MUNICH — German engineering company Siemens AG on Tuesday said net profit declined nearly 25 percent in the first
quarter, hurt in part by economic challenges in Europe and the slide in global oil prices.
Net profit for the fiscal quarter ended Dec. 31 was EUR1.08 billion ($1.21 billion), compared with EUR1.43 billion during the same period last year. Profit from continuing operations was down 18 percent to EUR1.11 billion, falling short of analysts’ expectations. Analysts had forecast net profit from continuing operations of EUR1.26 billion, according to a poll by The Wall Street Journal.
Revenue jumped by 5 percent to EUR17.42 billion from EUR16.58 billion, helped by a weaker euro. Analysts had forecast revenue of EUR17.16 billion.
In the wind division, orders were down 44 percent from 2.3 billion to EUR1.3 billion, although revenue was up 8 percent and profit margins increased by 5.4 percent.