Table of Contents
FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
For November 13, 2003
Commission File Number: 1-15174
Siemens Aktiengesellschaft
(Translation of registrant’s name into English)
Wittelsbacherplatz 2
D-80333 Munich
Federal Republic of Germany
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F þ Form 40-F o
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Yes o No þ
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Yes o No þ
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes o No þ
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-
| Key figures | ||||||||
| Press Release | ||||||||
| SIEMENS AG SEGMENT INFORMATION | ||||||||
| CONSOLIDATED STATEMENTS OF INCOME | ||||||||
| CONSOLIDATED STATEMENTS OF CASH FLOW | ||||||||
| CONSOLIDATED BALANCE SHEETS | ||||||||
| EVA performance | ||||||||
| EVA Calculation | ||||||||
| SIGNATURES | ||||||||
Table of Contents
Key figures
| Fiscal year(1) | 4th quarter(2) | ||||||||||||||||
| 2003 | 2002 | 2003 | 2002 | ||||||||||||||
Net income (in millions of euros) |
|||||||||||||||||
Excluding a gain on sales of shares of Infineon Technologies AG (fiscal year 2002) |
2,445 | (3) | 1,661 | 724 | 53 | ||||||||||||
Tax-free gain on sales of shares of Infineon |
936 | ||||||||||||||||
| 2,597 | |||||||||||||||||
Earnings per share (in euros) |
|||||||||||||||||
Excluding a gain on sales of shares of Infineon (fiscal year 2002) |
2.75 | 1.87 | 0.81 | 0.06 | |||||||||||||
Tax-free gain on sales of shares of Infineon |
1.05 | ||||||||||||||||
| 2.92 | |||||||||||||||||
Net cash from operating and investing activities |
1,773 | 4,754 | 1,246 | 1,548 | |||||||||||||
(in millions of euros) |
|||||||||||||||||
| therein: Net cash provided by operating activities | 5,712 | 5,564 | 2,402 | 1,217 | |||||||||||||
Net cash (used in) provided by investing activities |
(3,939 | ) | (810 | ) | (1,156 | ) | 331 | ||||||||||
Supplemental contributions to pension trusts (included in
net cash provided by operating activities) |
(1,192 | ) | (1,782 | ) | (750 | ) | (1,782 | ) | |||||||||
Group profit from Operations |
4,295 | 3,756 | 1,102 | 707 | |||||||||||||
(in millions of euros) |
|||||||||||||||||
New orders |
75,056 | 86,214 | (4) | 18,612 | 19,360 | ||||||||||||
(in millions of euros) |
|||||||||||||||||
Sales |
74,233 | 84,016 | (4) | 19,778 | 21,290 | ||||||||||||
(in millions of euros) |
|||||||||||||||||
| September 30, 2003 | September 30, 2002 | ||||||||
Employees (in thousands) |
417 | 426 | |||||||
Germany |
170 | 175 | |||||||
International |
247 | 251 | |||||||
| (1) | October 1 — September 30. |
| (2) | July 1 — September 30. |
| (3) | Includes a positive effect of €36 million (or €0.04 per share) due to the adoption of SFAS 143, Accounting for Asset Retirement Obligations. |
| (4) | Beginning December 5, 2001 Infineon is accounted for under the equity method of accounting and is no longer consolidated in the financial statements of Siemens. Therefore, in fiscal year 2002, Infineon’s orders and sales are included only for the approximately two months in which Infineon was consolidated in the financial statements of Siemens. |
Note: Beginning during the second quarter of fiscal 2003, Siemens replaced the term “EBIT from Operations” with “Group profit from Operations.” This change and further terminology changes made in the second quarter are explained on the page “Terminology update” at the end of this document. “Group profit from Operations” is reconciled to “Income before income taxes” of Operations under “Reconciliation to financial statements” on the table “Segment information.”
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|
Press Presse Prensa | |
|
For the business and financial press Munich, November 13, 2003 |
Siemens in fiscal 2003 (ended September 30, 2003)
| • | Net income for fiscal 2003 was €2.445 billion, representing a 47% increase from €1.661 billion a year earlier, excluding a tax-free gain of €936 million from sales of Infineon shares. |
| • | Group profit from Operations increased to €4.295 billion. The majority of Siemens Groups reported higher earnings and margins year-over-year. |
| • | Net cash from operating and investing activities was €1.773 billion, including €5.712 billion in net cash from operating activities. Net cash provided by operating activities included cash outflows of €1.192 billion in supplemental cash contributions to Siemens pension trusts. Net cash used in investing activities of €3.939 billion included increases in investments and marketable securities of €957 million, and €929 million for a strategic acquisition at Power Generation. |
| • | Sales were €74.233 billion and orders were €75.056 billion, down 12% and 13%, respectively from the prior year. Adjusting for currency effects and portfolio activities, sales and orders were 4% and 5% lower, respectively, than a year earlier. |
| • | Siemens management proposes a dividend of €1.10 per share. |
| • | For the fourth quarter, net income rose sharply year-over-year, to €724 million, and Group profit from Operations climbed 56%, to €1.102 billion. Net cash from operating and investing activities of €1.246 billion included €750 million in supplemental cash pension contributions. Fourth-quarter sales and orders were 7% and 4% lower than the prior year quarter but rose 14% and 8%, respectively, compared to the third quarter of fiscal 2003. |
| • | In October 2003, at the beginning of the new fiscal year, Siemens made additional supplemental cash pension contributions of €1.255 billion. |
2
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“Operation 2003 has been a clear success,” said Siemens CEO Heinrich v. Pierer. “We increased net income nearly 50% compared to the prior year, on a comparable basis. The other objectives we achieved, such as strong cash flows from Operations, are also signs of improved operational performance. Given the difficult economic environment during fiscal 2003, these achievements represent a major success.”
“Following the volume declines of the past year, which were substantially driven by currency translation, our goal in fiscal 2004 is to restore growth and win market share,” Pierer said. “As a number of our Groups have demonstrated, we are well positioned for this effort, with our clear customer focus, strength in innovation, global competitiveness, and sound financial condition. These qualities also create the basis for double-digit percentage growth in net income for fiscal 2004, assuming generally stable economic conditions.”
For the fiscal year ended September 30, 2003, Siemens reported net income of €2.445 billion and earnings per share of €2.75. Fiscal 2002 included a tax-free gain of €936 million on sales of shares in Infineon Technologies AG, which boosted net income in that period to €2.597 billion and earnings per share to €2.92. Excluding the Infineon gain, net income rose 47% year-over-year from €1.661 billion. The major component of this improvement was growth in Group profit from Operations, which climbed 14% to €4.295 billion for the year. Group profit margins rose at 10 of the 13 Groups in Operations and at Siemens Financial Services (SFS). Losses related to Siemens’ ownership of Infineon decreased and positive effects from Corporate Treasury also contributed to net income growth for the year.
