Shares in Siemens AG fell sharply yesterday after the Munchener said that 1995-96 group net profit rose 19.7% to the equivalent of $1.60bn. The shares fell almost two marks to 78.60 from 80.70 marks after the company said that it forecast no improvement in results for the year that started on October. The figure is before the $325m exceptional gain on the sale of the printer division. In view of declining earnings, notably in the components segment, as well as restructuring measures in the medical engineering group, net income is not expected to grow in fiscal 1997, it said. The worldwide workforce grew to 379,000 as of September 30 from 373,000 a year earlier as the company added more jobs outside Germany than it cut domestically. Underlining the weakness of Siemens’ home market, it reports that domestic sales fell 3.9% to $23.87bn, while international sales rose 13.5% to $37.90bn. Domestic orders were flat at $24.90bn, but international orders rose 16.5% at $41.18bn. Sales at Siemens Nixdorf Informationssysteme AG rose 6% to $8.91bn and pre-tax profits were $34m. Communications equipment sales rose 18% to $15.15bn and profits were $545m. Sales of semiconductors rose 12% to $3.08bn, and profits here were $395m.
