By the numbers
Q4 Revenue: 6.32 billion euros
Roughly flat year over year
Net income: 597 million euros
4% decrease year over year
Siemens Healthineers has reaffirmed its expectation that the negative impact of tariffs will double in its next fiscal year to reach 400 million euros (nearly $461 million).
With tariffs coming in part way through the company’s financial year, executives forecast in July that the impact would be 200 million to 250 million euros in its fiscal 2025 and 400 million euros to 500 million euros in fiscal 2026. Siemens updated its figures Wednesday as part of its fourth-quarter results. With the final tariff hit for the 2025 fiscal year totaling 200 million euros, the company is predicting a 400 million euro impact for fiscal 2026.
CFO Jochen Schmitz said on the fourth-quarter earnings call that he expects 2026 to be the year the tariff effect is most notable. Provided the current tariff regime stays in place, the company expects the net impact of tariffs to decrease year-on-year as Siemens’ countermeasures take effect. In the medium term, Schmitz expects Siemens to fully offset the negative effects of tariffs.
“With our global production setup and our strong presence in the U.S. and other countries, we have every opportunity to shift parts of our value creation if needed. We are examining the options available to us,” the CFO said at the company’s annual press conference for fiscal 2025. “However, we will take action only once there is sufficient planning certainty and it makes economic sense.”
A focus on making equipment at centers with specialized expertise constrains Siemens‘ ability to relocate manufacturing. Schmitz cited the production of superconducting magnets for MRI body scanners in Oxford, U.K., as one of several examples of Siemens manufacturing operations being tied to expertise in a location.
CEO Bernd Montag named the company’s photon-counting center as another example of an activity that is tied to a specific place. The CEO said on the media call that trying to replicate the site elsewhere would “lose efficiency” and make everything more expensive.
“That is why it is a deplorable development that global companies, that have to be global per se … are basically caught up in this trade war whirlpool,” Montag said.
Higher tariffs hurt all Siemens’ businesses in the fourth quarter. For fiscal 2026, the company is forecasting that tariffs will pressure margins at its imaging and advanced therapies businesses. The company expects Varian and its diagnostics business to be less impacted by tariffs than other units. Tariff projections reflect the location of Siemens’ manufacturing sites.
