Siemens India Share Price in Focus: Dropped Over 2% Intraday

On December 23, 2024, Siemens India share price opened at ₹6,860.05 reflecting a slight dip of 0.13% from the previous close of ₹6,868.90. This follows a significant 10% decline in the stock price on Friday, December 20, driven by concerns sparked by the company’s management commentary. The drop marked Siemens India’s steepest single-day fall since June 2024, as investors reacted negatively to the statements, which affected market sentiment.

Siemens India Business Developments

• Siemens Ltd. announced the expansion of two of its 32 factories in India. This follows the capacity expansions of the Power Transformer factory in Kalwa and the Vacuum Interrupter factory in Goa, which were disclosed in November 2023. With these expansions, the company’s total capital expenditure (Capex) investment is expected to exceed INR 1,000 crore.
• Siemens India is planning to demerge its Grid & Power segment into a separate entity, Siemens Energy India. This demerger will allow both companies to focus on their specific strategies and make capital allocation decisions. The demerger is awaiting regulatory approvals.
• Additionally, Siemens Ltd. will invest INR 186 crore to develop a state-of-the-art metro train manufacturing facility in Aurangabad, Maharashtra, slated for phased completion by 2028. The facility will serve as a key export hub for metro turnkey projects.

Siemens Q2 FY24 Results

Siemens India reported a 45% increase in net profit to ₹775 crore for the July-September quarter, compared to ₹534 crore in the same period last year. This growth was driven by higher revenues, which rose by 11% to ₹5,894 crore, up from ₹5,297 crore in Q2 FY23. New orders surged 37%, reaching ₹6,164 crore, compared to ₹4,498 crore in the year-ago period.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.