For the year as a whole, Siemens Energy now expects a sales development of minus two to plus three percent in the forecast, which was slightly lowered a few weeks ago.
(Photo: dpa)
Munich The Dax group Siemens Energy slipped into the red because of the problems at the wind power subsidiary Siemens Gamesa. In the first quarter of the 2021/22 financial year, which ended on September 30, the group posted a loss of EUR 240 million after a profit of EUR 99 million in the same period of the previous year.
The renewed profit warning from Siemens Gamesa, which shook the group three weeks ago, is “a setback and disappointing for all shareholders,” said Siemens Energy boss Christian Bruch on Wednesday. As the majority shareholder, you will support the new management of Siemens Gamesa in “achieving the turnaround in the onshore business, even in a difficult market environment”.
Siemens Energy had already presented the first figures three weeks ago and, due to the problems at Siemens Gamesa, lowered its expectations for the full year. As a consequence, Siemens Gamesa boss Andreas Nauen has to go. Siemens Energy board member Jochen Eickholt should bring the wind power subsidiary on course.
>> Read here: Siemens reaches a new yield level – but the revaluation of the share does not take place
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Siemens Energy also announced the succession plan on Wednesday: 44-year-old Karim Amin will be Eickholt’s successor on the Management Board. He currently heads the Generation division, the largest business area with 26,000 employees.
Joe Kaeser, Chairman of the Supervisory Board of Siemens Energy said: “Karim Amin is an excellent manager with a great passion for people, our customers and the energy business.”
Great need for action at Siemens offshoot
The need for action at the Siemens offshoot is great. In the first quarter of the 2021/22 fiscal year, Siemens Energy’s revenues fell by more than eleven percent to 5.95 billion euros. Operationally (adjusted Ebita), the Dax group made a loss of 57 million euros. The results were significantly worse than analysts had originally expected.
A closer look at the figures shows that the problems primarily lie in the renewable energy business. Siemens Gamesa’s sales fell by 23 percent to 1.8 billion euros in the first quarter. The bottom line was a loss of a good 400 million euros.
On the other hand, in the traditional business with power plants, which has been weakening for years, there has been progress in restructuring. Sales here fell by around six percent to 4.1 billion euros. However, the adjusted operating result rose from 193 to 259 million euros, which corresponds to a decent operating margin of 6.2 percent.
For the year as a whole, Siemens Energy now expects a sales development of minus two to plus three percent and an adjusted EBITA margin before special items of two to four percent in the forecast, which was slightly lowered a few weeks ago. The forecast for the coming fiscal year is also being put to the test.
The good order development gives hope. The new orders in the Siemens Energy Group rose on a comparable basis by a good ten percent to 8.3 billion euros. The order backlog reached a new high of EUR 87.1 billion.
More: This manager should solve the problems at Siemens Gamesa
