Siemens says its long-awaited healthcare unit listing will come only next year and posts third-quarter results that are dragged down by its energy-related businesses. Shares in the German industrial group suffer a near three per cent fall in early trade.
From building trains - to scanning brains .... Siemens has wide interests, but it's the healthcare unit that's causing the complaint right now. A long awaited IPO is on hold until next year. Investors: disappointed - even if they see good cause. SOUNDBITE (English) CITY INDEX MARKET ANALYST, KEN ODELUGA, SAYING: "I think something so important is, it produces the most revenue and I believe the most profit for the group in the just reported quarter. So you need to make sure that it really works well." Especially when new record highs in global stocks raise thoughts of the big lows that could follow. SOUNDBITE (English) CITY INDEX MARKET ANALYST, KEN ODELUGA, SAYING: "We're in a situation where we're constantly being told the market could at some point fall off a cliff. It hasn't really done that yet. But that would certainly scupper any sort of IPO plans for the moment they're considering them so that needs to be borne in mind." The Healthineers unit carry a value of 40 billion euros if and when floated. And raise the value profile of the industrial businesses that remain - just when they need it. Profits are down 23 per cent for the Power and Gas unit - orders down 41 per cent. Prompting CEO Joe Kaeser to admit that 'everything is not perfect'. For the moment, traders agree - selling Siemens off to an eight-month low in European trading - while hoping the malaise is only temporary.