Pickup in private capex critical for more gains in Siemens

Even as the results of Siemens for the second quarter of 2025-26 (Q2FY26) were a mixed bag, the stock was the top gainer in the BSE 200 index, rising 4.92 per cent in trade. Most brokerages are neutral or positive on the company.

- DEVANGSHU DATTA

The revenues beat consensus estimates while operating profit and net profit were below expectations. The order inflows were reasonable, though lower than consensus. The financial year-ending has been changed to March (versus September), which makes direct comparison more difficult along with the tricky adjustments related to the demerger. This financial year will actually be extended to 18 months ending March 31, 2026. Revenue expansion was led by mobility and smart infra segments, with sales at 5,171 crore (up 46 per cent year-on-year or Yo-Y, and up 49 percent quarter-on-quarter or Q-o-Q). Mobility revenues were up 29 per cent Yo-Y at ₹1,135 crore, and smart infra was up 20 percent Yo-Y at ₹2,725 crore. Digital industries segment was flat at ₹1,067 crore, with management pointing to low order backlog and delay in pickup in private capex. The low-voltage motor segment reported 5 per cent Yo-Y growth at ₹270 crore. Capex of ₹460 crore will add capacity in transformer and reactor businesses.