Siemens Energy to Hit Top of Guidance With US Demand Strong
(Bloomberg) -- Siemens Energy AG expects to reach the upper end of its full-year guidance on the back of surging orders for its gas turbines and grid equipment amid a boom in global electricity demand.
Net income for its fiscal third quarter came in higher than anticipated at €697 million ($807 million), the German industrial firm said Wednesday. The company reported strong orders in the US, helping it shrug off a €100 million direct hit from tariffs imposed by President Donald Trump.
“It’s about our resiliency in our global footprint that continues to make these numbers really resilient in light of some of that volatility,” Chief Financial Officer Maria Ferraro said in an interview with Bloomberg Television.
Siemens Energy shares whipsawed in early Wednesday trading and were up 0.1% as of 9:15 a.m in Frankfurt. The stock has nearly doubled this year.
Siemens Energy is among the companies benefiting from a flood of investment in power-hungry data centers, which is driving orders for circuit breakers and transformers. Meanwhile, growing global energy demand is boosting sales of its gas turbines.
Siemens Energy in April raised its sales and profit outlook for the year, saying comparable revenue could grow as much as 15% this fiscal year through September. The upgrade also accounted for the impact of US duties, the CFO said Wednesday.
Orders for the latest quarter surged 65% on a comparable basis from a year earlier to hit €16.6 billion, thanks in particular to two large orders in the Baltic Sea for its Gamesa wind-turbine unit. Gas turbines are sold out in some markets for the next couple of years, Ferraro said.
Siemens Energy is now able to resume paying dividends earlier than expected, Chief Executive Officer Christian Bruch said in a statement. It follows a move last month by Germany to lift a restriction on the firm paying dividends after Siemens Energy replaced an €11 billion state-backed rescue package.
The company, which was spun out of Siemens AG in 2020, required a rescue deal two years ago after mechanical problems at Gamesa.
(Updates with share price in fourth paragraph.)
©2025 Bloomberg L.P.
