Advanced technology and high train durability is what not only India but also other countries need today in terms of train services. German engineering company Siemens seems to be able to meet these requirements as it has recently signed a major contract to supply and service freight trains in India worth €3 billion. This is the most significant or the most valuable delivery in the company's operating history.
Specifically, 1 200 electric locomotives will be supplied and the giant will provide service for these trains for a 35 years. The Siemens locomotives are a top-of-the-range product with 9,000 horsepower and a top speed of 120 km/h and can replace between 500,000 and 800,000 carriages. This expansion and the acquisition of a major customer could help Siemens to increase its mobility sales by 6 to 9 % this year. [1] The news were also posted on the twitter account for Siemens India.
Shares of Siemens Limited reacted almost immediately to the positive news, rising more than 3% after signing a contract to supply and service freight trains for India. For the year 2022, the stock has gained approximately 24%.
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Siemens Ltd's stock performance over the last 5 years. (Source: Investing)
[1] Forward-looking statements are based on assumptions and current expectations, which may be inaccurate, or on the current economic environment, which may change. Such statements are not guarantees of future performance. They involve risks and other uncertainties that are difficult to predict. Results may differ materially from those expressed or implied by any forward-looking statements.
[*] Past performance is not a guarantee of future results
