Siemens to buy back EUR4 billion of own shares
In its statement, Europe's largest engineering company Siemens AG revealed plans to launch a EUR4 billion or USD5.4 billion stock buyback program. Siemens would be purchasing its own shares back over the next two years.
Chief Executive Officer Joe Kaeser said, "We're looking ahead and concentrating on measures aimed at improving our profitability, which we are implementing rigorously and prudently."
Kaeser was credited for slashing charges on Siemens' energy projects that were delayed. As such, Siemens was able to beat analysts' estimates as it earned EUR1.08 billion for the third quarter ending September 30. Analysts estimated that Siemens would be earning EUR997 million in the third quarter.
Kaeser reportedly would also be making some divestments to focus on Siemens' business that showed growth potential. Yesterday, the engineering company had agreed to sell a portion of its water-technologies division for EUR640 million to AEA Investors.