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Siemens (OTCPK:SIEGY) said Friday it will reverse some of the impairment it took on its stake in Siemens Energy (OTCPK:SMEGF), leading to a €1.59B (~$1.73B) after-tax net income improvement at the end of its FQ2.
Siemens (OTCPK:SIEGY), which owns about a third of Siemens Energy (OTCPK:SMEGF), said the energy company’s closing share price of €20.24 on March 31 is significantly higher than the closing share price of €13.99 on June 30, when it reported an impairment, resulting in the impairment reversal at the end of the quarter that ends Friday.
The company initially took a €2.8B impairment hit to reflect the declining value of its stake in Siemens Energy (OTCPK:SMEGF).
Siemens (OTCPK:SIEGY) is a great business but the stock is still expensive, Wolf Report writes in an analysis posted recently on Seeking Alpha.
