By Ed Frankl

 

Shares in Siemens rose sharply Thursday after its first-quarter revenue and profit rose on expectations-busting orders.

At 0830 GMT, shares were up 6.7% at EUR147.46.

Revenue in the three months to December was 16.50 billion euros ($18.85 billion), up from EUR14.07 in the same period last year, on orders that climbed 42% on a comparable basis to EUR24.21 billion, the industrial conglomerate said.

That made for a book-to-bill ratio of 1.47, which Siemens called "an extraordinarily high level".

Analysts had anticipated revenue at EUR15.95 billion and orders at EUR18.03 billion, according to consensus forecasts provided by the company.

"We had a very successful start into fiscal 2022. All our businesses continued their high-value growth," Chief Executive Roland Busch said.

Profit of EUR2.46 billion at the Munich-based company's industrial business rose 12% and also beat analysts' estimates of EUR2.27 billion, with a healthy 15.7% margin that topped views of 15%. The company also confirmed its 2022 full-year outlook.

However, despite a strong beat on orders and margins, the unchanged outlook could be seen as conservative, analysts at Citi said. Market expectations could now be for a guidance raise with second-quarter earnings, they added.

Speaking to the media, Siemens's Chief Financial Officer Ralf P. Thomas said after a successful first quarter, the company had the potential to reach or exceed the upper end of its 2022 EPS target range of EUR8.70 to EUR9.10.

 

Write to Ed Frankl at edward.frankl@dowjones.com

 

(END) Dow Jones Newswires

February 10, 2022 04:05 ET (09:05 GMT)

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