Siemens Energy provides for certain losses of some 1.3 billion euros for its wind subsidiary, Siemens Gamesafor the next financial year 2025, even if it maintains the commitment to reach the break-even point (break-even point) in fiscal year 2026.
This figure would represent a reduction of 27% compared to the red numbers of 1,781 million euros presented by the group for Siemens Gamesa during this 2024 financial year.
During a press conference, the CEO of Siemens Energy, Christian Bruch, assured that the company “is currently fully involved” in the adjustment plan it announced for its wind subsidiary and stressed that next year “there will still be a very significant loss for Siemens Gamesa.”
Last May, the group announced an adjustment plan for Siemens Gamesa of its workforce of approximately 4,100 employees worldwide, which would mean eliminating around 430 in Spain.
In this sense, the manager has made no progress in discussions with the unions regarding this plan, although he recognized the need to continue working on the cost structure and reduce some factories.
“In the right direction”
“We are very humbled by this problem and we will have to continue to work hard. Factory productivity has not yet reached what I wanted, which is to say that it will happen gradually. However, all the work that has been done already in 2024 comforts me, because it makes me think we can solve this problem. But step by step, I am moving one step ahead, because we are taking the first steps in the right direction,” he said.
Thus, the group emphasizes that the takeover of Siemens Gamesa continued in 2024, with a significant reduction in its losses, and that the integration and restructuring of the company progressed, maintaining the commitment to reach breakeven (break-even point) in fiscal year 2026.
Concretely, at the end of the 2024 financial year, the company resumed its commercial activity on the platform. on the ground (terrestrial) 4.X with low volume while accelerating activity at sea (offshore wind) continued during the year.
In this regard, between the first and second half of the year, the production of the Cuxhaven factory in Germany it has practically doubled.
It will come out of these guarantees “before 2026”
On the other hand, Siemens Energy did not propose a dividend for the financial year 2024 due to the limitations of its payment policy due to the guarantees it received last year and supported by the german governmentwhich he plans to release “no later than 2026”.
“Due to guarantees from the German federal government, we are not allowed pay dividends“, said Bruch, who indicated that the company’s intention is to exit these guarantees “as soon as possible.”
“We are fully working to resolve this issue. “We are not talking about weeks, of course, we are going to need some time,” he added on this subject.
In 2023, Germany supported the energy group with guarantees of around 7.5 billion euros for its launch on the market. rescue of the company and be able to support strong order growth.
The guarantees were part of a total €15 billion package agreed with private banks and other parties and imposed non-payment of dividends.
However, the financial director, Maria Ferrarowas convinced that Siemens Energy will be able to exit these guarantees “as soon as possible”, “by 2026 at the latest”.
Regarding the change of presidency in the United States, with the return of Donald Trump to the White House, Bruch recalled that Siemens Energy has a significant presence in the country, with eleven factories and some 13,000 employees, and estimated that it will be necessary “Be patient.” to see what is happening with energy policy. “We will try to see how the economic framework changes, but from an economic growth perspective we see it as positive,” he said.
