Siemens flags continued slump in energy markets

Munich

SIEMENS AG signalled that a slump in demand for energy-generating equipment is set to continue in the coming fiscal year after weaker orders led to a sharp drop in fourth-quarter profit at its power-and-gas division.

Industrial business profit slid 10 per cent to 2.2 billion euros (S$3.5 billion), the Munich-based company reported on Thursday, missing an average estimate of 2.45 billion euros by analysts. Profit at the power-and-gas division declined by 40 per cent while orders for new equipment dropped.