Net cash from operating and investing activities was €1.773 billion in fiscal 2003 compared to €4.754 billion a year earlier, a period which included significant net proceeds from portfolio activities. Within Operations, net cash provided by operating activities was €4.123 billion compared to €4.277 billion in the prior year. Both periods included supplemental cash contributions to Siemens pension trusts, totaling €1.192 billion and €1.782 billion in fiscal 2003 and 2002, respectively. In fiscal 2003, net cash used in investing activities of €3.939 billion included €929 million to acquire the industrial turbine businesses of Alstom S.A., and €957 million in increases in investments and marketable securities.
3
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Sales of €74.233 billion and orders of €75.056 billion reflected macroeconomic conditions, the strong decline in the value of the U.S. dollar relative to the euro during the fiscal year, and the net effects of acquisitions and dispositions compared to fiscal 2002. Excluding currency and portfolio effects (i.e., on a comparable basis), sales and orders were within 4% and 5%, respectively, of prior-year levels. Against this backdrop, a number of Siemens’ earnings leaders increased both sales and orders year-over-year on a comparable basis, including Medical Solutions (Med), Automation and Drives (A&D), Siemens VDO Automotive (SV), and Osram.
Siemens worldwide results for the fourth quarter of fiscal 2003
For the fourth quarter of fiscal 2003, net income rose sharply, to €724 million from €53 million a year earlier, and earnings per share were €0.81, up from €0.06 in the same period a year earlier. The driver again was strong growth in Group profit from Operations, which climbed to €1.102 billion from €707 million in the fourth quarter a year ago. A majority of the Groups improved their bottom lines year-over-year, including a return to profitability at Information and Communication Networks (ICN). Fourth-quarter sales of €19.778 billion were within 2% of prior-year levels on a comparable basis, while fourth-quarter orders of €18.612 billion were 2% higher than a year earlier on a comparable basis. Sales grew 14% compared to the immediately prior quarter, on the strength of double-digit percentage increases at the majority of the Groups. Orders increased 8% compared to the third quarter of fiscal 2003. Net cash from operating activities was €2.402 billion for the fourth quarter, after Siemens made a supplemental cash pension contribution of €750 million. Net cash from operating and investing activities was €1.246 billion, including €424 million to complete the Alstom acquisition.
4
Operations in fiscal 2003
Information and Communications
Information and Communication Networks (ICN)
in the discussions that follow,
“comparable basis” and “comparable change” refer to comparison excluding the effects of currency
translation and the net effects of acquisitions and dispositions
In the Information and Communications business area, ICN improved its
performance despite ongoing market challenges. The positive trend was
particularly evident in the fourth quarter, when ICN posted Group profit of €57
million compared to a loss of €325 million in the same period a year earlier.
The Enterprise Networks and Carrier Networks and Services businesses both
contributed positive earnings in the fourth quarter. For the year as a whole,
ICN cut its loss to €366 million from €691 million in fiscal 2002, a period
that benefited from gains on asset sales and a divestment, partially offset by
an asset impairment. Charges for severance in fiscal 2003 were substantially
lower than in the prior fiscal year. Sales of €7.122 billion and orders of
€7.070 billion reflect the overall contraction in the telecom market
year-over-year. At the division level, the Carrier Networks and Services
business substantially reduced its loss and recorded sales of €3.455 billion
for the year. Enterprise Networks reported progressively higher profits in all
four quarters, and more than doubled its profit year-over-year. The division
benefited primarily from a streamlined cost structure, and also from higher
market demand for lease sales.
5
Information and Communication Mobile (ICM)
Group profit at ICM rose to €180 million in fiscal 2003, including charges for
severance comparable in amount to the prior year. Sales of €9.964 billion and
orders of €9.960 billion reflected the continuing decline in the wireless
infrastructure market. Handset sales at Mobile Phones surged to 39.1 million
units from 33.3 million units a year earlier on strong demand for new products
and sales rose 5% to €4.474 billion for the year. Earnings of €27 million were
down from €82 million a year earlier, as increased competition drove a
reduction in average selling price per unit, and a separately branded handset
line incurred operating losses and charges to inventory. The Cordless Products
business again made a significant contribution to ICM’s Group profit. Mobile
Networks recorded earnings of €116 million, as charges for severance were more
than offset by positive resolutions of customer financing risks and recorded
sales of €4.311 billion. Fourth-quarter Group profit for ICM rose to €49
million from €24 million a year earlier. Within that total, Mobile Networks
increased its profit to €60 million on sales of €1.078 billion. Handset sales
in the fourth quarter at Mobile Phones rose to 12.0 million units from 7.8
million in the same period a year earlier, resulting in sales of €1.260
billion. Fourth-quarter profits of €14 million did not reach prior-year levels,
however, as the period included most of the impacts related to the handset line
mentioned above. Fourth-quarter sales for ICM overall were €2.619 billion,
nearly level with the same period a year earlier, while fourth-quarter orders
rose 12% year-over-year, to €2.838 billion, on strong handset orders.
6
Siemens Business Services (SBS)
SBS posted a Group profit of €13 million for the fiscal year compared to €101
million in fiscal 2002. The decline primarily reflects €77 million in charges
for risks associated with a long-term business process outsourcing contract in
the U.K. Sales of €5.205 billion and orders of €5.226 billion reflect relative
weakness in the IT consulting market year-over-year, as well as pricing
pressure in the IT maintenance and outsourcing markets. The charge referred to
above occurred in the fourth quarter, resulting in a loss for the period of
€41 million on sales of €1.317 billion.
Automation and Control
Automation and Drives (A&D)
In the Automation and Control business area, A&D was again a standout among
Siemens Groups, increasing Group profit 11% year-over-year to €806 million,
further improving its Group profit margin to 9.6%, and strengthening its market
position. Sales of €8.375 billion and orders of €8.476 billion each rose 2%
year-over-year on a comparable basis, as A&D continued to balance its business
base with growth in the Asia-Pacific region and market-share gains in Europe.
Group profit rose quarter by quarter throughout the year, reaching €240 million
in the fourth quarter. A&D’s Group profit margin of 10.5% in the fourth quarter
enabled it to increase Group profit 10% over the prior-year quarter. On a
comparable basis, sales and orders were nearly level with the prior year.
7
Industrial Solutions & Services (I&S)
I&S significantly improved its bottom line, posting a Group loss of €41 million
compared to a loss of €198 million a year earlier, in part due to lower charges
for severance and capacity adjustments. Sales of €4.012 billion and orders of
€3.955 billion reflected a continuing contraction in the market for industrial
solutions. In the fourth quarter, I&S recorded a loss of €17 million compared
to a loss of €129 million in the same period a year ago, which included
significantly higher charges for severance and capacity adjustments. While
fourth-quarter sales were lower year-over-year, fourth-quarter orders rose 5%
on a comparable basis.
