Siemens Healthineers AG (SMMNY) Discusses Q3 Pre-Close Updates: Foreign Exchange and Tariff Impacts on Revenue and Earnings Prepared Remarks Transcript

Unknown Executive

Welcome to our pre-close catch-up for Q3 fiscal year 2026, which was recorded on June 22, 2026. Its content will neither be amended nor updated at any time. With this Q3 episode of our pre-close catch-up, we aim at having everyone on the same page regarding our upcoming Q3 fiscal year 2026 before we go into silent period. We sum up and repeat relevant topics which were communicated in public as potentially relevant for the upcoming quarter and address current macro topics, for example, foreign exchange. Obviously, we are before closing and therefore, have no indications on our Q3 actuals with the quarter ending on June 30.

And before we start with this episode, let me remind you of the safe harbor statement on our website for this recording. I’ll start with some comments on the translational foreign exchange impacts on revenue. As usual, we try to triangulate the transactional impact from the latest foreign exchange movements to align the absolute revenue and organic growth numbers in the models. Let me quote our CFO on translation impact in Q3.

“We see the year-over-year translation headwind easing in Q3 compared to Q2 as we will be going against an already weaker U.S. dollar from prior year.”

In Q2, we saw a translational headwind of around 7%. In Q3, we expect this to become significantly less negative since in prior year Q3, the U.S. dollar became weaker. However, we still expect a year-over-year weaker U.S. dollar in Q3. Assuming that on average, in Q3, the U.S. dollar would be around 3% to 4% weaker than in prior year quarter and assuming for simplification purposes, only 50% U.S. dollar exposure, this would mean roughly a translational headwind of 1 to 2 percentage