popular articles

Siemens Energy: Promising Forecasts Boost Stock Price

After strong annual results, Siemens Energy’s stock soars, driven by ambitious forecasts and resolving challenges in wind energy, despite geopolitical uncertainties in the United States.

Please share:

Siemens Energy recorded a remarkable performance in the financial markets this Wednesday. At the Frankfurt Stock Exchange, the German company’s shares surged over 15% early in the session, reaching 45 euros, an all-time high. This leap marks a decisive turnaround for the company after a financially challenging period.

The group reported solid annual results for its fiscal year 2023-2024, returning to profitability after a loss of 2.8 billion euros in the previous year. These results include an annual profit before exceptional items of 345 million euros. This performance starkly contrasts with the difficulties faced in 2023, particularly those of its Spanish subsidiary Siemens Gamesa, specializing in wind energy.

A Refined Model and Strengthened Strategic Sectors

Siemens Energy’s recovery is largely attributed to the streamlining of its activities. Key segments such as grid technologies and gas turbines showed significant improvements in their results. Moreover, strategic measures were taken to refocus the struggling wind energy sector on key markets like Europe and the United States.

Christian Bruch, CEO of Siemens Energy, also reassured stakeholders regarding the potential impact of political changes in the United States, where the return of Donald Trump to power raises questions for the renewable energy sector. “We are currently constructing an offshore wind farm in the United States, and I do not foresee any interruptions,” the executive stated.

Optimistic Forecasts for 2028

The medium-term financial outlook presented by Siemens Energy further strengthened investor confidence. The group anticipates an annual sales growth of around 10% and an operating margin of 10-12% by 2028. These forecasts exceed analyst expectations and send a strong signal to the markets.

Despite this revitalization, Siemens Energy remains under financial scrutiny. The 15 billion euros in public aid received from the German government in 2023 still impose restrictions, including bans on dividend distributions or bonuses for executives. Christian Bruch, however, has promised to lift these guarantees as soon as possible.

A Forward-Looking Dynamic

Siemens Energy is focusing on diversification and consolidation of its activities to maintain this positive trajectory. With approximately 80% of the offshore wind market concentrated in Europe, the group remains confident in its ability to weather potential fluctuations in global demand.

While the renewable energy sector faces numerous challenges, Siemens Energy exemplifies the impact of an adjusted strategy and rigorous management, inspiring investor confidence in an uncertain economic environment.

Register free of charge for uninterrupted access.

