Siemens misses Q1 profit forecast as power problems persist

  • Siemens reported a 6 percent fall in adjusted operating profit for its industrial business during the three months ended Dec. 31 to 2.07 billion euros ($2.37 billion).
  • It missed the forecast for 2.15 billion euros in a Reuters poll as profits at its power business plunged.

Siemens' Charlotte Energy Hub is one of the locations within its apprenticeship program.
Siemens' Charlotte Energy Hub is one of the locations within its apprenticeship program.

Siemens reported weaker-than-expected industrial profit during its first quarter, the German industrial group said on Wednesday, adding it still expected to complete its mega rail merger with France's Alstom in the first half of this year.

Siemens reported a 6 percent fall in adjusted operating profit for its industrial business during the three months ended Dec. 31 to 2.07 billion euros ($2.37 billion), missing the forecast for 2.15 billion euros in a Reuters poll as profits at its power business plunged.

Its Power and Gas business, which has been hit by collapsing demand for giant turbines as the global energy industry shifts towards renewable sources like wind and solar and away from fossil fuel power plants, suffered a 50 percent drop in operating profits during the quarter.