German industrial giant Siemens said today that it would stick with its operating profit forecast of €8-8.5 billion despite the global slowdown slashing earnings.
However, the target for the year to September 2009 has 'become more ambitious and we will have to look at it carefully each quarter,' Siemens said as it reported an 81% plunge in its first quarter net profit to €1.23 billion.
The Munich-based firm, which makes everything from trains to nuclear power stations, said its annual forecast could be met only if there were no order cancellations or delays, and if prices held up.
Siemens boss Peter Loscher warned shareholders that the 'most difficult quarters are still to come.'
For the three months to December, its first quarter, the company said the downturn was skewed because the year-earlier period included proceeds from the sale of its auto parts unit VDO.
Sales in the quarter rose 7% to €19.63 billion but orders were down 8% at €22.2 billion.
