2024-11-14 13:29:09
Business
Economy
Automotive

DAX Companies Face Profit Decline Amid Economic Challenges

Germany's major stock market companies, notably those in the DAX index, are grappling with significant profit declines due to macroeconomic headwinds. The automotive sector has been hit especially hard, experiencing a staggering 45% drop in profits. Despite this, 63% of these companies reported an increase in sales, and 59% saw a rise in profits, indicating a complex landscape of growth amidst adversity.

While some sectors struggle, the financial industry has reported record figures, with Deutsche Telekom leading with a quarterly profit of 6.1 billion euros, followed by Allianz and Siemens. However, Siemens Energy and Bayer reported operating losses, highlighting the varied performance across industries.

The decline in profits is attributed to structural issues and intense competition from countries with more favorable cost structures. This has been exacerbated by the post-Corona economic boom, which masked underlying problems with record margins. The pressure is mounting on Germany's economic giants to adapt and overcome these challenges.

Siemens has achieved a record profit of 9 billion euros, partly due to strategic sales and demand in electrification and mobility sectors. However, it plans job cuts in its underperforming automation business, reflecting a need to streamline operations. Meanwhile, BayernLB, despite the economic downturn, reported an impressive 16% increase in net profit, driven by its subsidiary, the DKB bank.

As these companies navigate a complex economic landscape, they are compelled to address structural inefficiencies and adapt to a competitive global market while capitalizing on growth opportunities in key sectors.

Frankfurter Rundschau
14. November 2024 um 06:02

Record Profit and Tough Growth at Siemens

Economy
Finance
Siemens achieves a record profit of 9 billion euros; book profit from the transfer of shares in former subsidiary Siemens Energy; sale of electric motor manufacturer Innomotics brings in 2 billion euros profit.
tz
14. November 2024 um 06:02

Record Profit and Sluggish Growth at Siemens

Economy
Finance
Siemens achieves record profit of 9 billion euros; capital gain of 0.5 billion euros from the transfer of shares in former subsidiary Siemens Energy; sale of electric motor manufacturer Innomotics brings 2 billion euros in profit.
gmx
14. November 2024 um 06:02

Record Profit and Stubborn Growth at Siemens

Economy
Finance
Siemens achieves a record profit of 9 billion euros; revenue grows only slowly; the Smart Infrastructure division surpasses Digital Industries; the sale of Innomotics brings in 2 billion euros in profit.
t-online
14. November 2024 um 10:00

Siemens reports record profits - and cuts jobs

Economy
Finance
Technology
Siemens achieves record profits thanks to strong demand in electrification, mobility and industrial software; automation business is weak, job cuts planned; Smart Infrastructure and Digital Industries divisions with different developments; Siemens focuses on the "One Tech Company" program and the integration of artificial intelligence; Siemens shareholders benefit from a dividend increase and an all-time high of the share price.
CW

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