Page 1 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Analyst Meet 2010-11
Siemens Ltd.November 28, 2011
Page 2 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Operational Highlights
Financial Analysis
Future Outlook
Page 3 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
‘India is at a central point of our global growth strategy’
India in spotlight
“India is at a central point of our global growth strategy, both in terms of its vibrant domestic market and as a manufacturing base for the global market … India’s contribution to Siemens’ global revenues has been steadily rising.
… We expect the country to play an even larger role in our global operations in the future…
Siemens is excellently positioned to capture an above-average share of the growth taking place in these markets.”
- Mr. Peter Loescher, President and CEO, Siemens AG (September 2011)
Page 4 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Our key thrust areas
InnovationExamples:1. 100th Gas Insulated Switchgear Substation 2. reverse-osmosis machines for water
purification
Base-level strategy1. Order intake doubled as percentage of overall
new orders – 5% to 10%2. On track to achieve target of €1 billion sales
from SMART by 2020
Environmental solutionsExamples:1. Traffic signaling with low-voltage technology2. Monitoring & control systems for cooling / air
quality
Order intake for SMART doubled
Page 5 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Operational Highights
FY 2010-11 was year of moderate growth amid turbulent macro-economic situation
All three Sectors posted steady results. Industry grew by 12%, Energy by 42% & Healthcare by 39% topline.
Initiatives to increase focus on vertical expertise, consolidate operations with operational synergies, value-added services
Moderate, stable growth in turbulent macro-economic situation
Page 6 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Operational Highlights & Sector Performances
Financial Analysis
Future Outlook
Page 7 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Financial Highights of Siemens Ltd.
In Rs. Billion
ROCESep 10 Sep 1125.9% 22.5%
EPSSep 10 Sep 1124.53 24.95
P/ESep 10 Sep 11
33.43 33.73
Rs 6Rs 5Dividend
2%8”4548”272Profit After Tax
+ / - %20112010
1%12”75012”587Profit Before Tax
0.5%11”97410%
11”91713%
Profit from Operations (% of Sales)
28%119”41993”152Sales
-1%122”886124”305New Orders
Page 8 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Stable Order Value
(in Rs. Billion)124”3 122”9
44%
-24%
35%
-1%
Page 9 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Order Value - Normal and Major projects
Major project in Energy include Qatar VII, Qatar IX, UNO Sugen and D Gen
-60%
25%
124”305 122”886-1%Uno Sugen
6”3 received in Q4 2010
Page 10 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
9''4 15''5 16''8
8''3 12''7 12''0 10''8 11''5
16"7
30''1
41''2
82''0
95"7
87"2 88"0
124"3 122"8
'94-95 '95-96 '96-97 '97-98 '98-99 '99-00 '00-01 '01-02 '02-03 '03-04 '04-05 '05-06 '06-07 '07-08 '08-09 '09-10 '10-11
Steady New Order Bookings
(in Rs. Billion)
Near-recession
Rec
over
y
Growth moderation
Page 11 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Steady growth in Sales
Sep 10 Sep 11
41.8 46.9
43.2
61.47.5
10.5
0.5
0.6
Industry EnergyHealthcare SRE & Others
39%
42%
12%
93”2
119”4
28%
(in Rs. Billion)
Page 12 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
8''7 11''7
17''5
9''9 10''5 11''1 11''6 12''9 14''2
17''9
27''4
45''1
77"283"0 83"9
93"2
119"4
'94-95 '95-96 '96-97 '97-98 '98-99 '99-00 '00-01 '01-02 '02-03 '03-04 '04-05 '05-06 '06-07 '07-08 '08-09 '09-10 '10-11
Sales up 10 times in 10 years; growth continues on higher base in last 3 years
(in Rs. Billion)
Cons
istent
growth
Expo
nenti
al gro
wth
Page 13 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Short cycle product business continues healthy growth
Mining, marine, steel & cement sectors experience slow down.
Commodity price increases affect profitability.
FY 2010 (Rs. Bn)
FY 2011 (Rs. Bn) +/-
Orders 39.2 52.9 35%
Sales 41.8 46.9 12%
Profit from Operations(% of sales)
3.99%
3.98%
1%
Industry Sector
Profitability impacted due to cost overruns, commodity prices and mergers
Page 14 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Energy Sector
FY 2010 (Rs. Bn)
FY 2011 (Rs. Bn) +/-
Orders 76.7 58.2 -24 %
Sales 43.2 61.4 42%
Profit from Operations(% of sales)
7.016%
7.112%
1%
Order Intake grows by 11% on comparable basis after excluding large order intakes.All Divisions register good growth in Sales.Profit impacted by low margins on large orders, commodity prices & pricing pressures.
Excluding impact of large orders in 2010, orders grew by 11%
Page 15 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Healthcare Sector
FY 2010 (Rs. Bn)
FY 2011 (Rs. Bn) +/-
Orders 7.8 11.2 44%
Sales 7.5 10.5 39%
Profit from Operations(% of sales)
0.57%
0.55%
-1%
Healthcare business has performed well
Profit from operations down due to increased price pressures and merger impact of SHDL
Impressive performance in New Orders and Sales
Page 16 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Debtors and Inventory turns
Page 17 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Capital Market Performance FY 2011Siemens’ outperforms the Sensex
Siemens +2%
Sensex -18%
Market Capitalization
30/9/2010 30/9/2011
Rs. 275”6 Rs. 281”260
80
100
120
Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11
Page 18 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
§ All three Sectors registered stable performance
§ Our focus continues to be on
• Profitable growth
• Operational efficiencies
• Project and Risk Management
§ Steady growth in short cycle / product business
§ Strong backlog out of Project business
Siemens demonstrates sustainable growth
Page 19 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Operational Highlights & Sector Performances
Financial Analysis
Future Outlook
Page 20 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
To Sum Up
§ Sustainable, stable operational and financial performance in FY 2010-11
§ Parent company Siemens AG considers India central to global growth; increases stake in Siemens Ltd.
§ Domestic economy facing high inflation, interest rates and input costs, leading to margins being, under pressure
Going ahead:Committed to sustainable growth
Page 21 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Industrial Automation
Customer Services
Drive Technologies
Industry HealthcareEnergy
Fossil
Oil & Gas
Power Transmission
Wind
Clinical Products
Diagnostics
Imaging & Therapy
New organization of Siemens since October 1, 2011 – Four Sectors cover the global trends
Infrastructure & Cities
Mobility and Logistics
Low & Medium Voltage
Rail Systems
Smart Grid
Building Technologies
Metals Technology
Solar
Page 22 Analyst Meet 2011 – Presentation by MD and CFO, Siemens Ltd. – Nov. 28, 2011
Thank You !