Siemens, IFS Align Technology To Improve Operational Performance

Siemens reported record quarterly industrial profit and orders, raising full-year guidance. For the three months ended June 30, industrial profit rose 25% to €3.52B, above a €3.18B consensus, with revenue up 7% to €20.79B and orders up 13% to €27.90B. EPS guidance increased to €11.20-€11.50. Siemens also said tax authorities agreed on the planned Siemens Healthineers spin-off.

Romanian rail operator CFR said it signed two contracts totaling over 957 million lei (about €182.7m) to modernize signaling and interlocking on Cluj and Timisoara networks. Awards went to a consortium led by Siemens Mobility with Imsat and Elsitel. Terms are 30 months plus a 60-month warranty, aiming to centralize signaling and cut traffic management costs.

Siemens said it agreed to acquire privately held Precision Innovations Inc. to add AI chip planning tools based on the OpenROAD framework for SoC feasibility analysis and design exploration. Precision Innovations’ EDA software supports power, performance and area evaluation and reduces design iterations. The deal, with undisclosed terms, is expected to close in Q3 2026 subject to customary conditions.

European STOXX 600 was flat at 650.84. Tech stocks fell as investors weighed high AI/chip valuations; ASML and Infineon each dropped 4%, and Siemens Energy slid 5.5% after Barclays downgraded it. Defence stocks edged up ahead of a NATO summit; Saab rose 5.3% after Morgan Stanley upgraded, and Shell gained 2.2% after raising its Q2 integrated gas outlook.

SK Hynix said it will invest 54 trillion won (about $38 billion) to build two new DRAM and NAND fabs, Y2 in Yongin and M17 in Cheongju, as part of a broader 700 trillion won plan. Construction for Y2 starts July 2027, with a first cleanroom by June 2029. M17 construction begins Feb 2027, first cleanroom Dec 2028. The company cited strong HBM and NAND demand.

Reuters reports Alibaba will require major users of its upcoming open-source Qwen 3.8-Max AI model to negotiate commercial licenses and share revenue from products built with the model. The revenue share rate is not yet set, and the measure may be introduced next week. The plan follows Moonshot’s Kimi K3 licensing, which can require paid deals and up to 30% revenue sharing.