New markets. New products. New technologies. Artificial Intelligence. Siemens is an innovation leader for industrial AI. We combine the real and the digital worlds. For the next stage of growth. Welcome. Annual General Assembly 2026.
Let's jump in time together, back to a world without electricity. Back then, horses pulled our loads, steam powered our machines. Then came electricity. A key technology. It changed everything. An industrial revolution. And Siemens was there from the beginning. We scaled electricity, power grids, locomotives, trains, machines and their control. That's how Siemens grew. Today, we are scaling a new key technology, and this time it's about intelligence, artificial intelligence. AI is changing how we develop products, how we build buildings, how we operate infrastructure. AI makes systems intelligent, grids, cities, industries, entire economies. And it's again the start of an industrial revolution, and once again, Siemens is at the forefront. Welcome, dear shareholders, to the Siemens Annual Shareholders' Meeting 2026.
What's happening in the world right now, in industry, is historic. Siemens is very close, much closer than other companies, to the industrial applications of AI, to the real world. We are at a key point where intelligence becomes effective, beneficial for our customers, for Siemens, and for you. Let's look at the results of the past fiscal year. On a comparable basis, they are strong. Order intake increased by six percent to 87.4 billion euros. In Digital Industries, plus eight percent. Order backlog was 117 billion euros. Revenue increased by five percent to 78.9 billion euros. The industrial businesses achieved a record result of 11.8 billion euros with an earnings margin of 15.4%. Net profit after tax increased by sixteen percent to 10.4 billion euros, a historic high for the third time in a row. Free cash flow was 10.8 billion euros, higher than ever before. Diluted earnings per share were 10.71 euros. We propose an increase in the dividend by 15 cents to 5.35 euros, the fifth consecutive increase. The Siemens share price rose from 181 to 229 euros, a plus of 26% in fiscal 2025. If you bought a share on September 30, 2020, by the end of the last fiscal year, that share generated a total return of 143% for you, compared to the DAX at 87%.
In short: Our strategy is working. We are connecting the real with the digital world. Siemens is stronger today than ever before, and we create value for you, for our customers, for society and the environment, and always with the highest integrity. We are aiming even higher for the next stage of growth with our One Tech Company program. I presented it a year ago. The goals: stronger customer focus, faster innovations, higher profitable growth. We addressed the core questions: Which businesses do we operate, and how? We strategically acquired Altair Engineering and Dotmatics, an investment of fifteen billion dollars in software and AI. In Industrial Software, we are number one worldwide. We plan to reduce our majority stake in Siemens Healthineers and transfer thirty percent of the shares to you. In the medium term, we want to reduce our stake to a purely financial investment. The synergies are becoming weaker, and Siemens will become an even more focused tech company. Acting more consistently as one company where size is an advantage: a consistent data architecture, a technology foundation, and a sales approach.
For Voith, we believe that only secure and scalable data collaboration can unlock the full potential, especially for industrial AI in manufacturing and production. By joining forces with industry leaders, we aim to accelerate innovation, improve efficiency, and shape the future towards a data-driven production. But for that, you need to come to a joint model, to a joint sharing of data between the different processes. And this is the reason why we said we need to join that alliance to bring together all that data, enhance the data with AI, to come up with the next big jump in productivity for our customers.
Data, the basis for industrial AI. But you also have to do something with the data, structure it, process it, and use it. That's what we do with the vast amounts of data that Siemens itself has: engineering, design, manufacturing, buildings, operational use. We are building a strong technology foundation for all Siemens businesses and our customers. Example: Software as a Service. More than 24,000 customers now rely on this model. Seven out of ten are new customers, and almost nine out of ten are small and medium-sized enterprises. Almost all our software is offered on the Siemens Xcelerator marketplace, an open digital business platform with around 700 software offerings. We build the infrastructure for these offerings only once. The same logic applies to the sales approach. Every Siemens customer has one digital customer number, and we can see in real time what each customer wants and buys. Unified tools, integrated digital sales systems, and more time for our customers.
