Siemens Energy has announced plans to bring its struggling wind-turbine unit back to breakeven by 2026, and return to profitability after that. The German company has also extended midterm margin targets for its core businesses.
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.
Siemens Gamesa’s turnaround remains the highest priority for the company, and it now has a defined path and action plan in place.
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.
Siemens Energy 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 the previously targeted margins. Last year, Siemens Energy had aimed for margins of 6%-8% for transformation of industry, 8%-10% for grid technologies and 10%-12% for gas services by fiscal 2025.