Siemens Energy Update Over a Period of Two Days
Siemens Energy, a leading player in the energy technology sector, has announced impressive financial results for its third quarter of fiscal year 2025. The company reported a sales growth of approximately 13.5% on a comparable basis, reaching revenues of €9.7 billion[1][4][2].
The profit before special items was €497 million, representing a profit margin of 5.1%. Net income saw a significant increase, with a net profit of €697 million, a stark contrast to the net loss of €102 million in the same quarter of the previous year[2][4][1].
Looking ahead, Siemens Energy has raised its full-year forecast, expecting comparable sales growth between 13% and 15% and a profit margin before special items in the range of 4% to 6%. The company also anticipates net income to reach up to €1 billion, excluding positive special items of about €0.5 billion related to the demerger of the Indian energy business[1][5].
The strong performance can be attributed to solid demand across all segments, record orders, and improved operational profitability, supporting the company’s raised outlook and positioning Siemens Energy toward the upper end of its guided range for the full fiscal year[2][1].
The company's gas and network technology segments are currently performing well, with the gas technology division showing particularly strong performance. However, it's worth noting that Siemens Gamesa's wind business, currently undergoing restructuring, is expected to report losses before one-off effects of 1.3 billion euros[3].
Despite this, Siemens Energy remains optimistic about Siemens Gamesa, expecting sales to at least remain stable and potentially grow by two percent[3]. The company can already pay a dividend for the current financial year, having prematurely redeemed state guarantees from the federal government in June[1].
Investors can consider staying on board with Siemens Energy, a DAX title, as analysts such as JPMorgan's Akash Gupta assume that the results will likely meet market expectations[6]. The stop-loss for Siemens Energy shares is suggested to be at 78.00 euros[1].
Sources: 1. dpa-AFX 2. Reuters 3. Bloomberg 4. Financial Times 5. Siemens Energy Press Release 6. JPMorgan Research
The profit margin before special items is expected to be within the range of 4% to 6%, and Siemens Energy anticipates net income to reach up to €1 billion, mainly due to the impressive sales growth and solid demand across all segments.
The strong financial results, including a profit before special items of €497 million, are contributing to Siemens Energy's optimism about its future performance in the fiscal year 2025.
