Siemens Energy has announced that its wind-turbine unit will return to profitability by 2026 and achieve breakeven. The company has also extended its midterm margin targets for its core businesses. Siemens Energy’s CEO stated, “With a clear action plan in place to simplify the product portfolio, optimize footprint and operations, and strengthen processes and control, the wind business will be fixed.”
In the offshore segment, Siemens Gamesa is increasing production capacity at existing factories to meet customer demand. The company has identified deficiencies in the onshore segment and is preparing remediation action. Chief Executive Christian Bruch emphasized that turning around Siemens Gamesa remains the top priority and the company now has a defined path and action plan.
Siemens Energy’s other three business areas, which account for 70% of the group’s revenue, are all on track to achieve or exceed midterm targets. The company is benefiting from strong market trends such as decarbonization and major grid investment. It now expects margins of 7%-9% at its transformation of industry business, 9%-11% at grid technologies, and 10%-12% at gas services by fiscal 2026. This represents an increase from previously targeted margins of 6%-8% for transformation of industry, 8%-10% for grid technologies and 10%-12% for gas services by fiscal 2025.