Siemens Dematic (SD)
SD posted a Group loss of €218 million for the year, compared to Group profit
of €45 million in fiscal 2002. A substantial increase in loss provisions and
charges related to two large contracts in Europe was the key factor in this
result, together with other charges. On a comparable basis, sales of €2.600
billion were within 4% of the prior-year level, and orders were 2% higher at
€2.599 billion. The Postal Automation Division increased its profit and
earnings margin and won large orders from the U.S. Postal Service, while the
Electronics Assembly Systems Division narrowed its loss year-over-year and
restored sales growth in its large pick-and-place equipment business on a
breakeven basis. Most of the increased provisions and charges mentioned above
were recorded in the fourth quarter, resulting in a loss of €178 million
compared to a profit of €10 million in the same period a year ago. On a comparable basis,
fourth-quarter sales rose 4% and orders jumped 41%, respectively, over the same
period a year earlier.
8
Siemens Building Technologies (SBT)
Group profit at SBT was €101 million for the fiscal year, which included
significantly higher charges for severance taken to realign the Group’s
workforce with market conditions. Group profit a year earlier was €195 million.
Sales of €4.990 billion and orders of €4.775 billion reflect weak demand in
SBT’s markets, plus six percentage points due to currency effects.
Fourth-quarter results were in line with the year as a whole. Group profit was
€38 million compared to €87 million a year earlier, due in part to lower sales
of €1.400 billion.
Power
Power Generation (PG)
In the Power business area, PG led all Siemens Groups with €1.171 billion in
Group profit and a Group profit margin of 16.8%. In fiscal 2003, PG increased
the percentage of its revenues and profits coming from services, acquired the
industrial turbine businesses of Alstom to complement its existing large
turbine business, and further diversified its business base. The negative
demand trend in the U.S. market continues to affect comparison of PG’s sales
and orders with prior periods, and currency translation effects further reduced
reported volumes.
9
PG maintained its Group profit margin at the same level as a
year earlier, however, in part due to higher net gains on customer cancellations and lower severance charges compared to fiscal 2002. For
the fourth quarter of fiscal 2003, PG posted Group profit of €221 million
compared to €354 million in the same period a year earlier. Sales and orders of
€1.961 billion and €1.223 billion, respectively, were lower than in the same
quarter a year earlier but declined at a more modest pace than for the full
year. The Group’s order backlog stood at €14.3 billion at year-end, comparable
to the level in recent quarters.
Power Transmission and Distribution (PTD)
PTD delivered €207 million in Group profit compared to €109 million a year
earlier, generated particularly at the High Voltage and Medium Voltage
divisions. Fiscal 2002 Group profit included a €54 million loss on the sale of
the Group’s Metering division in the fourth quarter. On a comparable basis,
sales of €3.399 billion and orders of €3.586 billion were within 2% and 3%,
respectively, of prior-year levels. PTD’s Group profit and Group profit margin
in the fourth quarter rose sharply year-over-year, to €65 million and 7.4%,
respectively. While fourth-quarter sales were below the level a year earlier,
fourth-quarter orders surged 21% over the prior year on a comparable basis.
10
Transportation
Transportation Systems (TS)
In the Transportation business area, TS increased its Group profit 15%, to €284
million, despite having to take higher warranty provisions. Sales for the year
rose to €4.697 billion, as TS converted large orders from prior years into
current business. Orders for the year of €4.674 billion included large new
rolling stock contracts in China, England, Norway, and Switzerland as well as
major new maintenance contracts in the U.K. Both Group profit and sales hit
high points for the year in the fourth quarter, with Group profit reaching €78
million despite higher warranty charges and sales rising 15% year-over-year, on
a comparable basis, to €1.416 billion. Fourth-quarter orders rose 7%
year-over-year on a comparable basis, and the Group’s order backlog remained
steady at €11.2 billion.
Siemens VDO Automotive (SV)
SV accelerated to Group profit of €418 million for the year compared to €65
million a year earlier. The Group’s innovative diesel injection and onboard
infotainment systems were major factors in the earnings improvement. SV’s
profitability improvement program also contributed to earnings growth, as the
Group cut materials costs, streamlined its R&D and production processes, and
tightened administrative and IT spending. As a result, SV increased its Group
profit margin from 0.8% in fiscal 2002 to 5.0% in fiscal 2003, though it still
fell short of earning its cost of capital.
11
Sales and orders of €8.375 billion rose 8% year-over-year on a comparable basis, particularly related to the
transfer of parts of SV’s automotive cockpit module business to a joint venture in the
third quarter. Fourth-quarter Group profit reached €115 million compared to a
loss of €15 million a year earlier. On a comparable basis, fourth-quarter sales
and orders rose 7% year-over-year.
Medical
Medical Solutions (Med)
In the Medical business area, Med increased its Group profit 10%, to €1.118
billion, and its Group profit margin climbed above 15% for the year. Innovative
new products, particularly for diagnostic imaging applications, again led the
way. Group profit benefited also from a €63 million gain related to the
contribution of a portion of Med’s electromedical systems business to a new
joint venture, Draeger Medical, in the third quarter. The divestment of the
remaining portion of the electromedical systems business, announced in the
fourth quarter, did not take effect until after the close of the fiscal year.
On a comparable basis, sales rose 7% to €7.422 billion and orders increased 3%
to €7.835 billion from a year earlier, as Med continued to find growth
opportunities in the highly competitive U.S. market. Med’s fourth-quarter Group
profit was €286 million compared to €301 million a year earlier. Fourth-quarter
sales and orders were up 5% and 6%, respectively, from the levels a year
earlier on a comparable basis.
12
Lighting
Osram
In the Lighting business area, Osram generated €410 million in Group profit, a
12% increase over the prior year, and improved its Group profit margin still
further, to nearly 10%. Steadily increasing profitability at the Opto
Semiconductors Division was a key factor in earnings growth, and stringent cost
containment helped offset intense pricing pressure. Sales and orders grew 6%
year-over-year on a comparable basis, to €4.172 billion, as the General
Lighting Division strengthened its market position in the U.S. and the Group
expanded its business in the Asia-Pacific region and eastern Europe.
Fourth-quarter Group profit rose 11% year-over-year, to €105 million, on a
10.3% Group profit margin. Fourth-quarter sales and orders rose 4%
year-over-year on a comparable basis.
Other operations consist of centrally held equity investments and other
operating businesses not related to a Group, such as Siemens’ joint ventures
with Bosch (for household appliances) and Fujitsu (for computers). In fiscal
2003, higher contributions from these joint ventures resulted in Group profit
from other operations of €212 million in fiscal 2003 compared to €99 million in
the prior year.
Corporate items, pensions and eliminations 13
Financing and Real Estate
Siemens Financial Services (SFS)
Income before income taxes rose 25% at SFS, to €269 million compared to €216
million a year ago. The Equity Division again contributed to higher earnings
for the Group, which also benefited from lower provisions and write-downs at
its Equipment and Sales Financing Division. Fourth-quarter income before income
taxes at SFS rose to €56 million from €50 million a year earlier.
Siemens Real Estate (SRE)
SRE earned €206 million before income taxes compared to €229 million a year
earlier, as lower interest costs were more than offset by the effects of lower
occupancy rates. Sales edged down 1% to €1.592 billion. While sales in the
fourth quarter were nearly unchanged year-over-year, income before income taxes
for the period rose to €19 million from €9 million a year earlier primarily due
to lower maintenance expenses.
