Siemens raised its mid-term growth targets on November 12 after a fiscal 2026 in which comparable orders rose 25% to a record €108.2 billion, with the Munich company naming Industrial AI and data-center demand as the engines of its next phase. The new framework calls for comparable revenue growth of 7% to 11%, up from 6% to 9%, and double-digit growth in earnings per share before purchase price allocation, up from a high-single-digit ambition.
The results cover the fiscal year ended September 30, 2026. Comparable revenue rose 8% to €83.4 billion, and the book-to-bill ratio reached 1.30, compared with 1.12 a year earlier. The order backlog climbed to a record €143 billion from €117 billion.
Data centers were the clearest driver. Siemens' Smart Infrastructure fourth-quarter orders rose 39% on a comparable basis to €8.7 billion, helped by larger electrification and electrical-products contracts from data-center customers, mainly in the US and Europe. The company's investor presentation reported triple-digit order growth in data centers for fiscal 2026, and the vertical now makes up 20% of Smart Infrastructure's revenue exposure, second only to industrial customers.
Key facts
- 01Siemens raised its mid-term comparable revenue growth target to 7%–11% from 6%–9% on November 12, 2026.
- 02Comparable orders rose 25% to a record €108.2 billion in fiscal 2026; the backlog hit a record €143 billion.
- 03Smart Infrastructure Q4 orders jumped 39% to €8.7 billion on data-center electrification contracts.
- 04Digital business revenue rose 16% to €10.9 billion; Industrial Business profit hit a record €13.3 billion.
- 05Fiscal 2027 guidance calls for 9%–11% comparable revenue growth and EPS pre PPA of €10.20–€10.80.
Software is the other half of the Industrial AI pitch. Digital business revenue, which covers vertical software, IoT and digital services, rose 16% to €10.9 billion under the company's ONE Tech Company program. Digital Industries software revenue grew 13% on a comparable basis to €7.2 billion, and comparable annual recurring revenue rose 12% to €6.1 billion. Siemens said its Eigen Engineering Agent made engineering twice as fast at machine builder ANDRITZ Metals.
“Industrial AI is an exceptional growth opportunity, and Siemens is built to win in this space.”— Roland Busch, President and CEO of Siemens AG
Profitability kept pace. Profit in the Industrial Business rose 13% to a record €13.3 billion, and its margin reached a record 16.3%, up from 15.4%. EPS pre PPA came in at €11.76, above the €11.20 to €11.50 range Siemens set when it raised guidance in the third quarter. Group free cash flow reached a record €12.1 billion.
Net income fell to €9.5 billion from €10.4 billion, but the prior year included a €2.1 billion gain from the sale of Innomotics. Siemens proposed a dividend of €5.50 per share, up from €5.35, which goes to shareholders for approval at the annual meeting.
“After an outstanding fourth quarter, we closed fiscal 2026 with records in orders, profit and free cash flow.”— Veronika Bienert, CFO of Siemens AG
Mobility added a large one-off boost. The segment's fourth-quarter orders rose more than 200% to €10.7 billion, including a €2.4 billion German order for high-speed trains and maintenance.
Siemens also set out the mechanics of separating Siemens Healthineers. It plans to transfer 34.1% of its Healthineers stake to its own shareholders, at one Healthineers share for every two Siemens shares, through a direct spin-off during fiscal 2027 that will deconsolidate the medical-technology business.
Because of that spin-off, the fiscal 2027 outlook excludes Healthineers. Siemens expects comparable revenue growth of 9% to 11%, a book-to-bill ratio above 1, and EPS pre PPA of €10.20 to €10.80, against a comparable fiscal 2026 figure of €9.27. Smart Infrastructure is guided to the fastest growth at 11% to 13%, with a 19.5% to 20.5% margin, while Digital Industries is guided to 8% to 12% growth and a 20% to 22% margin.
Management said its forecast assumes continued global expansion driven mainly by AI and digital infrastructure investment, public investment programs and a pickup in industrial activity. Siemens expects capital intensity in fiscal 2027 to be materially higher than in fiscal 2026, mainly from capacity expansion in Smart Infrastructure.
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