Siemens Energy Ag · XETR:ENR
Siemens Energy — Investor Day (November 2023)
14 slides from Siemens Energy's investor day presentation, Nov 21, 2023
Slide 1: Gas Services
CMD 2023 Gas Services Karim Amin Member of the Executive Board Siemens Energy is a trademark licensed by Siemens AG. © Siemens Energy, 2023 | Karim Amin | Gas Services
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: Gas Services
Gas Services We enable reliable, affordable & sustainable energy … being a key contributor to energy transition • Large gas, steam turbines and generators (100 MW – 600 MW) • We decarbonize gas via green fuels / H2 and carbon capture • Industrial gas turbines and heat pumps (4 MW – 100 MW) • We bala
Slide 4: What has changed since CMD 2022
What has changed since CMD 2022 Security of supply elevating demand for gas power plants External Gas turbines are integral part of all energy transition scenarios Increased portfolio competitiveness in key market segments Internal Customer focused operating model with end-to-end accountability 2023
Slide 5: Gas Services delivers
Gas Services delivers What we promised in CMD 2022 Key financials FY23 (in €bn) 12.9 • Growth: Drive fleet additions with leading 10.3 11.8 portfolio and H2 co-firing capabilities Orders • Selectivity: Focus on projects 10.9 with high margin quality 9.1 9.5 Revenue • Service: Focus on service perfor
Slide 6: Solid share in attractive market segments
Solid share in attractive market segments Market share >10 MW total # of gas turbines ordered 220 209 217 69 • Profitability at upper end of peers 14% 14% H / HL 14% 12 class • Continued gross margin improvement 12% Large 16% in new unit orders 20% (32) F/E 20 class • High order intake on H / HL-cla
Slide 7: Strategically positioned for solid profitability
Strategically positioned for solid profitability • Best-in-class gas turbines Leading • Effective product cost-out World’s most powerful Leading frame in 1st industrial Power-H2- technology • Creating value for a diverse gas turbine Duke (US) medium gas turbines SE #1 w/ ~75% market share Power with
Slide 8: Gas additions expected to remain at high level
Gas additions expected to remain at high level Power generation Gas Market Outlook in 1,000 TWh in GW additions 37 Energy Transition Stable long-term 36 Renewables Conventional forecast ~10% integration – Peaker 6 7 72 29 Recovery Inflections 27 4 H2 / Green fuels 3 61 ~40% for capacity 6 Green Rule
Slide 9: Five underlying trends driving the gas market
Five underlying trends driving the gas market 1. Conventional Gas Additions 2. Coal-/Oil-to-Gas Shift “5-Year Plan” focusing on gas as flexible and Accelerating demand for coal-to-gas shifts reliable power generation (~200 GW) leading to a potential of ~35 GW Gas program for decarbonization Shut dow
Slide 10: Capitalizing on market momentum with focus on profitability
Capitalizing on market momentum with focus on profitability Opportunities Management priorities Growth in Gas: Manage capacities, risk exposure • Large: Increased (~70 – 80 to 100+ GTs) and supply chain resilience • Distributed: Stable (~120 GTs) Service: Expand service competencies and Increased de
Slide 11: Already today, we are turning opportunities into business
Already today, we are turning opportunities into business Mintia, Hillabee, US Castlelost, Romania (Constellation) Ireland (Coal-to-Gas) (H2 Service) (Peaking) 2x 9000HL 2x 6000G 5x SGT-800 1,700 MW 38% 275 MW Switch from coal-to-gas H2 co-firing capability Open cycle gas power plant ~6,000,000 t CO
Slide 12: We continue our path to 10–12% profitability by FY25
We continue our path to 10 – 12% profitability by FY25 Gas Services business outlook Gas Services key focus areas (in € bn) Orders 10.3 11.8 12.9 1 Service: Grow backlog and profitability Flat Portfolio: Increase competitiveness through technology Revenue 9.1 9.5 10.9 2 leadership and cost out Profi
Slide 13: In a nutshell …
In a nutshell … We are well on track to achieve 10 – 12% profitability by FY25 We see a robust gas market with stable long-term prospects Gas Services We have leading technologies in performance and hydrogen co-firing We continue to grow our service backlog and decarbonize our fleet 2023-11-21 © Sie
Slide 14: Gas Services targets FY26
Gas Services Revenue Drivers Targets FY26 • Service: Grow backlog and profitability • Portfolio: Increase competitiveness through technology Flat leadership and cost-out Revenue • Decarbonization: Focus on H2 / green fuels, heat pumps and partnerships for carbon capture applications 10 – 12% Profit