Eliminations, reclassifications and Corporate Treasury 14
Income Statement highlights and
earnings per share for fiscal 2003 In Operations, net sales in fiscal 2003 were €73.744 billion compared to
€83.127 billion a year earlier, strongly influenced by negative currency
translation effects. Gross profit margin increased to 27.7% from 27.4%. Most of
the Operations Groups increased their gross margins, led by ICN, PTD, SV and
Med. SD’s margin decreased primarily due to increased contract loss accruals
taken in the fourth quarter. Research and development
expense was 6.9% of sales, near the level in fiscal 2002. Marketing, selling
and general administrative expense decreased to 18.0% of sales due to effective
cost-cutting programs, particularly at ICN, ICM, I&S, SV and Osram. Other
operating income (expense), net was a positive €555 million, including €359
million in net gains from customer cancellations at PG, which are partly offset
by inventory allowances recorded in cost of sales. Also included in other
operating income (expense) is a €63 million gain arising from Med’s
contribution of assets to a joint venture. Other operating income in fiscal
2002 was €326 million, as sales of a business and divestments more than offset
a significant impairment charge at ICN.
Income from investments in other companies was a positive €66 million, up from
a negative €142 million in the prior year, primarily due to higher earnings
from joint ventures and lower losses year-over-year at Infineon, in which
Siemens holds an equity interest. Earnings per share for the year were €2.75.
Excluding the gain on sales of shares in Infineon referred to above, earnings
per share in fiscal 2002 were €1.87.
15
Orders and sales trends in fiscal 2003 Orders in the U.S. in fiscal 2003 were €14.702 billion compared to €21.205
billion a year earlier. Sales in the U.S. were €15.357 billion compared to
€20.288 billion in the prior year, influenced by expected volume declines at PG
following the end of the gas turbine energy boom and a negative 14% currency
translation effect. Orders in Asia-Pacific in fiscal 2003 were €9.152 billion
compared to €10.092 billion and sales were €8.728 billion compared to €9.668
billion a year earlier, influenced by currency and portfolio
effects. Sales in China in fiscal 2003 were €2.838 billion compared to €3.223
billion a year earlier, due in large part to the effect of currency
translation.
Liquidity and balance sheet highlights for the fiscal year Net cash used in investing activities within Operations was €3.655 billion in
fiscal 2003, which includes €929 million for the acquisition of the industrial
turbine businesses of Alstom, and €841 million to expand holdings of
investments and marketable securities. Net cash used in investing activities
within Operations was €250 million in fiscal 2002.
That prior-year period included proceeds from sales and dispositions totalling €6.097 billion, including €1.522 billion related to sales of shares of Infineon,
partially offset by a €3.657 billion payment to complete the Atecs-Mannesmann
acquisition.
16
Net cash provided by operating activities within the Financing and Real Estate
component was €469 million in fiscal 2003, supported by strong earnings at SFS.
Investing activities within the Financing and Real Estate component used net
cash of €515 million, due in part to increased financing receivables.
Funding Status of Pension Plans Economic Value Added Subsequent events Note: Please see attached a
reconciliation of the calculation of Economic Value Added.
17
The Siemens Annual Press Conference will be transmitted live on the Internet
beginning at 10:00 a.m. CET on November 13, 2003. You can access the conference
at www.siemens.com/pressconference.
Siemens CEO Heinrich v. Pierer and CFO Heinz-Joachim Neubürger will hold an
English-language conference with analysts on November, 14, 2003 at 3.00 p.m.
CET. You can follow this conference live on the Internet by going to
www.siemens.com/analystconference. A recording of the telephone conference will
be available later at the same location.
This press release report contains forward-looking statements based on beliefs
of Siemens’ management. The words “anticipate,” “believe,” “estimate,”
“forecast,” “expect,” “intend,” “plan”, “should” and “project” are used to
identify forward-looking statements. Such statements reflect the company’s
current views with respect to future events and are subject to risks and
uncertainties. Many factors could cause the actual results to be materially
different, including, among others, changes in general economic and business
conditions, changes in currency exchange rates and interest rates, introduction
of competing products, lack of acceptance of new products or services and
changes in business strategy. Actual results may vary materially from those
projected here. Siemens does not intend or assume any obligation to update
these forward-looking statements.
18
SIEMENS AG
SEGMENT INFORMATION [Additional columns below]
[Continued from above table, first column(s) repeated]
19
SIEMENS AG [Additional columns below]
[Continued from above table, first column(s) repeated]
20
SIEMENS AG 21
SIEMENS AG 22
SIEMENS AG 23
SIEMENS AG 24
EVA performance
Siemens ties a portion of its executive incentive compensation to
achieving economic value added (EVA) targets. EVA measures the profitability of
a business (using Group profit for the Operating Groups and income before
income taxes for the Financing and Real estate businesses as a base) against
the additional cost of capital used to run a business, (using Net capital
employed for the Operating Groups and risk-adjusted equity for the Financing
and Real estate businesses as a base). A positive EVA means that a business has
earned more than its cost of capital, and is therefore defined as
value-creating. A negative EVA means that a business is earning less than its
cost of capital and is therefore defined as value-destroying. Other
organizations that use EVA may define and calculate EVA differently.
A reconciliation of EVA follows.
