Siemens Energy AG has raised its financial forecast for fiscal year 2025 after recording one of the strongest quarterly performances in its history during the second quarter. The German company reported orders totalling €14.4bn ($15.48bn), a 52.3% increase compared to the same period last year on a comparable basis.
Strong performance across all segments
This growth was largely supported by the Grid Technologies and Gas Services divisions, with the latter achieving its highest quarterly order intake to date. Group revenue rose by 20.7% to €10.0bn ($10.75bn), with all segments reporting double-digit growth. The order backlog reached €133bn ($142.91bn), a new record for the company, with a book-to-bill ratio of 1.45.
Profit before special items amounted to €906mn ($973mn), compared to €170mn ($182mn) a year earlier, reflecting a margin of 9.1%. After accounting for negative special items of €291mn ($312mn), mainly related to the sale of its wind business in India, net income stood at €501mn ($538mn), up from €108mn ($116mn) in the same period in 2024.
Cash flow momentum boosted by customer payments
Free cash flow before tax increased sharply to €1.39bn ($1.49bn), compared to €483mn ($519mn) last year. This improvement was driven by higher profits and a substantial inflow of customer payments, including reservation fees.
Siemens Energy now expects revenue growth of between 13% and 15% for the full fiscal year 2025, with a profit margin before special items between 4% and 6%. The group also anticipates net income of up to €1bn ($1.07bn), excluding potential positive impacts from the legal separation of its energy business in India.
Heightened vigilance amid trade tensions
In April 2025, the government of the United States announced new tariffs on imports from several countries. Siemens Energy stated it is closely monitoring the situation and analysing the potential effects on its financial position. The company currently expects a limited direct impact on second-half profit in the high double-digit million euro range, after mitigation measures.
“The rising demand for electricity led to an exceptionally strong quarter,” said Christian Bruch, President and Chief Executive Officer of Siemens Energy AG. “The improved outlook reflects our confidence in resilient market conditions and our ability to deliver projects effectively.”
