Siemens reported 0.9% decline in standalone net profit to Rs 327.60 crore on a 9.2% fall in net sales to Rs 3,422.40 crore in Q4 September 2020 over Q4 September 2019.
Profit before tax in the fourth quarter stood at Rs 440 crore, down by 10.5% from Rs 491.40 crore in the same period last year. Current tax expense during the quarter declined by 12.6% year-on-year (YoY) to Rs 96.80 crore.
"The profit was impacted due to expenses incurred during the lockdown period amounting to Rs 285 crore," Siemens said in a statement.
For the quarter July-September of financial year 2020, new orders from continuing operations grew by 8.7% over the prior year and stands at Rs 3,220 crore. The company has a strong order backlog of over one year's revenue, partially on account of the period of lockdown in the country, which resulted in reduced revenues, it added.
Sunil Mathur, managing director and chief executive officer, Siemens, said, "A major part of the financial year 2020 was impacted on account of the COVID-19 pandemic. However, despite the volatility in the business environment with core industrial sectors being negatively impacted, there are now initial signs of an uptick across some market segments post lockdown. Increased government spending in infrastructure is critical at this time which will have a cascading impact for a sustained revival in demand.
Our focus continues to be on profitable growth in our energy, industry, infrastructure and mobility businesses. We see increased interest in our technological and digitalization solutions across all our businesses and are working closely with our customers in these areas to support them by adopting the latest technologies, solutions and services.
On a consolidated basis, the company reported 1.1% fall in net profit to Rs 330.20 crore on a 8.9% decline in net sales to Rs 3,450.80 crore in Q4 September 2020 over Q4 September 2019.
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The company's board has recommended a dividend payment of Rs 7 per equity share.
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Siemens focuses on intelligent infrastructure for buildings and distributed energy systems and on automation and digitalization in the process, discrete & hybrid manufacturing industries. It offers broad expertise across the entire energy value chain, along with a comprehensive portfolio for utilities, independent power producers, transmission system operators, the oil and gas industry, and other energy-intensive industries.
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