MUNICH (Reuters) - Siemens (DE:SIEGn) said quarterly profit from its industrial units fell 4 percent, driven by a drop at its power and gas division, where it is grappling with price pressure, and by weakness in its healthcare unit.
Profit from its businesses excluding financials was 1.81 billion euros (1 billion pounds), Siemens said on Tuesday, below the 1.87 billion euro average analyst forecast in a Reuters poll.
Profit at the power and gas division slumped 39 percent on price pressure for turbines due in part to production overcapacity, while healthcare profit fell 13 percent on weak orders in Asia.
The revelations of weaker results come one day after Siemens overhauled management teams in both divisions.
Siemens shares were indicated down 2 percent ahead of the 0800 GMT Frankfurt market open.
"Shares had a good run and some hoped for a better than expected reported. So we should see profit-taking today," said brokerage Alpha in a note.
New orders fell 13 percent on a comparable basis to 18.0 billion euros, missing the lowest estimate in a Reuters poll. Sales fell 3 percent to 17.4 billion euros while net profit fell 25 percent to 1.10 billion.
The results came ahead of a shareholder meeting expected to be stormy as investors challenge the wisdom of a $7.6 billion deal to buy U.S. oilfield equipment maker Dresser-Rand (N:DRC) just ahead of a steep oil price fall.
Chief Executive Joe Kaeser defended the deal in an interview with CNBC television, saying it still made sense. "We are in here through the cycle and we are in here for the long term," he said.