25
Economic Value Added (EVA) calculation (unaudited) 26
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
27
Table of Contents
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change*
2003
Change
Comparable Change
1,685
(10
)%
(6
)%
7,070
(19
)%
(14
)%
1,952
(14
)%
(10
)%
7,122
(26
)%
(21
)%
2003
2002
2003
2002
57
(325
)
(366
)
(691
)
Table of Contents
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
2,838
12
%
15
%
9,960
(14
)%
(10
)%
2,619
(2
)%
1
%
9,964
(10
)%
(6
)%
2003
2002
2003
2002
49
24
180
96
Table of Contents
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
1,244
(17
)%
(16
)%
5,226
(16
)%
(14
)%
1,317
(11
)%
(9
)%
5,205
(10
)%
(7
)%
2003
2002
2003
2002
(41
)
26
13
101
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
2,009
(5
)%
(1
)%
8,476
(3
)%
2
%
2,285
(5
)%
(2
)%
8,375
(3
)%
2
%
2003
2002
2003
2002
240
219
806
723
Table of Contents
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
959
1
%
5
%
3,955
(4
)%
1
%
1,134
(13
)%
(10
)%
4,012
(10
)%
(6
)%
2003
2002
2003
2002
(17
)
(129
)
(41
)
(198
)
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
802
31
%
41
%
2,599
(8
)%
2
%
680
(3
)%
4
%
2,600
(13
)%
(4
)%
2003
2002
2003
2002
(178
)
10
(218
)
45
Table of Contents
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
1,146
(21
)%
(17
)%
4,775
(15
)%
(9
)%
1,400
(13
)%
(8
)%
4,990
(11
)%
(5
)%
2003
2002
2003
2002
38
87
101
195
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
1,223
(15
)%
(21
)%
7,302
(31
)%
(27
)%
1,961
(15
)%
(17
)%
6,967
(26
)%
(19
)%
2003
2002
2003
2002
221
354
1,171
1,582
Table of Contents
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
798
1
%
21
%
3,586
(19
)%
(3
)%
882
(26
)%
(12
)%
3,399
(19
)%
(2
)%
2003
2002
2003
2002
65
16
207
109
Table of Contents
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
1,418
—
7
%
4,674
(11
)%
(8
)%
1,416
14
%
15
%
4,697
8
%
11
%
2003
2002
2003
2002
78
74
284
247
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
1,967
(4
)%
7
%
8,375
(2
)%
8
%
1,967
(4
)%
7
%
8,375
(2
)%
8
%
2003
2002
2003
2002
115
(15
)
418
65
Table of Contents
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
2,330
(3
)%
6
%
7,835
(7
)%
3
%
2,040
(3
)%
5
%
7,422
(3
)%
7
%
2003
2002
2003
2002
286
301
1,118
1,018
Table of Contents
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
1,018
(3
)%
4
%
4,172
(4
)%
6
%
1,018
(3
)%
4
%
4,172
(4
)%
6
%
2003
2002
2003
2002
105
95
410
365
Corporate items, pensions and eliminations were a negative €1.576 billion in
fiscal 2003, compared to a negative €1.282 billion in the same period a year
earlier. Within this total, Corporate items were €747 million, down from €947
million in the prior year, due primarily to a lower loss related to Siemens’
equity interest in Infineon, the positive resolution of an arbitration
proceeding and reduced corporate costs. Non-allocated pension expense was
higher in fiscal 2003, at €828 million compared to €250 million a year earlier,
while fiscal 2002 included €133 million in gains on the sale of investments. In
the fourth quarter, Corporate items, pensions, and eliminations were a negative
€320 million, compared to a negative €531 million a year earlier. This change
primarily reflects the effect of Siemens’ equity interest in Infineon, which
was a positive €17 million in fiscal 2003 compared to a negative €204 million
year earlier.
Table of Contents
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
122
(17
)%
(12
)%
532
(9
)%
(4
)%
2003
2002
2003
2002
56
50
269
216
Fourth quarter ended
Fiscal Year ended
Sept. 30
Sept. 30
(€ in millions)
2003
Change
Comparable Change
2003
Change
Comparable Change
410
(1
)%
(1
)%
1,592
(1
)%
(1
)%
2003
2002
2003
2002
19
9
206
229
Income before income taxes from Eliminations reclassifications and Corporate
Treasury was €266 million, up from a loss in the prior year, which included the
significant negative results of Infineon until it was deconsolidated in
December 2001. Furthermore, the improvement in the current year results include positive effects from Corporate
Treasury. Fourth-quarter income before income taxes in fiscal 2003 for
Eliminations, Reclassifications and Corporate Treasury was €122 million.
Table of Contents
Net sales for Siemens worldwide were €74.233 billion in fiscal 2003 compared to
€84.016 billion a year earlier. Net income for Siemens worldwide was €2.445
billion compared to €1.661 billion in fiscal 2002, excluding a €936 million
tax-free gain on the sale of shares in Infineon. Including this gain, net
income in fiscal 2002 was €2.597 billion.
Table of Contents
Orders in fiscal 2003 were €75.056 billion compared to €86.214 billion a year
earlier, and sales in fiscal 2003 were €74.233 billion compared to €84.016
billion. The declines year-over-year included eight percentage points due to
currency and portfolio effects. Orders in Germany in fiscal 2003 were €16.796
billion compared to €17.812 billion the same period a year earlier. Sales in
Germany were €17.100 billion compared to €18.102 billion a year earlier.
International orders were €58.260 billion compared to €68.402 billion a year
earlier, and international sales were €57.133 billion compared to €65.914
billion a year earlier. The declines in international volume year-over-year
included nine percentage points due to currency and portfolio effects.
For Siemens worldwide, net cash from operating and investing activities was
€1.773 billion in fiscal 2003 compared to €4.754 billion a year earlier, a
period which included significant net proceeds from portfolio activities.
Within Operations, net cash provided by operating activities was €4.123 billion
compared to €4.277 billion in the prior year. Both periods included
supplemental cash contributions to Siemens pension trusts, totaling €1.192
billion and €1.782 billion in fiscal 2003 and 2002, respectively.
Table of Contents
The status of Siemens’ principal pension plans did not change significantly
compared to the prior year, remaining underfunded by approximately €5.0
billion. Two offsetting factors contributed to this effect. In the first and
fourth quarters, the Company made supplemental contributions of €1.192 billion
in cash and €377 million in real estate. Offsetting this effect was an increase
in the projected benefit obligation of the plans as a result of a reduction in
the plan’s weighted average discount rates from 6.0% to 5.4% associated with
the general decline in interest rates worldwide. This in turn increased the
projected benefit obligation of Siemens’ pension plans by €1.4 billion.
Siemens worldwide realized a positive economic value added (EVA) of €449
million in fiscal 2003, an improvement of €768 million compared to the prior
year amount of a negative €319 million, excluding a €936 million tax-free gain
on the sale of shares in Infineon. Including this gain, EVA for fiscal 2002 was
a positive €617 million.
After the close of fiscal 2003, in October 2003 Med completed the sale of its
life support systems business to Getinge AB, of Sweden. Also in October 2003
Siemens made additional supplemental cash pension contributions to its pension
trusts of €1.255 billion.
