Siemens Energy Ag · XETR:ENR

Siemens Energy — Siemens Gamesa Renewable Energy — Investor Day (May 2022)

20 slides from Siemens Energy's investor day presentation, May 24, 2022

  1. Slide 1: Siemens Energy Capital Market Day 2022

    Siemens Energy Capital Market Day 2022 Siemens Gamesa Renewable Energy Dr. Jochen Eickholt, CEO May 24, 2022 © Siemens Gamesa Renewable Energy J. Eickholt | Siemens Energy CMD 2022 Unrestricted

  2. Slide 2: Disclaimer

    2 Disclaimer “This material has been prepared by Siemens Gamesa Renewable Energy, and is disclosed solely for information purposes. This document contains declarations which constitute forward-looking statements, and includes references to our current intentions, beliefs or expectations regarding fu

  3. Slide 3: SGRE in figures

    3 SGRE in figures SGRE revenues (as % of Siemens Energy) SGRE by the numbers True global, modern €12.2bn 36% SGRE Order entry1 and scalable footprint Total €10.2bn1 Siemens €28.5bn1 Energy 64% €18.3bn1 Over 1,500 €10.2bn Direct Drive offshore Revenue1 turbines installed SGRE order book Onshore 118 G

  4. Slide 4: Content

    4 Content 01 02 03 Market outlook Key challenges: Mistral: External & internal The way ahead © Siemens Gamesa Renewable Energy J. Eickholt | Siemens Energy CMD 2022 Unrestricted

  5. Slide 5: Energy transition supporting strong growth potential, especially in second half of the decade

    Market outlook 5 Energy transition supporting strong growth potential, especially in second half of the decade Global wind installations (GW, excl. China) Recent push for energy independence has further increased renewable >200 targets in Europe +31% Two phases foreseen 74 0% Near-term: Limited grow

  6. Slide 6: Onshore market providing scale, while Offshore and Service offering growth potential

    Market outlook 6 Onshore market providing scale, while Offshore and Service offering growth potential Onshore1 Offshore1 Service2 Annual installations (GW, excl. China) Annual installations (GW, excl. China) Cumulative installed capacity (GW, excl. China) 0% 48 47 27 950 +7% 40 +28% 680 500 11 3 202

  7. Slide 7: External challenges: All OEMs facing price and cost pressure in the last years

    Key challenges: External 7 External challenges: All OEMs facing price and cost pressure in the last years … Price Costs Strong competition leading to historical price erosion Unprecedented increase in commodity prices and supply chain disruptions Strong price reduction in 2016/17 after introduction

  8. Slide 8: Expected to be mitigated deploying different collaboration mechanisms with customers and suppliers

    Key challenges: External 8 … expected to be mitigated deploying different collaboration mechanisms with customers and suppliers Suppliers SGRE Customers Short-term effect • Financial hedging of key • Pass-through of raw materials commodities price increases for new contracts • Agreements with Siemen

  9. Slide 9: Internal challenges: Main root causes for underperformance identified

    Key challenges: Internal 9 Internal challenges: Main root causes for underperformance identified … Root causes detected … … and solid foundation available • Delays in Siemens Gamesa 5.X product development • Very strong market prospects, recent geopolitical events process, not adhering to early mile

  10. Slide 10: Several actions already ongoing to address them and stabilize the situation

    Key challenges: Internal 10 … and several actions already ongoing to address them and stabilize the situation Short-term Commercial Control over processes task forces discipline and focus on priorities • Dedicated task forces launched with • Selectivity: Enforced selective bidding • Continuous devel

  11. Slide 11: Mistral program to be launched as vehicle to achieve long-term vision

    Mistral: The way ahead 11 Mistral program to be launched as vehicle to achieve long-term vision Strong contribution … providing the foundation from LEAP… to launch Mistral • Significant productivity measures achieved • Program approach adjusted to face recent industry challenges • Key actions implem

  12. Slide 12: SGRE expanding profitability by 25, before acceleration of market growth

    Mistral: The way ahead 12 SGRE expanding profitability by 2025, before acceleration of market growth Long-term (>FY25) Mid-term (FY25) Short-term (FY22-23) Turnaround Onshore Selectivity, product and operational excellence Unlock full potential Invest in Offshore growth of one SGRE Mitigate ongoing

  13. Slide 13: Onshore: Selectivity, product and operational excellence

    Mistral: The way ahead 13 Onshore Selectivity, product and operational excellence • Focused go-to-market strategy: Winning better business Selectivity • Price discipline and risk sharing with customers • Streamlined, reliable and cost competitive product Product • SG 5.X platform technology increasi

  14. Slide 14: Offshore: Capture market growth through leading product and footprint expansion

    Mistral: The way ahead 14 Offshore Capture market growth through leading product and footprint expansion • Maintain market leadership, capturing strong growth foreseen in Europe, and in new US Market and APAC markets growth • Prepare for future markets (e.g., floating wind) • Develop hydrogen soluti

  15. Slide 15: Service: Protect and grow the core while exploring new business models

    Mistral: The way ahead 15 Service Protect and grow the core while exploring new business models • Leverage scale and know-how in wind farm operations & maintenance Maximize • Expand aftermarket business (e.g., spare parts, repairs, value-added services) the core • Capitalize on increased requirement

  16. Slide 16: Conclusion

    16 Conclusion Very challenging market conditions affecting the short-term Structural growth in long-term driven by energy transition SGRE organization determined to turn the company around Immediate focus on mitigating short-term headwinds, achieve margin expansion by mid-term and unlock SGRE full p

  17. Slide 17: Appendix

    17 Appendix © Siemens Gamesa Renewable Energy J. Eickholt | Siemens Energy CMD 2022 Unrestricted

  18. Slide 18: Onshore | Fact sheet SG 5.X

    Appendix 18 Onshore | Fact sheet SG 5.X Main data SG 6.6-155 SG 6.6-170 Wind class IIA, IIB (medium & high winds) IIIA, IIIB (low & medium winds) Nominal power 6.6 MW (flexible rating) 6.6 MW (flexible rating) Rotor diameter 155 m 170 m Blade length 76 m 83.3 m Swept area 18,869 m² 22,698 m² Towers

  19. Slide 19: Offshore | Fact sheet SG 14-236 DD

    Appendix Offshore | Fact sheet SG 14-236 DD Main data SG 14-236 DD Wind class I, S (high winds and special class) Nominal power 14 MW Rotor diameter 236 m Blade length 115 m Swept area 43,500 m2 Hub height Site specific Power regulation Pitch-regulated, variable speed © Siemens Gamesa Renewable Ener

  20. Slide 20: Thank you!

    Thank you! Dr. Jochen Eickholt CEO © Siemens Gamesa Renewable Energy J. Eickholt | Siemens Energy CMD 2022 Unrestricted

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