Siemens’ Smart Infrastructure business delivered record quarterly orders during the third quarter of fiscal 2026 as growing data center investment in the U.S. and Europe drove significant demand for electrical products and electrification technology.
Smart Infrastructure orders reached €8.002 billion, increasing 40% on a reported basis and 42% on a comparable basis. Siemens said all three businesses generated double-digit order growth, led by electrical products and electrification, which secured a number of large contracts from data center customers in the U.S. and Europe.
Revenue increased 12% to €6.387 billion, or 13% on a comparable basis. Profit increased 19% to €1.274 billion, while the segment’s profit margin expanded to 20% from 18.8%.
Siemens attributed the profitability improvement to higher revenue, increased capacity utilization and productivity initiatives that more than offset unfavorable currency effects and higher commodity costs. U.S. tariff refunds also provided a benefit, partially offset by an impairment related to the electric vehicle charging infrastructure business.
The Smart Infrastructure performance contributed to record results across Siemens. Group orders reached €27.9 billion, up 13%, with a book-to-bill ratio of 1.34. Revenue increased 7% to €20.8 billion, while Industrial Business profit surged 25% to a record €3.5 billion.
Free cash flow also increased 42% to €4.148 billion from €2.918 billion. Digital Industries was another major contributor to profitability, with quarterly profit increasing 44% to €923 million and software revenue increasing 16% to €1.79 billion.
Following the quarter, Siemens raised its Smart Infrastructure outlook. The segment now expects comparable fiscal 2026 revenue growth of 10% to 11%, up from 8% to 10%, and a profit margin of 18.5% to 19.5%, compared with the previous 18% to 19% range.
KEY QUOTES:
“Our technological leadership in all businesses, clear focus on industrial AI, and strong positioning in attractive markets are driving our profitable growth.”
Roland Busch, President And Chief Executive Officer Of Siemens