Table of Contents
Siemens AG
Corporate Communications
Press Office
80312 Munich
Reference number: AXX200311.10 e
Thomas Weber
80312 Munich
Tel.: +49-89 636-32812; Fax: -36700
E-mail: th.weber@siemens.comTable of Contents
As of and for the three months ended September 30, 2003 and 2002
(in millions of €)
New orders
Intersegment
(unaudited)
External sales
sales
Total sales
Group profit(1)
2003
2002
2003
2002
2003
2002
2003
2002
2003
2002
1,685
1,867
1,758
2,107
194
153
1,952
2,260
57
(325
)
2,838
2,536
2,572
2,652
47
29
2,619
2,681
49
24
1,244
1,499
983
1,042
334
436
1,317
1,478
(41
)
26
2,009
2,118
1,990
2,062
295
346
2,285
2,408
240
219
959
946
801
984
333
318
1,134
1,302
(17
)
(129
)
802
612
591
663
89
41
680
704
(178
)
10
1,146
1,451
1,311
1,515
89
99
1,400
1,614
38
87
1,223
1,440
1,956
2,281
5
17
1,961
2,298
221
354
798
794
846
1,105
36
85
882
1,190
65
16
1,418
1,415
1,411
1,237
5
7
1,416
1,244
78
74
1,967
2,052
1,964
2,033
3
19
1,967
2,052
115
(15
)
2,330
2,398
2,015
2,095
25
6
2,040
2,101
286
301
1,018
1,053
993
1,051
25
2
1,018
1,053
105
95
546
460
282
234
268
200
550
434
84
(30
)
19,983
20,641
19,473
21,061
1,748
1,758
21,221
22,819
1,102
707
(1,904
)
(1,842
)
116
48
(1,643
)
(1,518
)
(1,527
)
(1,470
)
(320
)
(531
)
—
—
—
—
—
—
—
—
(51
)
10
—
—
—
—
—
—
—
—
—
—
18,079
18,799
19,589
21,109
105
240
19,694
21,349
731
186
Income before
income taxes
122
147
111
115
11
32
122
147
56
50
410
413
77
65
333
348
410
413
19
9
—
—
—
—
(3
)
(2
)
(3
)
(2
)
—
—
532
560
188
180
341
378
529
558
75
59
1
1
1
1
(446
)
(618
)
(445
)
(617
)
122
(15
)
18,612
19,360
19,778
21,290
—
—
19,778
21,290
928
230
Net cash from
Amortization,
Net capital
operating and
Capital
depreciation and
employed(2)
investing activities
spending(3)
impairments(4)
9/30/03
9/30/02
2003
2002
2003
2002
2003
2002
722
1,100
164
553
88
97
101
511
1,367
1,973
420
347
112
197
105
101
294
264
162
174
73
70
70
75
1,925
2,197
307
406
128
90
70
68
167
315
65
103
20
16
15
16
877
975
156
56
12
18
14
15
1,447
1,778
161
166
14
38
43
38
1,712
(144
)
(230
)
(243
)
493
124
50
73
798
928
141
133
22
20
17
21
(252
)
(741
)
320
(174
)
51
44
22
24
3,949
3,746
120
(39
)
164
188
108
142
3,128
3,414
439
526
91
95
70
66
2,074
2,436
121
148
108
94
70
73
1,515
535
167
56
26
10
22
16
19,723
18,776
2,513
2,212
1,402
1,101
777
1,239
(3,781
)
(3,021
)
(1,095
)(6)
(1,703
)(6)
30
108
69
61
—
—
—
—
—
—
—
—
48,533
51,944
—
—
—
—
—
—
64,475
67,699
1,418
509
1,432
1,209
846
1,300
Total assets
8,445
8,681
(612
)
26
100
93
57
89
3,607
4,090
137
74
31
134
75
55
(465
)
(561
)
26
(6)
(25
)(6)
—
—
—
—
11,587
12,210
(449
)
75
131
227
132
144
1,543
(1,970
)
277
(6)
964
(6)
—
—
—
—
77,605
77,939
1,246
1,548
1,563
1,436
978
1,444
(1)
Group profit of the Operations Groups is earnings before
financing interest, certain pension costs, income taxes and
certain one-time items, which in management’s view do not
relate to the business performance of the Groups.
(2)
Net capital employed of the Operations Groups represents
total assets less tax assets, certain accruals and
non-interest bearing liabilities other than tax liabilities.
(3)
Intangible assets, property, plant and equipment,
acquisitions, and investments.
(4)
Includes amortization and impairments of intangible assets,
depreciation of property, plant and equipment, and
write-downs of investments.
(5)
Other operations primarily refer to certain centrally-held
equity investments and other operating activities not
associated with a Group.
(6)
Includes (for Eliminations within Financing and Real Estate consists of)
cash paid for income taxes according to the allocation of income taxes to
Operations, Financing and Real Estate, and Eliminations, reclassifications and
Corporate Treasury in the Consolidated Statements of Income.
Table of Contents
SEGMENT INFORMATION
As of and for the fiscal years ended September 30, 2003 and 2002
(in millions of €)
New orders
Intersegment
(unaudited)
External sales
sales
Total sales
Group profit(1)
2003
2002
2003
2002
2003
2002
2003
2002
2003
2002
7,070
8,697
6,592
9,169
530
478
7,122
9,647
(366
)
(691
)
9,960
11,538
9,811
10,910
153
135
9,964
11,045
180
96
5,226
6,256
3,964
4,212
1,241
1,561
5,205
5,773
13
101
8,476
8,728
7,159
7,430
1,216
1,205
8,375
8,635
806
723
3,955
4,120
2,907
3,378
1,105
1,102
4,012
4,480
(41
)
(198
)
2,599
2,810
2,444
2,894
156
101
2,600
2,995
(218
)
45
4,775
5,601
4,706
5,291
284
328
4,990
5,619
101
195
7,302
10,586
6,949
9,398
18
48
6,967
9,446
1,171
1,582
3,586
4,429
3,188
3,928
211
271
3,399
4,199
207
109
4,674
5,247
4,668
4,349
29
18
4,697
4,367
284
247
8,375
8,515
8,365
8,491
10
24
8,375
8,515
418
65
7,835
8,425
7,345
7,604
77
19
7,422
7,623
1,118
1,018
4,172
4,363
4,113
4,308
59
55
4,172
4,363
410
365
1,840
1,895
1,129
1,238
728
785
1,857
2,023
212
99
79,845
91,210
73,340
82,600
5,817
6,130
79,157
88,730
4,295
3,756
(6,916
)
(7,688
)
192
244
(5,605
)
(5,847
)
(5,413
)
(5,603
)
(1,576
)
(1,282
)
—
—
—
—
—
—
—
—
(88
)
(96
)
—
—
—
—
—
—
—
—
—
936
—
—
—
—
—
—
—
—
—
—
72,929
83,522
73,532
82,844
212
283
73,744
83,127
2,631
3,314
Income before
income taxes
532
582
433
436
99
146
532
582
269
216
1,592
1,612
265
243
1,327
1,369
1,592
1,612
206
229
—
—
—
—
(12
)
(8
)
(12
)
(8
)
—
—
2,124
2,194
698
679
1,414
1,507
2,112
2,186
475
445
3
498
3
493
(1,626
)
(1,790
)
(1,623
)
(1,297
)
266
(284
)
75,056
86,214
74,233
84,016
—
—
74,233
84,016
3,372
3,475
Net cash from
Amortization,
Net capital
operating and
Capital
depreciation and
employed(2)
investing activities
spending(3)
impairments(4)
9/30/03
9/30/02
2003
2002
2003
2002
2003
2002
722
1,100
106
711
219
415
447
850
1,367
1,973
692
594
347
453
326
368
294
264
(62
)
173
193
222
255
282
1,925
2,197
1,060
1,019
281
248
231
240
167
315
54
(107
)
45
60
52
56
877
975
(170
)
(70
)
42
71
55
62
1,447
1,778
375
295
82
133
144
155
1,712
(144
)
(448
)
662
1,120
300
163
184
798
928
387
149
65
92
65
75
(252
)
(741
)
(217
)
95
120
135
65
64
3,949
3,746
184
224
569
534
400
435
3,128
3,414
845
1,124
321
321
227
206
2,074
2,436
528
284
280
330
268
289
1,515
535
(362
)
89
520
50
64
51
19,723
18,776
2,972
5,242
4,204
3,364
2,762
3,317
(3,781
)
(3,021
)
(2,504
)(6)
(1,215
)(6)
33
3,835
132
123
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
—
48,533
51,944
—
—
—
—
—
—
64,475
67,699
468
4,027
4,237
7,199
2,894
3,440
Total assets
8,445
8,681
(312
)
282
237
283
220
271
3,607
4,090
351
309
169
317
220
206
(465
)
(561
)
(85
)(6)
(133
)(6)
—
—
—
—
11,587
12,210
(46
)
458
406
600
440
477
1,543
(1,970
)
1,351
(6)
269
(6)
—
214
—
209
77,605
77,939
1,773
4,754
4,643
8,013
3,334
4,126
(1)
Group profit of the
Operations Groups is earnings before
financing interest, certain pension costs, income taxes and
certain one-time items, which in management’s view do not
relate to the business performance of the Groups.
