Siemens reports record profit thanks to AI, software

MUNICH

German industrial giant Siemens reported record net income for a third consecutive year on Thursday, which company executives credited to growth in areas like software and artificial intelligence.

The Munich-based group netted 10.4 billion euros (about $12.1 billion) in income between October 2024 and September 2025, up 16 percent over the previous year.

"We achieved (record profits) in spite of substantial uncertainties all around the world: geopolitics, new tariffs and protectionism, slow consumer spending," Siemens CEO Roland Busch told reporters and investors.

Adjusted for currency and portfolio effects, orders climbed five percent to 78.9 billion euros.

Siemens forecast revenue in the next year to grow between six and eight percent.

The industrial giant makes products that range from trains and turbines to advanced medical devices and software for factories.

Busch argued that Siemens is well-placed to capitalise on the AI boom: "Siemens is the leader in industrial AI for the real world, and we have everything we need to build from here."

Digital products and services, which sit at the heart of Siemens' corporate strategy, are forecast to grow twice as fast as other business units in the coming year.

Busch said the United States, China and India are key areas of focus for Siemens.

"This broad footprint also increases our resilience, so when tariffs or trade restrictions come up, we can buffer their impact for us," Busch said. "Most of our competitors cannot."

In China, Busch said the growth of higher-end manufacturing — which has posed a major challenge to other German sectors such as carmakers — is an opportunity for Siemens.

"We keep providing high-end automation in China, but we also started building value products for the local market," and the company sees "great potential" for its industrial software in the Chinese market, Busch said.

On Wednesday evening, the group announced plans to reduce its ownership stake in medical technology subsidiary Siemens Healthineers — which accounts for about 30 percent of overall group revenue — in preparation for a spinoff.

The move is aimed to "further simplify Siemens' portfolio and refine its profile as a specialised technology company," the group said on Wednesday.

"This will unlock long term value for all our shareholders because it will allow both companies to tap fully into their respective growth potentials," Busch said on Thursday.