Q2FY21 Company Update - Siemens Ltd - ICICI Direct

Siemens Ltd (Siemens) reported consolidated revenue at Rs. 3483.7 crore, up 22.8% YoY amid a low base. Gas & power, smart infrastructure, digital industries, mobility segments contributed ~34%, ~32%, 22%, 7%, respectively. EBITDA came in at Rs. 457.8 crore with EBITDA margin of 13.1% (vs. Rs. 8.5% in Q2FY20) supported by reduced employee and other expenses. Sequentially, EBITDA margins improved 60 bps. PAT came in at Rs. 321.9 crore, up 83% YoY on a low base owing to superior performance in key segments. Order inflows came in at Rs. 3309 crore, up 16.9% YoY led by order growth across all businesses. Order backlog was healthy at Rs. 12677 crore.

Valuation & Outlook

Overall, Siemens is expected to further strengthen its leadership position through further penetration of automation and digitisation products & services across segments, particularly in digital industries, smart infrastructure, mobility segments, driving long term growth. We revise our target price to Rs. 2295/share (earlier Rs. 2210) and maintain BUY rating, implying multiple of 50x on FY23E EPS for core business and valuing C&S business at 1.7x on FY23E sales.

For details, click on the link below: Link to the Report

Shares of SIEMENS LTD. was last trading in BSE at Rs.1947 as compared to the previous close of Rs. 1882.6. The total number of shares traded during the day was 23435 in over 1726 trades.

The stock hit an intraday high of Rs. 1963.8 and intraday low of 1868.7. The net turnover during the day was Rs. 45187635.

Source : Equity Bulls

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