excl. Healthineers) expected to grow at ~6% CAGR FY25-30e, with digital markets at ~11%.

• Digital business revenue to double by FY30e, driven by SaaS, IoT, and strategic partnerships.

• Regional growth fueled by major investments in the US, China, India, and Germany, with tailored offerings and local production.

• Vertical markets such as data centers, life sciences, rail, aerospace, and semiconductors targeted for high growth.