Siemens Energy Ag · XETR:ENR
Siemens Energy — Q1 2024 Earnings Presentation
28 slides from Siemens Energy's earnings presentation, Feb 7, 2024
Slide 1: Solid start to the year, turnaround of wind business remains focus
Solid start to the year, turnaround of wind business remains focus Christian Bruch, President and CEO Siemens Energy Maria Ferraro, CFO Siemens Energy Analyst presentation Q1 FY24 Berlin, February 7, 2024 Siemens Energy is a trademark licensed by Siemens AG. Unrestricted © Siemens Energy, 2024
Slide 2: Disclaimer
Disclaimer INFORMATION AND FORWARD-LOOKING STATEMENTS This document contains statements related to our future business and financial performance, and future events or developments involving Siemens Energy that may constitute forward-looking statements. These statements may be identified by words suc
Slide 3: CEO section
CEO section Christian Bruch, CEO Analyst Call | Q1 FY24 3 2024-02-07 Siemens Energy is a trademark licensed by Siemens AG. Unrestricted © Siemens Energy, 2024
Slide 4: Key Messages
Key Messages Highlights • GS, GT and TI continue to take advantage of favorable market trends Q1 FY24 Financial Performance • Siemens Gamesa turnaround plan under execution • Orders: +23.9% comp.1 at €15.4bn • Significant progress in divestment program - return to net cash position • Order backlog a
Slide 5: Siemens Gamesa Progress in line with expectations
Siemens Gamesa Progress in line with expectations Work ongoing, no change to estimated quality cost • Review of commercial backlog completed and negotiation with clients ongoing • 80% of quality issues with short-term measures in place and 50% with long-term Onshore Quality Task Force corrective act
Slide 6: Siemens Gamesa: Details Onshore
Version 18 Siemens Gamesa: Details Onshore Status 4.X installations2 Root cause analysis Materially completed 2,500 2,000 Short-term measures Derived for ~80% of quality issues 1,500 Long-term corrective Defined for ~50% of quality issues 1,000 solutions 500 Remediation Ongoing – several measures al
Slide 7: Siemens Gamesa Offshore: Production ramp up ongoing
Version 18 Siemens Gamesa Offshore: Production ramp up ongoing Main volume increases planned for H2 Q1 performance vs. target (mainstream platform) Cuxhaven Aalborg Hull Le Havre (Nacelles) (Blades) (Blades) (Blades & Nacelles) Routing hours1: Hours / unit Hours / unit Hours / unit Hours / unit In l
Slide 8: Q1 FY24 Awards and Milestones
Version 18 Q1 FY24 Awards and Milestones Power generation with low or zero emissions Transport and storage of energy Reducing the CO2 footprint Gas Services Siemens Gamesa Grid Technologies Transformation of Industry 560 MW component supply for First offshore wind turbines at Viking Link – world’s l
Slide 9: Key outcomes from COP28
Version 18 Key outcomes from COP28 Fast tracking a just, orderly, and equitable energy transition Global Renewables and Energy Efficiency Pledge • Triple the world’s installed renewable energy capacity to at least 11,000 GW by 2030 • Double the global average annual rate of energy efficiency improve
Slide 10: Sustainability: Major progress towards our targets
Sustainability Major progress towards our targets Climate- 100% green Downstream Upstream Gender Zero neutral electricity emissions emissions equality harm in own operations in own operations 28% reduction of 30% reduction of 25% women in top Total Recordable by 2030 by 2023 emissions from sold emis
Slide 11: CFO section
CFO section Maria Ferraro, CFO Analyst Call | Q1 FY24 11 2024-02-07 Siemens Energy is a trademark licensed by Siemens AG. Unrestricted © Siemens Energy, 2024
Slide 12: Siemens Energy Group: Solid start into the year
Siemens Energy Group: Solid start into the year Q1 FY24 Orders Revenue Profit before SI in €bn in €bn in €m Service New Units +24% / +21%1 +13% / +8%1 15.4 7.6 7.1 (4.0)% 2.7% 12.7 2.9 +10% 2.6 n/a 208 4.8 +7% 4.5 (282) Q1 FY23 Q1 FY24 Q1 FY23 Q1 FY24 Q1 FY23 Q1 FY24 Order backlog2 €118bn Book-to-bi
Slide 13: Increasing order backlog as a source of strength and resilience
Increasing order backlog as a source of strength and resilience Book-to-Bill Q1 FY24 SE order backlog development (€bn) +40% • Large majority of FY24 revenue 1.53 118 already secured in the backlog GS 112 1.20 • Increase across all businesses 97 • Stronger growth in new units 84 57 supporting rejuve
Slide 14: Return to a net cash position
