Siemens 2011 Annual Report Download - page 182

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

amounted to € million (pretax) in fiscal , including €
million for carve-out costs. Siemens expects the transaction
to result in substantial cash outflows in coming quarters.
OSRAM was also reclassified as discontinued operations in
fiscal . It made a positive contribution to net income in
both periods under review, including € million in the cur-
rent period and € million in fiscal . Overall, discontin-
ued operations resulted in a loss of € million in fiscal ,
compared to a loss of € million a year earlier.
Free cash flow from continuing operations was €. bil-
lion. In the prior fiscal year, Free cash flow from continuing
operations was €. billion. The decline year-over-year was
mainly due to the Energy Sector which significantly built up
its net working capital, particularly including inventories.
Lower Free cash flow at Healthcare was more than offset by
an increase at Industry as well as lower cash outflows outside
the Sectors year-over-year.
We improved our capital efficiency. On a continuing basis,
return on capital employed (ROCE) (adjusted) increased to
.%, up from .% in fiscal . The difference was due
primarily to higher income from continuing operations and,
to a lesser extent, to a decline in average capital employed
year-over-year. Within these numbers, the effect from the
Areva gain of €. billion (pretax) and the adverse arbitra-
tion decision of € million (pretax) together represented a
positive . percentage points on ROCE (adjusted) in the cur-
rent period, while the pretax impairment charges of €.
billion at Diagnostics in fiscal  cut . percentage points
from ROCE (adjusted).
We propose to increase the dividend. The Siemens Manag-
ing Board, in agreement with the Supervisory Board, proposes
a dividend of €. per share. The prior-year dividend was
€. per share. Based on shares outstanding as of September
, , this proposal corresponds with a dividend payment
of % of Siemens’ net income for fiscal .
Free cash flow (in millions of €)
Total Sectors Continuing operations Continuing and dis-
continued operations
FY  FY 
7,0435,885 7,013
5,150
8,299 9,826
(16)%
(16)% (27)%
Dividend per share (in €)
FY 2011 3.00
1
FY 2010 2.70
FY 2009 1.60
FY 2008 1.60
FY 2007 1.60
1 Proposed by the Managing Board in agreement with the Supervisory Board;
to be approved by the shareholders at the Annual Shareholders’ Meeting on
January , .