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Siemens optimistic for 2019 despite energy woes

November 09, 2018 00:00:00

FRANKFURT AM MAIN, Nov 08 (AFP): Siemens on Thursday expressed optimism for the year ahead despite a "difficult environment" as the German industrial behemoth embarks on a revamp to counter falling demand for its large gas turbines.

The conglomerate reported a net profit of 6.1 billion euros ($7.0 billion) for its 2017/2018 fiscal year, the same level as the previous year.

Revenues at the sprawling group - which also builds trains, industrial robots and medical scanners - climbed two per cent to 83 billion euros.

"This shows the strength of our global team which competed convincingly in both growth markets and difficult environments, and achieved another strong performance," said chief executive Joe Kaeser in a statement.

Looking solely at the fourth quarter, net profit slumped 46 per cent to 681 million euros on the back of "sharply higher" tax expenses and negative currency effects.

Earnings were also dragged down by Siemens' ailing power and gas unit which has long struggled with declining demand as energy trends shift towards renewables.

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