An €800m order to install ERTMS on around 4200km of track in Norway, Siemens’ largest-ever rail infrastructure order including service, helped boost the division’s order volume, while revenue in the majority of businesses, notably in the rolling stock and related services within Europe, CIS, Africa and the Middle East also grew.
Profit was close to the prior-year level and was impacted by mixed effects, but Siemens says the profit margin was well within the target range.
In July, more than 95% of Alstom’s shareholders approved the merger with Siemens Mobility, which Siemens and Alstom say they expect to close in the first half of 2019. However, the European Commission has launched an “in-depth” investigation into the merger amid concerns that the combination may adversely affect competition in the signalling and rolling stock markets.
Overall, Siemens reported a 16% growth in orders to €22.8bn, offset by a 4% decrease in revenue to €20.4bn, which the company says is due to negative currency translation effects.