Publicite

Recently published in

Masdar, the UAE's renewable energy leader, signs an agreement to develop a 1 GW wind farm in Uzbekistan's Mingbulak region. This project aims to strengthen energy security and support the country's green transition.
Masdar signs an agreement for a 1GW wind farm in Kazakhstan, one of the largest in the region
Masdar signs an agreement for a 1GW wind farm in Kazakhstan, one of the largest in the region
The Council of State has ordered the government to implement measures to expedite renewable energy projects following a lawsuit led by Eolise, a company specializing in wind and photovoltaic energy.
The Council of State has ordered the government to implement measures to expedite renewable energy projects following a lawsuit led by Eolise, a company specializing in wind and photovoltaic energy.
ACCIONA Energía announces the acquisition of two wind farms in Texas, increasing its installed capacity in the United States with an additional 300 MW of renewable energy production.
ACCIONA Energía announces the acquisition of two wind farms in Texas, increasing its installed capacity in the United States with an additional 300 MW of renewable energy production.
The Welsh government has approved the Twyn Hywel wind farm, a major project by Bute Energy, which will support the energy transition by supplying electricity to 81,000 households while stimulating the local economy.
BlueFloat Energy's offshore wind project, Gippsland Dawn, has obtained "Major Project" status in Australia, recognizing its importance to the renewable energy sector and the nation’s energy transition.
BlueFloat Energy's offshore wind project, Gippsland Dawn, has obtained "Major Project" status in Australia, recognizing its importance to the renewable energy sector and the nation’s energy transition.
Vestas quadruples its profit in Q3 thanks to a record order backlog
Vestas quadruples its profit in Q3 thanks to a record order backlog
Sweden's planned offshore wind farms in the Baltic Sea raise concerns about the country's defense capabilities, according to a military report. A crucial choice emerges between energy needs and national security.
Sweden's planned offshore wind farms in the Baltic Sea raise concerns about the country's defense capabilities, according to a military report. A crucial choice emerges between energy needs and national security.
Sweden has recently rejected 13 wind farm projects in the Baltic Sea, citing defense-related security concerns. This decision raises questions about balancing energy needs with national protection.
The Bureau of Ocean Energy Management (BOEM) and the Department of Defense (DoD) unite to support offshore wind development, ensuring compatibility with essential military operations.
The Bureau of Ocean Energy Management (BOEM) and the Department of Defense (DoD) unite to support offshore wind development, ensuring compatibility with essential military operations.
The Biden-Harris administration has completed a historic offshore wind lease sale in the Gulf of Maine, aiming to generate enough clean energy to power 2.3 million homes. This milestone is part of the ambitious American energy transition.
The Biden-Harris administration has completed a historic offshore wind lease sale in the Gulf of Maine, aiming to generate enough clean energy to power 2.3 million homes. This milestone is part of the ambitious American energy transition.
For the first time, wind energy produced the majority of electricity in Finland this weekend, supported by powerful winds and increased wind turbine capacity.
For the first time, wind energy produced the majority of electricity in Finland this weekend, supported by powerful winds and increased wind turbine capacity.
The global wind energy sector is expected to reach new milestones in 2024, driven by favorable conditions and massive investments, particularly in China, the United States, and Germany.
Missioned by wind developers and farmers, geobiologists are accused of charlatanism. Their method, not scientifically validated, raises concerns among sector specialists.
Missioned by wind developers and farmers, geobiologists are accused of charlatanism. Their method, not scientifically validated, raises concerns among sector specialists.
Eight European countries meet to strengthen their commitments to offshore wind energy in the North Sea, a sector facing the growing challenge of Chinese companies.
Eight European countries meet to strengthen their commitments to offshore wind energy in the North Sea, a sector facing the growing challenge of Chinese companies.
The Gonzaga Ridge project in Merced County will provide 147.5 MW of wind energy and 50 MW of storage for CleanPowerSF, doubling the supply of clean energy for 385,000 customers.
The Gonzaga Ridge project in Merced County will provide 147.5 MW of wind energy and 50 MW of storage for CleanPowerSF, doubling the supply of clean energy for 385,000 customers.
Eletrobras and Ocean Winds have signed an agreement to explore the potential of offshore wind energy in Brazil, aiming to develop this new renewable energy source to meet the growing demand for clean energy.
Copenhagen Energy has obtained the Green Lane Certification for its BuhaWind projects in the Philippines, facilitating the rapid implementation of wind farms and contributing to the country's energy transition.
Copenhagen Energy has obtained the Green Lane Certification for its BuhaWind projects in the Philippines, facilitating the rapid implementation of wind farms and contributing to the country's energy transition.
The Neart na Gaoithe offshore wind farm, located off the coast of Scotland, has injected its first megawatts of electricity into the national grid, a major step towards the UK's carbon neutrality.
The Neart na Gaoithe offshore wind farm, located off the coast of Scotland, has injected its first megawatts of electricity into the national grid, a major step towards the UK's carbon neutrality.
The Bureau of Ocean Energy Management (BOEM) has completed its environmental analysis for six offshore wind zones, supporting the Biden-Harris administration’s goal of deploying 30 GW of offshore wind energy by 2030.
The Bureau of Ocean Energy Management (BOEM) has completed its environmental analysis for six offshore wind zones, supporting the Biden-Harris administration’s goal of deploying 30 GW of offshore wind energy by 2030.
The British CAA permits the use of drones for monitoring energy infrastructures, impacting operational efficiency and security in the sector. This decision opens new perspectives for the maintenance of wind turbines and power lines.
Cordelio Power announces the launch of four projects in construction and the commissioning of a wind project, thereby strengthening its position in the energy market.
Cordelio Power announces the launch of four projects in construction and the commissioning of a wind project, thereby strengthening its position in the energy market.
Boralex has acquired the Sallachy wind project in the Scottish Highlands. This operation is part of the company's development strategy in the UK, with an installed capacity of 50 MW planned for 2028.
Boralex has acquired the Sallachy wind project in the Scottish Highlands. This operation is part of the company's development strategy in the UK, with an installed capacity of 50 MW planned for 2028.
Across Europe, wind farm projects face increasing opposition in rural areas. Examples in Sardinia, Auvergne, and other regions illustrate the tensions between energy transition and the protection of territories.
Across Europe, wind farm projects face increasing opposition in rural areas. Examples in Sardinia, Auvergne, and other regions illustrate the tensions between energy transition and the protection of territories.

Advertising