Earnings Release Q4 FY 2024

Earnings Release Q4 FY 2024:��˿�� achieves all annual goals and sets new targets for 2028

��˿��'s markets continued to develop favorably. This was reflected in strong order intake. In combination with an excellent operational performance the quarterly figures were strong at both the top and the bottom line.
Orders of ��˿�� came in at €15.0bn growing by 42.3% on a comparable basis (excluding currency translation and portfolio effects), which was mainly driven by large orders at Grid Technologies and Gas Services. Transformation of Industry reached its highest order intake in a quarter to date and ��˿�� Gamesa booked orders close to prior-year quarter’s level. Book-to-bill ratio (ratio of orders to revenue) was 1.54, leading to an order backlog of €123bn at year-end once more exceeding the previous high.
Revenue of €9.7bn was up by 16.6% on a comparable basis largely due to Grid Technologies and ��˿�� Gamesa, where the ongoing rampup drove strong revenue growth in the offshore business.
��˿��’s Profit before Special items was negative with €83m (Q4 FY 2023: negative €487m) due to the expected loss at ��˿�� Gamesa. All segments improved compared to the prior-year quarter. Special items decreased to negative €32m (Q4 FY 2023: negative €64m). Profit for ��˿�� came in at negative €115m (Q4 FY 2023: negative €551m).
Accordingly, ��˿�� incurred a Net loss of €254m (Q4 FY 2023: Net loss €870m) in the quarter. Corresponding basic earnings per share (EPS) were negative at €0.34 (Q4 FY 2023: negative €1.04).
Free cash flow pre tax amounted to €932m (Q4 FY 2023: €1,108m), which was stronger than expected, below prior-year quarter’s level primarily due to the decrease at ��˿�� Gamesa. All segments delivered positive cash flows.��

Christian Bruch, President and��CEO of ��˿�� AG:

“In a pivotal fiscal year 2024, we achieved all our goals, driven by strong orders and project execution across all our businesses. Our focus remains on profitable growth, supported by highly favorable market conditions. The new mid-term targets until fiscal year 2028 reflect our leading role in the energy transition”

For fiscal year 2025, we anticipate overall favorable conditions in ��˿��’s relevant market environment. Strong electricity consumption growth and the requirements of the energy transition necessitate investment in energy infrastructure supporting all businesses of ��˿��. Regarding ��˿�� Gamesa a clear way forward is defined, and we assume that we will successfully continue on the path to reach break-even in fiscal year 2026. In particular, we expect sales activities for the 5.X onshore turbine to be resumed during fiscal year 2025.

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Therefore, we expect for ��˿�� to achieve comparable revenue growth (excluding currency translation and portfolio effects) in fiscal year 2025 in a range of 8 % to 10 % (actual figure FY 2024: 12.8 %) and a Profit margin before Special items between 3 % and 5 % (actual figure FY 2024: 1.0 %). We expect Net income to be around break-even excluding assumed positive Special items subsequent to the demerger of the energy business from ��˿�� Limited, India (actual figure FY 2024: Net income €1,335m) and Free cash flow pre tax up to €1bn (actual figure FY 2024: €1,859m).

The outlook for ��˿�� does not include charges related to legal and regulatory matters.

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Overall assumptions per business area

Gas Services assumes a comparable revenue growth of 7 % to 9 % (actual figure FY 2024: 1.4 %) and a Profit margin before Special items of 10 % to 12 % (actual figure FY 2024: 9.5 %).
Grid Technologies plans to achieve a comparable revenue growth of 23 % to 25 % (actual figure FY 2024: 32.2 %) and a Profit margin before Special items between 10 % and 12 % (actual figure FY 2024: 10.5 %).
Transformation of Industry expects a comparable revenue growth of 11 % to 13 % (actual figure FY 2024: 16.3 %) and a Profit margin before Special items of 8 % to 10 % (actual figure FY 2024: 7.4 %).
��˿�� Gamesa assumes a comparable revenue growth of negative 9 % to negative 5 % (actual figure FY 2024: positive 11.1 %) and a negative Profit before Special items of around €1.3bn (actual figure FY 2024: negative €1,781m).

��˿�� is one of the world’s leading energy technology companies. The company works with its customers and partners on energy systems for the future, thus supporting the transition to a more sustainable world. With its portfolio of products, solutions and services, ��˿�� covers almost the entire energy value chain – from power and heat generation and transmission to storage. The portfolio includes conventional and renewable energy technology, such as gas and steam turbines, hybrid power plants operated with hydrogen, and power generators and transformers.
Its wind power subsidiary ��˿�� Gamesa makes ��˿�� a global market leader for renewable energies. An estimated one-sixth of the electricity generated worldwide is based on technologies from ��˿��. ��˿�� employs around 99,000 people worldwide in more than 90 countries and generated revenue of €34.5 billion in fiscal year 2024. www.siemens-energy.com

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