The company's net profit dropped around €300 million to €1.46 billion on the same period last year, it was announced at the Annual General Meeting in Munich.
The company's leadership blamed delays to major projects, including the development of wind energy parks, as well as the manufacture of ICx fast trains for Germany's rail operator Deutsche Bahn.
On top of this, Siemens was hit hard by the debt crisis in the eurozone, with orders down five percent on last year. But thanks to a large reserve of commissions, the company was able to increase overall turnover by two percent.
“We're very clearly maintaining our targets,” Siemens boss Peter Löscher said Tuesday morning in an interview with Bloomberg TV.
But he also announced he would have to gird shareholders for difficult year ahead. “Even though we're expecting a recovery in the second half of the year, we have to work hard to reach our targets,” he added.
Siemens wants to increase turnover by between three and five percent in 2012, and equal last year's total profit of €6 billion.