Siemens Energy profit more than doubles to 4.1 billion euros, dividend triples

Siemens Energy closed its 2025/2026 business year, which ran to the end of September, with a net profit of 4.1 billion euros, compared with 1.7 billion a year earlier. Revenue rose 15.5% to 44.2 billion euros, and orders grew about 19% to 68.1 billion euros. Operating profit before special items came to 5.486 billion euros, more than double the prior year's level. The company said the figures matched analyst expectations, which had pointed to revenue of around 44 billion euros and pre-special-items earnings of 5.4 billion euros.

Fiscal 20251.7

Fiscal 20264.1

Fiscal 2025

1.7 billion euros

Fiscal 2026

4.1 billion euros

Data from the article text

Shareholders are to receive a dividend of 2.30 euros per share for the 2026 business year, up from 70 cents for 2025. The company is also expanding its share buyback programme by up to 9 billion euros, running through the end of fiscal 2030. After the results were released, the shares rose markedly in pre-market trading.

Fiscal 20250.7

Fiscal 20262.3

Fiscal 2025

0.7 EUR

Fiscal 2026

2.3 EUR

Data from the article text

Outlook to 2030

For the current 2026/2027 business year, management projects revenue growth of 14 to 16% and an operating margin before special items of 14 to 16%, up from 12.4%. Net profit is expected to reach around 5 billion euros. Through fiscal 2030, revenue is to grow by 12 to 14% on average a year, and the margin before special items is targeted at 20 to 22% in that year. Bruch said on Wednesday, 11 November:

“We have met all raised forecasts, significantly increased earnings and reached the break-even point in the wind business.”

The order backlog stands at 164 billion euros, close to four times the 2026 revenue. Finance chief Maria Ferraro said:

“2026 was once again a record year for us.”

Ferraro added that the company wants to use the strong market environment to work through its record order backlog profitably.

Gamesa and the segments

The wind unit Gamesa, which had long dragged the group into the red, returned to profit. Its fourth-quarter operating result before special items came to 23 million euros, against a loss of 303 million a year earlier. Over the year the unit cut its losses by 1.5 billion euros and recorded positive results in the last two quarters. Operating profit (Ebit) at Gas Services rose by 1.1 billion euros and at Grid Technologies by 851 million euros, supported by booming business in gas turbines and grid components.

Investor doubts

The share price has moved the other way. After a crisis in autumn 2023, when the stock at times traded at around 7 euros, it climbed to 187 euros. Since spring it has trended lower and has lost about a third of its value. Ingo Speich of the fund company Deka called the decline worrying and said:

“Air has been let out of the AI sector everywhere. Siemens Energy is affected by this too.”

Jasmin Wolfram of Union Investment said the group has over the past two years been valued increasingly as a winner of the AI boom rather than as a classic energy technology company. The market appears to assume that demand for gas turbines has peaked. Competitor GE Vernova reported third-quarter organic revenue growth of 18% to 12.6 billion dollars, while Siemens Energy's fourth-quarter revenue rose 21.5% to 12.8 billion euros.

Transformation of Industry spin-off

Siemens Energy announced in the summer that it would spin off Transformation of Industry (TI), the unit that houses steam turbines and electrolysers. Finance-sector experts welcome the move because it focuses the group on its power businesses. TI has few synergies with the rest of the group, and margins in other areas are higher. According to industry sources, financial investors show strong interest in TI, and some strategic buyers have also come forward.