Return to a net cash position Net cash/(Net debt) as of December 31, 2023 (in €m) 5,293 645 S&P Rating update as per 30 Nov. 2023: BBB- / outlook negative (vs stable before) Short and long term debt includes lease 3,208 liabilities in the amount of €1.6bn 1,441 555 840 45 Cash and cash Short Term De
Slide 15: Gas Services: In line with strong prior-year quarter
Gas Services: In line with strong prior-year quarter Q1 FY241 Orders Revenue Profit before SI in €bn in €bn in €m +13% / +9%2 12.6% 10.3% 10.8% 4.4% 11.7% +11% / +4%2 4.5 4.1 2.8 (3)% 3.8 2.7 2.8 2.7 2.6 323 294 295 313 2.5 2.2 124 Q1 FY23 Q2 Q3 Q4 Q1 FY24 Q1 FY23 Q2 Q3 Q4 Q1 FY24 Q1 FY23 Q2 Q3 Q4 Q
Slide 16: Grid Technologies: Significant improvement across all KPIs
Grid Technologies: Significant improvement across all KPIs Q1 FY241 Orders Revenue Profit before SI in €bn in €bn in €m +33% / +31%2 7.1% 6.5% 8.7% 7.8% 10.2% +33% / +31%2 8.2 2.1 +87% 6.3 2.0 1.7 1.8 1.6 213 4.3 159 158 2.9 114 114 2.3 Q1 FY23 Q2 Q3 Q4 Q1 FY24 Q1 FY23 Q2 Q3 Q4 Q1 FY24 Q1 FY23 Q2 Q3
Slide 17: Transformation of Industry: Profit almost doubled
Transformation of Industry: Profit almost doubled Q1 FY241 Orders Revenue Profit before SI in €bn in €bn in €m +39% / +36%2 5.7% 6.3% 6.5% 2.4% 9.2% +18% / +15%2 1.7 1.6 1.4 1.2 +85% 1.3 1.2 1.1 1.1 1.2 1.0 105 73 70 57 30 Q1 FY23 Q2 Q3 Q4 Q1 FY24 Q1 FY23 Q2 Q3 Q4 Q1 FY24 Q1 FY23 Q2 Q3 Q4 Q1 FY24 •
Slide 18: Siemens Gamesa: Progressing in line with expectations
Siemens Gamesa: Progressing in line with expectations Q1 FY24 Orders Revenue Profit before SI in €bn in €bn in €m +1% / (3)%1 (37.8)% (15.4)% (124.1)% (25.6)% (20.9)% 7.4 +5% / 2%1 2.4 2.6 2.1 2.0 n/a 2.0 4.2 3.6 (374) (426) 1.6 1.6 (759) (664) Q1 FY23 Q2 Q3 Q4 Q1 FY24 Q1 FY23 Q2 Q3 Q4 Q1 FY24 (2,55
Slide 19: Financial outlook confirmed Fiscal Year 2024
Financial outlook confirmed Fiscal Year 2024 FY24 Outlook Revenue Growth1 Profit Margin before SI2 Gas Services (4) – 0% 9 – 11% Grid Technologies 18 – 22% 7 – 9% Transformation of Industry 8 – 12% 5 – 7% Siemens Gamesa 0 – 4% around neg. €2.0bn Siemens Energy 3 – 7% (2) – 1% up to €1bn Net Income i
Slide 20: Key Priorities
1 Deliver on profitable growth Key Priorities 2 Fix the wind business 3 Maintain solid financial foundations Analyst Call | Q1 FY24 20 2024-02-07 Unrestricted © Siemens Energy, 2024
Slide 21: We energize society
1Oktober 2022 We energize society © Siemens Energy, 2024
Slide 22: Questions & Answers
Questions & Answers Christian Bruch and Maria Ferraro Analyst Call | Q1 FY24 22 2024-02-07 Siemens Energy is a trademark licensed by Siemens AG. Unrestricted © Siemens Energy, 2024
Slide 23: Financial Calendar, Contact Investor Relations
Financial Calendar 2024 Feb 7 Feb 26 May 8 Aug 7 Nov 13 Q1 FY24 Annual General Q2 FY24 Q3 FY24 Q4 FY24 Meeting Contact Investor Relations Michael Hagmann Harald Albrecht Tobias Hang Head of Investor Relations albrecht.harald@siemens-energy.com tobias.hang@siemens-energy.com michael.hagmann@siemens-e
Slide 24: Appendix
Appendix Analyst Call | Q1 FY24 24 2024-02-07 Siemens Energy is a trademark licensed by Siemens AG. Unrestricted © Siemens Energy, 2024
Slide 25: FY24 financial considerations for SE
FY24 financial considerations for SE Reconciliation line on Profit ~ neg. €250m before Special Items Financial result ~ neg. €300m R&D ~ €1.2bn Capex ~ €1.8bn Gains from disposals ~ pos. €2bn Analyst Call | Q1 FY24 25 2024-02-07 Unrestricted © Siemens Energy, 2024
Slide 26: Additional financial disclosure for Siemens Gamesa
Additional financial disclosure for Siemens Gamesa Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 WTG Profit Margin before SI (28.7)% (22.6)% (129.3)% (33.8)% (26.4)% Revenue (€m) 751 1,042 651 914 691 Volume (MWe) 1,080 1,487 1,300 1,317 742 Onshore Order intake (€m) 910 708 573 875 476 Order intake (MW)1
Slide 27: Net Income Transition
Net Income Transition Siemens Energy In €m Q1 FY23 Q1 FY24 Gas Service 323 320 Grid Technologies 102 173 Transformation of Industry 52 92 SGRE (823) (434) Reconciliation to Siemens Energy (39) 1,727 Profit (384) 1,878 Profit margin (5.4)% 24.6% Amortization of intangible assets acquired in business
Slide 28: Cash Flow Statement
Cash Flow Statement Siemens Energy In €m Q1 FY23 Q1 FY24 Net income (598) 1,582 Amortization, depreciation and impairments 359 361 Change in operating net working capital Contract assets (92) 39 Inventories (824) (658) Trade receivables (454) (198) Trade payables (54) (558) Contract liabilities 1,48