Siemens Share Price: Siemens Ltd. has reported a robust performance in its Q4 FY24 results, driven by solid demand across its business segments. The company saw a 45.4% year-on-year (YoY) increase in net profit, strong revenue growth, and an impressive surge in order bookings.
Q4 FY24 Key Financial Highlights
- Net Profit:
- ₹830.7 crore, up 45.4% YoY from ₹571.3 crore in Q4 FY23.
- Revenue from Operations:
- Increased by 11.2% YoY to ₹6,461 crore, compared to ₹5,807.7 crore in the same period last year.
- EBITDA:
- Jumped 34% YoY to ₹938 crore, compared to ₹700.2 crore in Q4 FY23.
- EBITDA Margin: Improved to 14.5% from 12.1% in the year-ago quarter.
- Order Book:
- New orders surged 37% YoY to ₹6,164 crore, compared to ₹4,498 crore last year. Excluding the large Indian Railways order, FY24 orders grew 14% YoY.
Business Updates
- Dividend Recommendation:
Siemens has proposed a dividend of ₹12 per equity share (600%) for FY24, subject to approval at the AGM. If approved, the payout will be made on February 14, 2025. - Capex Expansion:
The company announced an additional ₹100 crore for expanding its Power Transformer factory in Kalwa, Maharashtra, bringing the total investment to ₹460 crore. This move aims to enhance product offerings and manufacturing capabilities.
Stock Market Reaction
- Opening Price (Nov 27, 2024): ₹7,439.95
- Day’s High: ₹7,485.80
Investors reacted positively to the strong financial performance, with Siemens shares showing bullish trends in morning trade.
Key Growth Drivers
- Order Book Strength:
A 37% YoY rise in new orders reflects sustained demand, particularly in infrastructure, automation, and mobility. - Operational Efficiency:
Improved EBITDA margin highlights Siemens’ focus on cost optimization and higher-margin business segments. - Capex Initiatives:
The expanded investment in its Kalwa plant underscores the company’s commitment to meeting increasing demand in the energy sector.
Industry Insights and Analyst View
- Positive Sentiment: The rise in profit and revenue demonstrates Siemens’ ability to leverage India’s infrastructure and energy transformation drive.
- Challenges Ahead: Margin expansion in future quarters could face pressure from inflationary trends and global uncertainties.
