Siemens (SIE) Q3 2026 (Media) earnings summary

Executive summary

• Achieved record third-quarter results with strong growth in orders, revenue, and profit across all industrial businesses, driven by Smart Infrastructure and Digital Industries, despite volatile geopolitical conditions.

• Raised full-year and FY 2026 outlook following robust operational execution, innovation acceleration, and margin expansion in DI and SI.

• Free cash flow reached €4.1 billion, up over 40% year-over-year, supporting a double-digit free-cash-flow return on revenue and ongoing share buyback program.

• Progress on Siemens Healthineers deconsolidation; binding tax authority approvals received, spin-off planned for February 2027.

• Continued execution of ONE Tech strategy, leveraging digitalization, AI, and strategic partnerships to fuel growth.

Financial highlights

• Orders up 14% year-over-year to €27.9 billion; record backlog at €132 billion; book-to-bill ratio at 1.34.

• Revenue up 8% year-over-year to €20.8 billion, led by DI and SI; all regions contributed.

• Profit Industrial Business hit a record €3.5 billion, margin at 17.3%; EPS pre-PPA was €3.14.

• Free cash flow jumped 42% year-over-year to €4.1 billion; cash conversion rate improved to 1.61.

• Net income after nine months was €7.04 billion, down 18% year-over-year due to prior year's Innomotics sale; Q3 net income grew 15% to €2.6 billion.

Outlook and guidance

• Raised FY 2026 group outlook: EPS pre-PPA now €11.20–€11.50 (previously €10.70–€11.10).

• Group revenue growth expected at upper half of 6–8% range; book-to-bill ratio above 1.

• DI guidance: revenue growth 7–10%, profit margin 17–19%.

• SI revenue guidance raised to 10–11%, profit margin outlook lifted to 18.5–19.5%.

• Mobility revenue growth 5–7%, profit margin 8–10%, with Q4 acceleration expected.