Energy technology: 4.1 billion euros: Record profit at Siemens Energy
In the new financial year, the group, which was still posting deep red figures a few years ago, wants to reach the next milestone. The shareholders are expecting a cash windfall and the workforce is growing.
Siemens Energy's profits have surged to a record high of 4.1 billion euros in the past financial year, marking a more than doubling of revenue, according to official figures. This represents a staggering 145% increase compared to the previous year, when the company's earnings were already the best in its comparatively young history.
The company is already aiming for an even higher record in the ongoing fiscal year, with profits projected to reach 5 billion euros. The surge in profits is attributed to booming business in gas turbines and power grid components. Notably, the company's gas services division saw an Ebit (earnings before interest and taxes) jump by 1.1 billion euros, while grid technologies saw an increase of 851 million.
A significant factor in the improved results was Siemens Gamesa's wind power division, which tightened its losses by 1.5 billion euros, even recording positive earnings in the last two quarters. Excluding non-recurring items, the company's overall year would have been slightly profitable. The strong earnings increase is expected to benefit shareholders, with CEO Christian Bruch aiming to more than triple the dividend to 2.30 euros per share.
The board expects 2026 to be another record year and has set a higher benchmark for 2027 and 2030, planning to capitalize on the favorable market conditions and optimize its profit margins. The company anticipates a significant rise in both sales and profitability by 2030. Siemens Energy has overcome tough years and, despite high demand for its gas and grid technologies, has faced some losses.
However, it has steadily improved, particularly in its Gamesa wind power division, which managed to minimize its losses in recent quarters. The global employee count has increased by 5,000 to 108,000, up from 27,000 the previous year, signaling further job growth. The backlog of orders has nearly quadrupled, reaching 164 billion euros, compared to the 2026 revenue of 44.2 billion.
Unlike many German firms, Siemens Energy has hired more staff recently. The company's CEO emphasized that the demand for energy infrastructure in line with rising electricity consumption remains robust, and the company plans to expand its capacities further.
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