The company is currently making big losses with wind power.
(Photo: dpa)
Munich Siemens Energy more than doubled its losses at the start of the new year. The minus increased in the first quarter of the 2022/23 financial year from 246 to 598 million euros, as the Dax group announced on Tuesday shortly before the general meeting. The long-term crisis at the wind power subsidiary Siemens Gamesa is responsible for the red figures.
CEO Christian Bruch still sees rays of hope. “The growth in our order intake shows that we have the right portfolio to benefit from the energy transition,” he said. On a comparable basis, new orders increased by almost half to 12.7 billion euros. Sales improved by 16 percent to a good seven billion euros.
In January, the energy technology specialist had already received the forecast for the fiscal year that ends on September 30 and named the first figures. The detailed quarterly report on how much the high losses at Siemens Gamesa are affecting the company. The other business areas “Gas Services” with gas turbines, “Grid Technologies” with electricity transmission and “Transformation of Industry” with hydrogen technologies were able to improve their results significantly.
Quality problems on Gamesa wind turbines
But quality problems on older Siemens Gamesa wind turbines have once again spoiled the results. Some investors are getting impatient. “We are currently not seeing any significant progress at Gamesa, quite the opposite,” said Ingo Speich, Head of Sustainability and Corporate Governance at Deka Investment. Gamesa continues to be a very heavy burden for the entire group.
The specialist for renewable energies, which Siemens Energy is currently integrating more closely after the complete takeover, made a loss of 884 million euros in the first quarter. Bruch said: “The intended withdrawal of Siemens Gamesa from the stock exchange will help to focus on solving the operational problems and the turnaround.”
Gamesa had already pushed the group deep into the red last year. The loss of the still young Siemens Energy Group rose from 560 to 647 million euros in 2021/22. Since the spin-off from Siemens almost three years ago, the company has consistently been in deficit.
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