- Siemens Healthineers continues to invest in its employees and expand its locations worldwide
- Production of radiotherapy systems is set to begin later this year in Kemnath, Germany
- Dividend of EUR 0.85 per share proposed for fiscal year 2021
In another year of the pandemic, Siemens Healthineers once again stepped up to take responsibility as one of the world’s most important companies in the healthcare industry. The company and its employees supported medical personnel all over the world along the entire clinical pathway of COVID-19. At the same time, they helped to maintain routine care provided by medical professionals. “The development of Siemens Healthineers in the past fiscal year can only be described as outstanding,” Supervisory Board Chairman Dr. Ralf P. Thomas told this year’s Annual Shareholders’ Meeting of Siemens Healthineers AG. The meeting was again held exclusively online because of the pandemic.
One of last year’s milestones highlighted by Thomas was the acquisition of cancer care specialist Varian for USD 16.4 billion – one of the medical technology sector’s largest transactions of recent years – which was completed within a very short space of time. He added that the company had contributed significantly to dealing with the global pandemic by distributing its rapid COVID-19 antigen tests in Germany, Europe and beyond. Thomas also cited the market approval obtained for the Naeotom Alpha, the first computed tomography scanner based on groundbreaking photon-counting technology. “We are underscoring once again our trailblazing role in setting the pace of innovation in medical technology worldwide,” said Thomas. The Naeotom Alpha was developed in Forchheim, Germany, over a period of 18 years.
Continuing to invest in employees and locations worldwide
CEO Dr. Bernd Montag also highlighted the acquisition of Varian in his speech. “By merging with Varian, we have created a new company capable of shaping the future of healthcare all around the world,” Montag said. Over the past fiscal year, Siemens Healthineers concluded 18 more long-term agreements which are considered “Value Partnerships”. All told, the company is collaborating with 125 healthcare providers around the globe in such comprehensive partnerships.
Regarding the company’s success in the past fiscal year, Montag emphasized the key role that employees play. “We want to be a company where all employees can make the best use of their skills, have the best opportunities for development and advancement, and feel most appreciated. To ensure we remain among the best in future, we’re investing in the know-how of the next generation.” As of now, some 2,700 young people worldwide are setting the course for their professional future as trainees, students or interns at Siemens Healthineers.
Besides investing in the best minds, Siemens Healthineers has also pushed its expansion of state-of-the-art production, development and training sites around the world. This includes a new Innovation Center in Bengaluru, India, which is focused on advancing digitization in the healthcare system and better serving the healthcare needs of emerging countries. Ongoing investment projects also include construction of a High Energy Photonics Center in Forchheim and extension of the Vocational and Advanced Training Center in Erlangen. Siemens Healthineers will also invest some EUR 60 million over the coming years to expand its location in Kemnath. This will strengthen the site’s development and manufacturing of core mechatronic components for all business lines of Siemens Healthineers, as well as the vocational training there. At the same time, the location is to be prepared for production of individual components and complete radiotherapy systems for Varian. “Our aim is to deliver the first radiotherapy systems ‘Made in Kemnath’ this coming fall,” said Montag.
This global expansion supports the ambitious growth targets that Siemens Healthineers has set for itself with “New Ambition”, the third phase of the company’s Strategy 2025. The New Ambition phase maps out the next steps in the company’s onward development in terms of its culture, strategy, and financial goals. By expanding the company’s current market share and tapping into new markets, Siemens Healthineers is striving to achieve a comparable annual growth rate of six to eight percent in fiscal years 2023 to 2025. Adjusted basic earnings per share are expected to increase by 12 to 15 percent per annum over the same period.
Dividend proposal of EUR 0.85 per share
The Annual Shareholders’ Meeting is voting on the dividend for the past financial year, among other agenda items. The Managing Board and Supervisory Board are proposing a dividend of EUR 0.85 per share for the 2021 financial year. This represents a distribution of 55 percent of net income.
