The company's stock rose over 8% in early trading, positioning Siemens as the leading performer on the Stoxx Europe 600 Industrial Goods and Services index.
Siemens projected a revenue growth of 3-7% for the upcoming year, a slight decrease from its previous target of 4-8% for 2024, despite acknowledging heightened risks stemming from Donald Trump's election as U.S. president and ongoing political instability in Germany.
The firm also pointed out a decline in consumer demand, particularly affecting its core factory automation sector, which has led to plans for job reductions.
"Throughout the year, the world faced persistent geopolitical and macroeconomic uncertainties," stated Chief Executive Roland Busch during a press briefing.
"Given the U.S. elections and the political climate in Germany, we anticipate challenging times ahead."
Nevertheless, Busch emphasized that Siemens is well-equipped, thanks to its robust local manufacturing presence in the United States, Germany, and China, its three primary markets.
The company is focusing on developing more localized products and increasing its procurement from domestic suppliers, according to Busch.
"The volume of goods moving between regions is quite low, and we are actively addressing this," he noted.
While the factory automation division is facing difficulties, Siemens reported that its smart infrastructure and transportation sectors remain robust. The company also boasts a record order backlog of 113 billion euros ($119 billion).
Busch announced that Siemens would not remain stagnant, introducing a new initiative aimed at accelerating product development through the use of artificial intelligence.
In its Thursday report, Siemens disclosed a 7% decline in industrial profit to 3.12 billion euros for the quarter ending in September, surpassing analysts' expectations of 3.0 billion euros.
The firm, regarded as an indicator of the overall economic landscape, announced a revenue increase to 20.81 billion euros, surpassing the anticipated figure of 20.77 billion euros.
Analysts expressed enthusiasm over the results and the suggested dividend increase from 4.70 euros to 5.20 euros.
Simon Toennessen from Jefferies commented, "We anticipate the shares will perform strongly today due to a robust fourth quarter, a positive outlook, and a dividend proposal that exceeded expectations."