Siemens 2011 Annual Report Download - page 154

6 A. To our shareholders
23 B. Corporate Governance 51 C. Combined management’s discussion and analysis
52 C. Business and operating environment
80 C.2 Fiscal  – Financial summary
83 C. Results of operations
101 C. Financial position
114 C. Net assets position
117 C. Overall assessment of the economic position
118 C. Report on post-balance sheet date events
119 C. Report on expected developments and
associated material opportunities and risks
135 C. Information required pursuant to Section  ()
and Section  () of the German Commercial
Code (HGB) and explanatory report

Our Energy Sector offers a wide spectrum of products, servic-
es and solutions for the generation, transmission and distribu-
tion of power, and the extraction, conversion and transport of
oil and gas. It primarily addresses the needs of energy provid-
ers, but also serves industrial companies, particularly in the
oil and gas industry. The Energy Sector covers the whole ener-
gy conversion chain. During fiscal , our Energy Sector was
made up of the six Divisions, Fossil Power Generation, Renew-
able Energy, Oil & Gas, Energy Service, Power Transmission
and Power Distribution. Financial results relating to the Ener-
gy Service Division are reported in the Divisions Fossil Power
Generation and Oil & Gas. Many of the business activities of
our Energy Sector are characterized by relatively long-term
projects and as such are relatively independent of short-term
economic conditions. As of September , , the Energy
Sector had , employees and reported external revenue
of €. billion for fiscal . Thereof, % was attributable
to Europe, C.I.S., Africa, Middle East, % to the Americas, and
% to Asia, Australia. The United States (U.S.) was the largest
single national market for Energy in fiscal , accounting for
% of external revenue for the Sector. Following the organi-
zational changes which became effective as of October , ,
the Sector’s Renewable Energy Division was split into a Wind
Power Division and a Solar & Hydro Division.
Our Healthcare Sector offers customers a comprehensive
portfolio of medical solutions across the value-added chain –
ranging from medical imaging to in vitro diagnostics to inter-
ventional systems and clinical information technology sys-
tems – all from a single source. In addition, the Sector pro-
vides technical maintenance, professional and consulting ser-
vices, and, together with SFS, financing to assist customers in
purchasing the Sector’s products. The Sector comprises the
three Divisions Imaging & Therapy Systems, Clinical Products
and Diagnostics. Furthermore, the Sector consists of the Sec-
tor Operational Unit Customer Solutions that manages the
sales and service organization as well as the Business Unit
covering hospital information systems and Audiology Solu-
tions, a sector-led Business Unit that provides hearing aids. In
addition to the financial results for the Sector, financial results
are also reported externally for the Diagnostics Division. The
Sector’s business activities are relatively unaffected by short-
term economic trends but are dependent on regulatory and
policy developments around the world. As of September ,
, the Healthcare Sector had , employees, and in fis-
cal  reported external revenues of €. billion. Of this
figure, % was attributable to the region comprising Europe,
C.I.S., Africa and the Middle East, % to the Americas, and
% to Asia, Australia. By far the largest single national market
for Healthcare is the U.S., with % of external revenue for the
Sector during fiscal .
In general, the segment Equity Investments comprises equi-
ty stakes held by Siemens that are accounted for by the equity
method, at cost or as current available-for-sale financial assets
and are not allocated to a Sector, SFS, Centrally managed port-
folio activities, Siemens Real Estate (SRE), Corporate items or
Corporate Treasury for strategic reasons. Our main invest-
ments within Equity Investments are our stake of approxi-
mately .% in Nokia Siemens Networks B.V. (NSN), our
.% stake in BSH Bosch und Siemens Hausgeräte GmbH
(BSH) as well as our .% stake in Enterprise Networks Hold-
ings B.V. (EN).
Financial Services (SFS) is an international provider of finan-
cial solutions in the business-to-business area. SFS supports
Siemens as well as third parties in the industry areas of indus-
try, infrastructure, energy, and healthcare. SFS finances infra-
structure, equipment and working capital and supports and
advises Siemens concerning financial risk and investment
management. By integrating financing expertise and industri-
al know-how, SFS creates value for its customers and helps
them strengthen their competitiveness. As of September ,
, SFS had , employees.
Within this report, we provide financial measures for our
three Sectors and for eleven Divisions of our Sectors. These fi-
nancial measures include: new orders, revenue, profit and
profit margin. For Equity Investments we report profit, and for
SFS we report profit and total assets. Free cash flow and fur-
ther information is reported for each reportable segment in
the Notes to Consolidated Financial Statements. For informa-
tion related to the definition of these financial measures and
to the reconciliation of segment financial measures to the
Consolidated Financial Statements, see C. Notes and for-
ward-looking statements and D. Notes to Consolidated
Financial Statements.