(2)
Net capital employed of the Operations Groups represents
total assets less tax assets, certain accruals and
non-interest bearing liabilities other than tax liabilities.
(3)
Intangible assets, property, plant and equipment,
acquisitions, and investments.
(4)
Includes amortization and impairments of intangible assets,
depreciation of property, plant and equipment, and
write-downs of investments.
(5)
Other operations primarily refer to certain centrally-held
equity investments and other operating activities not
associated with a Group.
(6)
Includes (for Eliminations within Financing and Real Estate consists of)
cash paid for income taxes according to the allocation of income taxes to
Operations, Financing and Real Estate, and Eliminations, reclassifications and
Corporate Treasury in the Consolidated Statements of Income.
Table of Contents
CONSOLIDATED STATEMENTS OF INCOME
For the three months ended September 30, 2003 and 2002
(in millions of €, per share amounts in €)
Eliminations,
reclassifications and
Financing and Real
Siemens worldwide
Corporate Treasury
Operations
Estate
2003
2002
2003
2002
2003
2002
2003
2002
19,778
21,290
(445
)
(617
)
19,694
21,349
529
558
(14,451
)
(15,530
)
445
618
(14,426
)
(15,671
)
(470
)
(477
)
5,327
5,760
—
1
5,268
5,678
59
81
(1,246
)
(1,421
)
—
(1
)
(1,246
)
(1,420
)
—
—
(3,604
)
(4,278
)
(2
)
(2
)
(3,531
)
(4,207
)
(71
)
(69
)
234
323
(24
)
(20
)
208
310
50
33
98
(276
)
—
—
84
(278
)
14
2
87
(50
)
96
(110
)
(5
)
72
(4
)
(12
)
4
21
—
—
4
21
—
—
28
151
52
117
(51
)
10
27
24
928
230
122
(15
)
731
186
75
59
(166
)
(141
)
(27
)
10
(132
)
(126
)
(7
)
(25
)
(38
)
(36
)
—
—
(38
)
(36
)
—
—
724
53
95
(5
)
561
24
68
34
—
—
—
—
—
—
—
—
724
53
95
(5
)
561
24
68
34
0.81
0.06
—
—
0.81
0.06
0.81
0.06
—
—
0.81
0.06
Table of Contents
CONSOLIDATED STATEMENTS OF INCOME
For the fiscal years ended September 30, 2003 and 2002
(in millions of €, per share amounts in €)
Eliminations,
reclassifications and
Financing and Real
Siemens worldwide
Corporate Treasury (2)
Operations
Estate
2003
2002
2003
2002
2003
2002
2003
2002
74,233
84,016
(1,623
)
(1,297
)
73,744
83,127
2,112
2,186
(53,350
)
(60,810
)
1,625
1,222
(53,298
)
(60,322
)
(1,677
)
(1,710
)
20,883
23,206
2
(75
)
20,446
22,805
435
476
(5,067
)
(5,819
)
—
(169
)
(5,067
)
(5,650
)
—
—
(13,534
)
(15,455
)
—
(90
)
(13,243
)
(15,083
)
(291
)
(282
)
642
1,321
(77
)
844
555
326
164
151
142
(114
)
—
(16
)
66
(142
)
76
44
61
18
135
(81
)
(69
)
124
(5
)
(25
)
31
94
—
—
31
94
—
—
214
224
206
239
(88
)
(96
)
96
81
—
—
—
(936
)
—
936
—
—
3,372
3,475
266
(284
)
2,631
3,314
475
445
(867
)
(849
)
(68
)
69
(677
)
(809
)
(122
)
(109
)
(96
)
(29
)
—
2
(96
)
(31
)
—
—
2,409
2,597
198
(213
)
1,858
2,474
353
336
36
—
—
—
39
—
(3
)
—
2,445
2,597
198
(213
)
1,897
2,474
350
336
2.71
2.92
0.04
—
2.75
2.92
2.71
2.92
0.04
—
2.75
2.92
(1)
The income taxes of Eliminations, reclassifications and Corporate
Treasury, Operations, and Financing and Real Estate are based on the
consolidated effective corporate tax rate applied to income before
income taxes.
(2)
As of December 5, 2001, Siemens deconsolidated Infineon. The results of
operations from Infineon for the first two months of the fiscal year 2002
period are included in Eliminations, reclassifications and Corporate Treasury.
As of December 5, 2001, the share in earnings (loss) from Infineon is included
in Income (loss) from investments in other companies, net in Operations.