Our growth is accelerating. In 2019 we promised 4-5% growth. We delivered. In 2021 we raised to 5-7%. We delivered. In November last year we announced a new medium-term ambition of 6-9% revenue growth, already without Healthineers. We have four growth levers: expanding our digital business, investing in growth regions, focusing on growth industries, and further expanding our leading position in industrial AI.
First, the digital business. Revenue in 2025 was 9.4 billion euros, and we expect it to double by 2030. Much of this is done via Siemens Xcelerator. For example, virtual industrial controls: Audi wants to introduce them in all its factories. Data-driven optimizations help buildings save up to 30% energy. Virtual interlocking technology in the cloud is used in Norway, Finland, Austria, Barcelona, Singapore. Grid operators can increase capacity by up to 30% without new hardware.
Second lever: Growth regions. Siemens is represented in almost all countries, which helps cushion trade restrictions. We invest where the world is growing. In the USA, our largest market, we have invested over 100 billion dollars in the last 20 years. In the past two years we invested almost a billion dollars in new manufacturing capacities. In China, we increasingly develop products locally with 'China Speed'. For example, a new Smart PLC developed in China calculates 40% faster, has twice the memory, at 10% lower cost, resulting in 28% revenue growth in Q1. A new drive S200 is more compact, 40% lower cost, with 200% revenue growth in Q1. A new switch, 3MT8, has 10% lower cost and 58% revenue growth in Q1. We are bringing more than 20 additional products to market this year. In India, we are manufacturing locomotives locally, 1,200 of them, a mega-order worth 3 billion euros. The new trade agreement with the EU makes India even more attractive.
Germany remains important to us. We want to contribute to our economy gaining momentum. German companies remain world leaders. The government wants concrete reforms, less regulation, and we support them. More than 120 companies are part of the 'Made for Germany' growth initiative, committing to investments of over 800 billion euros for the next three years. Siemens is investing in Erlangen: 500 million euros for our High-Tech Campus, and we expanded our locomotive plant in Munich for 250 million euros. It is one of the most modern plants in the world.
I'll show you a Vectron locomotive and introduce Katharina Rohrbacher, who heads R&D in Munich-Allach.
Hello Katharina, what have you brought me?
I have brought you a Vectron locomotive. They are manufactured in Munich-Allach, so twenty minutes from here.
By the way, it's called 'der Vectron', not 'die'. What do you do in Allach?
Besides locomotive manufacturing, we also have maintenance services and digital services for our global projects. I head up research and development there. Our trains run for decades, and we have service contracts that run until 2071 and beyond. This means we maintain a very long, intensive partnership with our customers, and it pays off for both sides. The business is growing rapidly.
Manufacturing a locomotive like this in Munich must be very expensive. How is it possible that we produce competitive locomotives there?
It works very well because in Allach we combine everything necessary to be competitive. First, a convincing product. The Vectron is modular and can be used in over 20 countries with various drive and train control systems. Manufacturing is so efficient that we can produce one Vectron every day. Second, customer focus: the Vectron is continuously developed, and we maximize availability for our customers. Third, digitalization: we leverage AI, automation, and the Digital Twin to make processes standardized and efficient in manufacturing, development, and service.
This locomotive can do something others can't. It runs in many countries. Where does it run?
We can list twenty countries. So, that's what the Vectron can do.
And again, on digitalization: what role does digitalization play in such a locomotive?
A very big role. We use digital services for the new Munich S-Bahn. For example, remote updates. Normally, updating train software requires scheduling the train into the depot, manual installation, taking weeks or months. With digital services, we can offer remote updates, massively speeding up throughput times and reducing manual effort.
With this, we are not just creating the product, but truly an intelligent product, a smartphone on rails. And for those who operate our trains, don't worry, we upload the software first, and only when it's ready, is the software activated. Katharina, thank you very much for your great work and continued success.
