Siemens Energy Surprises with Recovery Orders After Turbine Drama

amsterdam - Siemens Energy raises profit outlook after wind turbine issues, sees order recovery. Analysts react positively to the news.

Siemens Energy Raises Profit Outlook

Siemens Energy, a specialized company in wind turbines and electricity systems, boosts profit forecast after recent order recovery. The company's stock surged following the announcement.

Financial Performance

• Revenue in Q2 increased by 20.7% to €9.96 billion, surpassing analysts' expectations.
• Net profit reached €615 million, exceeding market forecast of €372 million.

Analysts' Reactions

• Analysts view Siemens Energy as a 'rare positive surprise' in the European industry.
• Expectations for the sector are likely to be revised following the company's performance.

Market Impact

Siemens Energy's stock in Frankfurt records strongest intraday gain in five months, tripling in value since October 2023. CEO Christian Bruch anticipates a profitable year ahead amid growing global interest in electrification projects.

Wind Division Recovery

• Siemens Gamesa, the wind division, reduces losses to €249 million with a 16% revenue increase.
• The company shows signs of stabilization despite overall losses in the wind sector.

The company was separated from Siemens Group in 2020 and remains majority-owned by the parent company.