Table of Contents
CONSOLIDATED STATEMENTS OF CASH FLOW
For the fiscal years ended September 30, 2003 and 2002
(in millions of €)
Eliminations,
reclassifications and
Financing and Real
Siemens worldwide
Corporate Treasury
Operations
Estate
2003
2002
2003
2002
2003
2002
2003
2002
2,445
2,597
198
(213
)
1,897
2,474
350
336
96
29
—
(2
)
96
31
—
—
3,334
4,126
—
209
2,894
3,440
440
477
262
(191
)
20
(185
)
206
18
36
(24
)
(232
)
(1,610
)
—
(936
)
(145
)
(588
)
(87
)
(86
)
2
(177
)
—
7
2
(172
)
—
(12
)
—
—
—
936
—
(936
)
—
—
23
4
9
(2
)
13
3
1
3
10
298
—
17
70
322
(60
)
(41
)
8
1,349
—
86
14
1,234
(6
)
29
623
1,763
(527
)
844
1,141
871
9
48
(291
)
(503
)
(21
)
(607
)
(270
)
104
—
—
1,416
1,213
835
459
561
833
20
(79
)
(396
)
(899
)
3
(254
)
(396
)
(595
)
(3
)
(50
)
(621
)
(575
)
—
30
(571
)
(577
)
(50
)
(28
)
(668
)
(1,025
)
466
(99
)
(961
)
(851
)
(173
)
(75
)
(1,192
)
(1,782
)
—
—
(1,192
)
(1,782
)
—
—
893
947
137
439
764
448
(8
)
60
5,712
5,564
1,120
729
4,123
4,277
469
558
(2,852
)
(3,894
)
—
(149
)
(2,468
)
(3,149
)
(384
)
(596
)
(1,055
)
(3,787
)
—
—
(1,055
)
(3,787
)
—
—
(736
)
(332
)
—
(65
)
(714
)
(263
)
(22
)
(4
)
(221
)
(338
)
(92
)
(306
)
(127
)
(27
)
(2
)
(5
)
(94
)
(172
)
276
(864
)
—
—
(370
)
692
—
—
21
607
—
—
(21
)
(607
)
839
1,218
—
—
556
801
283
417
119
6,097
—
—
119
6,097
—
—
61
398
26
317
34
78
1
3
(3,939
)
(810
)
231
(460
)
(3,655
)
(250
)
(515
)
(100
)
—
156
—
—
—
156
—
—
—
(152
)
—
—
—
(152
)
—
—
4
81
—
—
4
81
—
—
2,702
384
2,702
384
—
—
—
—
(1,742
)
(847
)
(1,700
)
(809
)
(12
)
(15
)
(30
)
(23
)
(445
)
512
(106
)
843
(323
)
(481
)
(16
)
150
—
(2
)
—
(2
)
—
—
—
—
(896
)
(888
)
—
—
(896
)
(888
)
—
—
(110
)
(103
)
—
—
(110
)
(103
)
—
—
—
—
(907
)
3,178
787
(2,615
)
120
(563
)
(487
)
(859
)
(11
)
3,594
(550
)
(4,017
)
74
(436
)
—
(383
)
—
(383
)
—
—
—
—
(333
)
(118
)
(264
)
(71
)
(66
)
(44
)
(3
)
(3
)
953
3,394
1,076
3,409
(148
)
(34
)
25
19
11,196
7,802
10,269
6,860
873
907
54
35
12,149
11,196
11,345
10,269
725
873
79
54
545
794
795
389
Table of Contents
CONSOLIDATED BALANCE SHEETS
As of September 30, 2003 and 2002
(in millions of €)
Eliminations,
reclassifications and
Financing and Real
Siemens worldwide
Corporate Treasury
Operations
Estate
9/30/03
9/30/02
9/30/03
9/30/02
9/30/03
9/30/02
9/30/03
9/30/02
12,149
11,196
11,345
10,269
725
873
79
54
650
399
101
25
529
356
20
18
14,511
15,230
(9
)
(7
)
10,894
12,058
3,626
3,179
—
—
(10,777
)
(13,284
)
10,742
13,209
35
75
10,366
10,672
(4
)
(5
)
10,284
10,592
86
85
1,063
1,212
77
64
909
1,143
77
5
4,750
5,353
736
1,028
3,143
3,306
871
1,019
43,489
44,062
1,469
(1,910
)
37,226
41,537
4,794
4,435
5,992
5,092
19
2
5,636
4,797
337
293
6,501
6,459
—
—
6,421
6,369
80
90
2,358
2,384
—
—
2,338
2,362
20
22
10,756
11,742
1
2
7,114
7,628
3,641
4,112
4,359
3,686
1,127
764
3,165
2,771
67
151
4,150
4,514
131
103
1,371
1,304
2,648
3,107
—
—
(1,204
)
(931
)
1,204
931
—
—
77,605
77,939
1,543
(1,970
)
64,475
67,699
11,587
12,210
1,745
2,103
977
1,143
646
785
122
175
8,404
8,649
4
6
8,216
8,453
184
190
—
—
(7,426
)
(7,776
)
1,771
1,799
5,655
5,977
8,884
9,608
6
18
8,748
9,445
130
145
870
661
(271
)
(206
)
877
647
264
220
12,125
13,691
284
375
11,578
12,853
263
463
32,028
34,712
(6,426
)
(6,440
)
31,836
33,982
6,618
7,170
11,433
10,243
10,176
6,833
748
2,974
509
436
5,843
5,326
—
—
5,813
5,299
30
27
534
195
182
(50
)
250
119
102
126
3,418
3,401
21
28
3,101
3,068
296
305
—
—
(2,410
)
(2,341
)
378
45
2,032
2,296
53,256
53,877
1,543
(1,970
)
42,126
45,487
9,587
10,360
634
541
—
—
634
541
—
—
2,673
2,671
5,073
5,053
23,020
21,471
(7,051
)
(5,670
)
—
(4
)
23,715
23,521
—
—
21,715
21,671
2,000
1,850
77,605
77,939
1,543
(1,970
)
64,475
67,699
11,587
12,210
Table of Contents
Table of Contents
For the fiscal years ended September 30, 2003 and 2002
(in millions of €)
Eliminations,
reclassifications and
Financing and Real
Siemens worldwide
Corporate Treasury
Operations
Estate
2003
2002
2003
2002
2003
2002
2003
2002
2,445
2,597
198
(213
)
1,897
2,474
350
336
(36
)
—
—
—
(39
)
—
3
—
96
29
—
(2
)
96
31
—
—
867
849
68
(69
)
677
809
122
109
3,372
3,475
266
(284
)
2,631
3,314
475
445
88
96
—
88
96
—
—
—
(936
)
—
—
(936
)
—
(1,098
)
(713
)
(93
)
353
(865
)
(933
)
(140
)
(133
)
2,362
1,922
173
69
1,854
1,541
335
312
Sept. 30,
Sept. 30,
Sept. 30,
Sept. 30,
Sept. 30,
Sept. 30,
Sept. 30,
Sept. 30,
2003
2002
2003
2002
2003
2002
2003
2002
77,605
77,939
1,543
(1,970
)
64,475
67,699
11,587
12,210
(48,533
)
(51,944
)
1,334
1,926
1,883
5,034
(9,587
)
(10,360
)
19,159
22,715
2,000
1,850
2003
2002
2003
2002
2003
2002
2003
2002
2,362
1,922
173
69
1,854
1,541
335
312
(1,913
)
(2,241
)
(15
)
(15
)
(1,719
)
(2,061
)
(179
)
(165
)
449
(319
)
158
54
135
(520
)
156
147
—
936
449
617
(1)
The income taxes of Eliminations, reclassifications and Corporate
Treasury, Operations, and Financing and Real Estate are based on the
consolidated effective corporate tax rate applied to income before income taxes.
(2)
Other includes financial adjustments and certain reclassifications
regarding in Infineon in fiscal 2002.
(3)
The term “Net operating assets” is the same as Net capital employed
except the effects of financial adjustment and the fact that Average net
operating assets are calculated in fiscal 2003 based on monthly basis. In fiscal 2002 Average net
operating assets are calculated as the average of four fiscal quarters with a
time lag of one quarter.
(4)
As a result of allocated equity, liabilities are also partly allocated.
(5)
Capital charge for eliminations, reclassifications and Corporate Treasury
is risk-determined.
(6)
Centrally recorded gains in fiscal 2002 represent gains on the sales of
shares in Infineon.
Table of Contents
SIEMENS AKTIENGESELLSCHAFT
Date: November 13, 2003
/s/ CHARLES HERLINGER
Charles Herlinger
Vice President and Corporate Controller
/s/ DANIEL SATTERFIELD
Daniel Satterfield
Director