Siemens stepping up cost savings to tackle COVID-19 downturn

ZURICH (Reuters) - Siemens SIEGn.DE has accelerated and expanded its cost saving programme to tackle the economic downturn caused by the COVID-19 pandemic, deputy Chief Executive Roland Busch told reporters on Thursday.

“In Q2, we announced cost reductions of around 475 million euros ($564.44 million) by fiscal 2021. We’ll now achieve 35 million euros more by that time – that is, 510 million euros in total,” he told a news conference after Siemens posted its fiscal third-quarter results.

Siemens’ Digital Industries division now plans to reach its target of 320 million euro in savings as early as 2021, a goal it previously did not expect to reach until 2023.

Smart Infrastructure raised it target to 340 million euros from 300 million euros originally, Busch said.

Reporting by John Revill; Editing by Maria Sheahan;; +41 58306 7022; Reuters Messaging: