Siemens Energy and the Spanish subsidiary Gamesa: Net loss of almost three billion euros in the 3rd quarter

Siemens Energy posted a net loss of almost 3 billion euros in the third quarter, mainly due to significant problems at its Spanish wind energy subsidiary Gamesa. The company now expects a total loss of around 4.5 billion euros for the current financial year, with Gamesa accounting for around 4.3 billion euros of that. In November, Siemens Energy will conduct a strategic review of its wind business and announce further details as part of a capital markets day.

Quality issues with onshore wind turbines

Siemens Energy's problems stem from quality problems with onshore wind turbines, which have resulted in additional costs of over 1 billion euros. In particular, repairs for certain rotor blades and main bearings are estimated at a total of 1.6 billion euros. The higher material and procurement costs for offshore wind turbines will further burden the company.

The quality problems with the wind turbines have presented Siemens Energy with significant challenges. These issues affect not only the company's financial performance but also its reputation and credibility in the market. Customers have expressed concerns about the reliability of the turbines and this has led to a decline in orders.

In addition, media coverage of the quality problems has led to an image problem. Potential investors and business partners may now hesitate to work with Siemens Energy, which could negatively impact future projects.

Discussions in the supervisory board

The problems in the area of ​​renewable energies have led to intensive discussions in the supervisory board. The management team and the Board of Directors have dealt with the challenges and discussed possible solutions. Some board members have suggested that personnel changes may be necessary to get the company back on track. However, no final decisions regarding such changes have been made at this time.

Gamesa: Mainly responsible for the loss

Gamesa accounts for around 4.3 billion euros of the total loss. The Spanish subsidiary is struggling with significant challenges that have put the company in distress. The announced strategic review of the wind business aims to address the problems at Gamesa and bring about a successful turnaround.

Outlook despite challenges

Despite the challenges, Siemens Energy remains confident of successfully restructuring Gamesa's operations. The company recognizes that this will be a challenging process, but is committed to taking the necessary steps to improve Gamesa's performance and get the wind business back on track.

Strategic realignment in the wind business

In order to overcome the problems at Gamesa and ensure the long-term competitiveness of the wind business, Siemens Energy is planning a strategic realignment. This should not only aim to resolve current challenges, but also create long-term prospects for growth and innovation.

Capital Markets Day in November

As part of the Capital Markets Day in November, Siemens Energy will provide detailed insights into the planned realignment. Investors and stakeholders can look forward to detailed information on the future of the wind business. Open communication and transparency towards stakeholders are of great importance to Siemens Energy.

Realignment of the wind business

Siemens Energy is currently facing significant challenges due to problems at its subsidiary Gamesa. The strategic review and realignment of the wind business are crucial steps to get the company back on the road to success. Despite the current losses, Siemens Energy is confident that it can overcome the problems and ensure the company's long-term competitiveness. Investors and stakeholders can be excited to see what specific measures the company will present at the Capital Markets Day in November.

Siemens Energy and Gamesa are two well-known companies that specialize in different areas of the energy industry. They have joined forces to play a leading role in the global energy transition.

Siemens Energy: A pillar of the energy industry

Siemens Energy is a leading company in the field of energy generation, transmission and distribution. It was created in 2020 as an independent company from the spin-off of the energy technology business from Siemens AG. With a long history and experience in the energy industry, Siemens Energy is a significant player in the global market.

Renewable energy

Siemens Energy is a pioneer in the development and manufacture of wind turbines, solar systems and hydroelectric systems. Through its subsidiary Siemens Gamesa Renewable Energy, the company is particularly known for its wind turbines.

Conventional energy technology

In addition to renewable energies, Siemens Energy is also a leader in the production of gas turbines and steam turbines for traditional power plants.

Digitalization and automation

The company is increasingly relying on digitalization and automation to increase the efficiency and performance of energy systems and optimize operations.

Gamesa: A pioneer in the wind energy industry

Gamesa, a Spanish subsidiary of Siemens Energy, specializes in the manufacture of wind turbines and is considered one of the world's leading manufacturers in this area.

History and experience

Gamesa was founded in 1976 and has become an industry pioneer over the years. In 2016, it merged with Siemens Wind Power, resulting in the creation of Siemens Gamesa Renewable Energy.

Wind turbines

Gamesa produces a wide range of wind turbines, including onshore and offshore turbines. These turbines are characterized by high efficiency and reliable performance.

sustainability

Gamesa follows a sustainable production strategy and strives to reduce its own environmental impact and help its customers generate sustainable energy.

Common goals and synergies

The merger of Siemens Wind Power and Gamesa to create Siemens Gamesa Renewable Energy has resulted in diverse synergies and strengthened the company's competitiveness.

global presence

Through the merger, Siemens Energy and Gamesa have expanded their global presence and are able to offer their products and services worldwide.

Technological innovation

The two companies' combined expertise has led to significant technological innovations in the wind energy industry, such as more powerful and efficient wind turbines.

Contribution to the energy transition

Siemens Gamesa Renewable Energy's products make a significant contribution to promoting renewable energies and reducing CO₂ emissions, making a positive contribution to the global energy transition.

News and recent developments

In 2023, Siemens Gamesa Renewable Energy continued to make significant progress in the industry.

Record-breaking turbines

The company has introduced a new generation of wind turbines that are even more powerful and efficient than their predecessors. These turbines will help further reduce the cost of wind energy production and increase energy yield.

Offshore wind farms

Siemens Gamesa Renewable Energy has won several large projects for offshore wind farms. These projects will increase the capacity of offshore wind energy and contribute to achieving energy goals in the respective regions.

Hydrogen initiatives

Siemens Gamesa Renewable Energy has increased its efforts to combine wind energy with hydrogen technology. Hydrogen can serve as a clean energy source and contribute to the decarbonization of other sectors such as industry.

Expertise in renewable energies and conventional energy technology

Siemens Energy and its subsidiary Gamesa are influential players in the global energy transition. Their expertise in renewable energies and conventional energy technology, coupled with their ability to innovate, has made them important drivers of sustainability. With new record turbines, offshore projects and hydrogen initiatives, they are expected to continue to play a central role in the transition to a clean and sustainable energy future.

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