17.04.2025

Siemens Energy Surpasses Expectations with Strong Quarterly Results

Strong Quarterly Results

Siemens Energy has significantly exceeded market expectations with its preliminary quarterly results for the second quarter of 2025, providing a positive surprise for investors.

  • Order Intake: Order intake increased by 52.3% year-on-year to €14.43 billion, driven by the gas technology business.
  • Revenue: Revenue rose by 20.7% to €9.96 billion, surpassing expectations.
  • Adjusted EBIT: With an adjusted EBIT of €906 million and a margin of 9.1%, analyst estimates were significantly exceeded.
  • Free Cash Flow: Free cash flow before taxes nearly doubled to €1.39 billion.

Guidance Upgrade

  • Revenue Growth: The forecast for the current fiscal year has been raised to a growth of 13-15%.
  • EBIT Margin: An EBIT margin of 4-6% is now expected.
  • Net Income: Net income could reach up to €1 billion.
  • Free Cash Flow: A free cash flow before taxes of €4 billion is expected.

Stock Market Reaction

Shares of Siemens Energy rose by eight percent to a new all-time high of €65.58. This positive market reaction reflects the surprisingly strong quarterly results and the raised forecast.

Challenges and Prospects

  • Siemens Gamesa: Despite the challenges, the company has managed to reduce its losses at Siemens Gamesa and expects a stable or growing business.
  • Analyst Opinions: Despite strong operational performance, a sell recommendation remains in place.

Overall, there is a strong operational performance from Siemens Energy, leading to a positive reaction in the stock market. The upgraded forecast underscores confidence in the company’s future development.