Siemens Energy, Finspång, 2026 file photo. Bene Riobó / CC BY-SA 4.0; cropped.
Siemens Energy plans to buy back up to €9 billion more of its shares through the end of fiscal 2030 and proposed more than tripling its dividend Wednesday, after record annual results and a return to break-even at its wind-turbine business.
The Munich-based energy technology group said the additional repurchases would expand its existing buyback program. It proposed a fiscal 2026 dividend of €2.30 a share, up from €0.70 a year earlier. The buybacks are planned purchases, while the dividend remains a proposal.
Revenue reached €44.2 billion in the year ended September 30, up 15.5% on a comparable basis, which excludes currency and portfolio changes. Net income rose to €4.129 billion from €1.685 billion, Siemens Energy said in its results announcement and earnings release. Basic earnings per share increased to €4.44 from €1.63.
That bottom-line profit is separate from the company’s profit before special items, which more than doubled to €5.486 billion from €2.355 billion. Its margin on that measure climbed to 12.4% from 6.0%.
Siemens Gamesa delivered the biggest improvement. The wind business earned €8 million before special items for the full year, compared with a €1.4 billion loss a year earlier. It also posted a second consecutive positive quarter. Gas Services and Grid Technologies benefited from strong demand and higher output as capacity expansions began contributing to revenue.
Annual orders rose 18.8% on a comparable basis to €68.1 billion, lifting the backlog to a record €164 billion. Gas Services orders increased 45.9% to €32.8 billion, while Grid Technologies orders rose 14.5% to €24 billion. Orders at Gamesa fell 31.1% to €5.9 billion against a strong prior year that included major Baltic Sea projects.
Free cash flow before tax reached €8.799 billion, up from €4.663 billion. Higher profit and customer advance payments, including reservation fees, helped the result. Gas Services and Grid Technologies together more than offset Gamesa’s €1.6 billion cash outflow.
For fiscal 2027, Siemens Energy expects net income of about €5 billion and free cash flow before tax of about €10 billion. It forecasts comparable revenue growth of 14% to 16% and a profit margin before special items in the same 14% to 16% range.
The longer-term plan calls for annual compound comparable revenue growth of 12% to 14% from fiscal 2026 through fiscal 2030, with a profit margin before special items of 20% to 22% in 2030. The company pointed to demand for gas-generation equipment and grid investment, along with further recovery at Gamesa, as drivers of those targets.
JBizNews Desk | Munich
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