Siemens 2009 Annual Report Download - page 152

64
 Reports Supervisory Board /
Managing Board  Corporate Governance  Management’s discussion and analysis  Consolidated Financial Statements
44 Business and operating environment 63 Fiscal 2009 – Financial summary 66 Results of operations 84 Financial position
Europe, the Commonwealth of Independent States (C.I.S.),
Africa, and the Middle East.
Orders came in % lower, at €. billion. On an organic
basis, orders were down 14% year-over-year. Orders in the In-
dustry Sector declined due to the market conditions men-
tioned above, while orders in Energy were lower due in part to
customer postponements of large infrastructure projects. Or-
ders were stable in Healthcare. While orders declined in all
three of Siemens’ reporting regions, the Asia, Australia region
saw the smallest drop-off in demand compared to fiscal 2008,
at 6%. The Sectors’ combined book-to-bill ratio for fiscal 2009
was 1.04 and the combined order backlog at the end of the
year stood at €81.2 billion.
Total Sectors profit rose to €. billion. Total Sectors profit
– a measure of the combined profit from our three Sectors –
climbed 13% from €6.606 billion in the prior year, driven by
substantial profit turnarounds at the Fossil Power Generation
and Mobility Divisions. A year earlier, these Divisions posted
losses and took a combined total of more than €1 billion in
project charges. At the Sector level, the Energy and Healthcare
Sectors increased their profit in fiscal 2009, on higher earnings
at all Divisions within Energy and at Healthcare’s two large
Divisions, Imaging & IT and Diagnostics. Industry ’s profit de-
clined year-over-year despite the improvement at Mobility, as
especially lower revenue and related factors reduced profit at
the other Divisions in the Sector.
Income from continuing operations rose to €. billion.
Basic earnings per share (EPS) rose to €2.60. A year earlier, in-
come from continuing operations was €1.859 billion and basic
EPS from continuing operations was €1.91. Both periods in-
cluded substantial negative profit impacts outside the Sectors.
The current year was burdened by impairment charges and
other losses related to NSN within our Equity Investments seg-
ment totaling €2.177 billion. A year earlier, the loss related to
NSN within Equity Investments was €119 million. Fiscal 2008
also included €1.081 billion (pre-tax) in charges for severance
under our global SG&A program, a provision of approximately
€1 billion (pre-tax) related to legal proceedings in the U.S. and
Germany that were resolved during fiscal 2009, and a one-time
endowment of €390 million (pre-tax) related to the establish-
ment of the Siemens Stiftung (foundation) in Germany. Ex-
penses for outside advisors engaged in connection with inves-
tigations into alleged violations of anti-corruption laws and
related matters as well as remediation activities fell to €95 mil-
lion in fiscal 2009 from €430 million a year earlier.
Net income was €. billion compared to €. billion in
fiscal . Basic EPS was €2.65 compared to €6.41 in fiscal
2008. The difference is due to discontinued operations, which
contributed €40 million to net income in fiscal 2009 compared
to €4.027 billion a year earlier. Fiscal 2008 income from discon-
tinued operations included a divestment gain and operating
results related to Siemens VDO Automotive (SV) totaling ap-
proximately €5.5 billion, partly offset by a loss of approxi-
mately €1.0 billion associated with a transfer of 51% of Siemens
Enterprise Communications (SEN) into a joint venture.
Revenue (in millions of €)
Siemens Industry
Sector 1
Energy
Sector 1
Healthcare
Sector 1
FY 2009 FY 2008
1 Includes intersegment revenue.
76,651 77,327 35,043 37,653 25,793 22,577 11,927 11,170
14%
7%
(1)%
(7)%
B25G025_E
New Orders (in millions of €)
Siemens Industry
Sector 
Energy
Sector 
Healthcare
Sector 
FY 2009 FY 2008
1 Includes intersegment orders.
78,991 93,495 33,284 42,374 30,076 33,428 11,950 11,779
(10)%
1%
(16)%
(21)%
B25G026_E