Reuters. Siemens AG’s headquarters can be seen in Munich

FRANKFURT (Reuters) – German engineering firm Siemens (DE:) saw its contract volume increase by 20% in the three months to June and business in 2021 is expected to remain below 2019 levels, the financial director told the Boersenzeitung (BoeZ).

Ralf Thomas said in Saturday’s edition of the newspaper that the company’s third financial quarter, which runs from April to June, “will be a great challenge for us, as it is for most other market players” due to the coronavirus crisis.

“However, this will not be a bottomless pit,” he said, adding that business volume in the short-cycle business was likely to have contracted by 10-20% over the period.

Thomas said in May that he expected revenues to decline by 5 percent for the fiscal year ending September, after forecasting moderate sales growth before the virus appeared.

It did not rule out the possibility of capacity reductions in certain sectors of activity, but left the door open to possible reductions.

He stated that activity in 2021 would not reach the 2019 level in all companies or regions, but said that Siemens had a competitive advantage over its rivals in some areas, without giving details.

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