Siemens reported a 2% rise in industrial profit for its fiscal third quarter on August 2, topping analyst forecasts, though the German engineering giant also reported that revenue for the quarter dropped 4%. The earnings report comes as the company prepares to implement a new strategy that cuts its number of business divisions.

The company announced management changes ahead of the October 1 start of its Vision 2020+ plan, which replaces the company’s Vision 2020 outline adopted in 2014. Under the new plan, whose beginning coincides with the start of the company’s next fiscal year and is scheduled to be in place by the end of March 2019, Siemens’ five industrial divisions will be combined into three operating companies.

The company said the three operating entities—Gas and Power, Smart Infrastructure, and Digital Industries—will give its individual businesses “more entrepreneurial freedom.” The new units will work with what Siemens calls its Strategic Companies, which include Siemens Gamesa, Siemens Healthineers, and the planned Siemens Alstom train unit.…

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