Despite strong quarterly earnings, shares of Siemens dropped as much as 8.5 percent on Thursday.

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At 11:02 am, shares of the company were down 5.1 percent at Rs 2,161 on the BSE.

The company's consolidated revenue rose 46 percent quarter-on-quarter (QoQ) to Rs 4,296.1 crore in the quarter ended September, while profit came in at Rs 321.6 crore against the previous quarter's profit of Rs 138.9 crore.

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Revenue from all segments witnessed a healthy QoQ growth.

Siemen's operating margin stood at 10.4 percent in the September quarter from 8.4 percent in the previous quarter.

The company’s Order Backlog stands at an all-time high of Rs. 13,520 crore.

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For the Financial Year 2021, Siemens reported an increase of 32.4 percent in new orders.

"We are now at pre-COVID-19 volume levels with a record Order Backlog. As Government investment in infrastructure continues and capacity utilisation levels increase, we believe tendering for private sector Capex will pick up in the months ahead. This will provide further impetus to our continued strategy of profitable growth,” said Sunil Mathur, Managing Director and Chief Executive Officer, Siemens.

Nomura has a 'neutral' rating on the stock. The brokerage said that even as the company's sales were strong, margin came in below estimates due to higher commodity and logistics costs.

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