Siemens profit down on slow power business
Industrial machinery maker Siemens AG says net profit fell 25 percent in its most recent quarter as revalued financial derivatives and lower earnings at its key power and gas business weighed on the bottom line. Net income fell to 1.095 billion ($2.184 billion) in the October-December quarter, the company's fiscal first. That was down from 1.457 billion euros a year previously. The earnings figure fell short of the 1.218 billion euros expected by analysts surveyed by financial information provider FactSet. Revenues were up 5 percent to 17.415 billion euros, boosted by favorable currency exchange rates. CEO Joe Kaeser said Tuesday net profit was hurt by reassessment of financial derivatives due to the low interest-rate environment. That came on top of a 39 percent drop in profits at its business making power generating turbines.
Last Update: January 27, 2015 22:57