Siemens closed fiscal 2026 with record fourth-quarter orders of €34.8 billion, 10% comparable revenue growth and record industrial profit of €3.9 billion, while generating €5.6 billion in quarterly free cash flow.

For the full fiscal year, core profit rose 13% to a record €13.3 billion, as demand for AI data-center infrastructure helped drive results.

Building on that momentum, Siemens raised its midterm comparable revenue growth target to 7–11%, from 6–9%, and expects double-digit EPS growth, citing structural demand, a record backlog and investment in AI and digital infrastructure.

For fiscal 2027, Siemens expects sales to increase 9–11%, with broadly stable or higher profit margins at its two largest divisions.

The company’s backlog reached a record €143 billion at September 30, 2026, and it expects to convert €38 billion into revenue in fiscal 2027, €20 billion in fiscal 2028 and €45 billion thereafter.

Data centers are a major growth engine: Smart Infrastructure orders surged 39% to €8.7 billion, data centers now account for about 20% of the segment’s revenue, and its backlog exceeds €25 billion.

The boom is also creating demand for the electrical, cooling and energy systems required to build and operate data centers, extending the opportunity beyond AI developers and chipmakers.

Roland Busch expects the AI boom to continue, pointing to bipartisan recognition of data centers as a driver of U.S. economic growth and saying he sees no near-term cause for concern.

The key uncertainty is whether local infrastructure and planning systems can keep up, and how political resistance could affect the pace and location of new data-center construction.

Busch framed industrial AI as Siemens’ defining growth opportunity, built on its combination of hardware and software, industrial data, sector expertise, customer trust and global reach; a case study said ANDRITZ Metals completed engineering work twice as fast using Siemens’ Eigen Engineering Agent.

AI accounted for about 5% of Digital Industries software revenue in fiscal 2026, and Siemens said rapid adoption of the Eigen Engineering Agent could double engineering productivity for customers.

In the Q&A, Busch acknowledged some risk from reliance on NVIDIA for AI chips but said Siemens has limited model-training needs; he also argued that industrial AI does not pose the same dangers as systems given harmful objectives.