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Siemens Energy has announced a strong start to the fiscal year, with notable growth and performance across key sectors driving significant milestones in the first quarter.
Benefitting from favorable energy market conditions, Siemens Energy’s first-quarter business development showcased remarkable progress, propelled by sustained positive trends in the energy sector.
Grid Technologies and Transformation of Industry segments capitalized on these favorable conditions, culminating in the company’s highest-ever orders in a quarter. For the first quarter of the fiscal year, Siemens Energy recorded a 23.9% year-over-year increase in orders on a comparable basis, amounting to €15.4 billion. The commendable book-to-bill ratio, slightly above 2, propelled the order backlog to an unprecedented high of €118 billion.
Revenue for the period reached €7.6 billion, reflecting a robust 12.6% increase on a comparable basis. While growth was evident across all segments, Grid Technologies exhibited particularly strong performance. Siemens Energy’s Profit before special items demonstrated a notable improvement, reaching a positive €208 million. This contrasts with the prior year’s quarter, which was burdened by quality-related charges at Siemens Gamesa, resulting in a negative €282 million. Special items, totaling a positive €1,670 million, were primarily driven by a pre-tax gain associated with the sale of an 18 percent stake in Siemens Limited, India, amounting to €1,729 million. C
onsequently, Siemens Energy reported a Profit of positive €1,878 million, a significant turnaround from the previous year’s negative €384 million. The company’s Net income for the quarter amounted to €1,582 million, a stark contrast to the prior year’s net loss of €598 million. Correspondingly, basic earnings per share (EPS) were positive €1.79, compared to the previous year’s negative €0.60. Although Free cash flow pre-tax was negative at €283 million, primarily attributed to Siemens Gamesa’s high cash outflow due to a loss and seasonal fluctuations in operating net working capital, Siemens Energy recorded a cash inflow of nearly €2.1 billion related to the sale of the stake in Siemens Limited, India, contributing to Adjusted Net cash.
Speaking about the results, Christian Bruch, President and Chief Executive Officer of Siemens Energy AG said, “The solid first quarter is encouraging, in part also due to project shifts, which are normal in plant engineering, especially with the market dynamics we are currently seeing. That is why our focus remains on solving the quality problems in our onshore wind business and making the most of the growth potential for the rest of the company”
