Siemens Energy Ag · XETR:ENR
Siemens Energy — European Capital Goods Conference 2024
19 slides from Siemens Energy's conference presentation, Jun 12, 2024
Slide 1: Leading the Energy Transition
Leading the Energy Transition Christian Bruch, CEO of Siemens Energy European Capital Goods Conference 2024 London, June 12, 2024 Siemens Energy is a trademark licensed by Siemens AG. © 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: Siemens Energy is a global leader in the energy business
Siemens Energy is a global leader in the energy business ~ 1/6 98,750 of global electricity generation employees work as a team is based on our technology to energize society1 €31bn revenues in FY2023 We invest around We are present in > 90 countries €1bn annually in research and development 1 Numbe
Slide 4: Our mission and what we are doing
Our mission … … and what we are doing To transform the world We have been changing the shape of the company to capitalize on the energy transition of energy by supporting our customers on their Operational improvements introduced, including the path towards new group structure, have been playing out
Slide 5: We have been changing the shape of the company to capitalize on the opportunities
We have been changing the shape of the company to capitalize on the opportunities of the energy transition & to reduce the risks Capitalizing on opportunities Managing risks 1 Increasing demand • Emerging markets with strong electrification growth • Governmental investment programs 1 Macroeconomic f
Slide 6: We serve our customers with a clear company structure along the entire energy value chain
We serve our customers with a clear company structure along the entire energy value chain Low- or zero-emission Transport and storage Reducing CO2 footprint and energy power generation of electricity consumption in industrial processes Business Area Siemens Gamesa Gas Services Grid Technologies Tran
Slide 7: Deliver on profitable growth
Deliver on profitable growth Higher than expected electricity growth is driving profitable growth Global electricity generation scenarios 2021 vs. 2023 (TWh) Gas Services Orders (€m) Revenue (€m) Book to bill 80,000 15,000 3.0 Net Zero 2023 12,000 2.5 75,000 +7% 2.0 9,000 Net Zero 2021 1.5 70,000 6,
Slide 8: Fix the wind business: measures in implementation to secure turnaround
Fix the wind business Measures in implementation to secure turnaround at Siemens Gamesa … Step plan … … to reach break even in FY26 Simplify product portfolio Turnaround path Siemens Gamesa 1 • Significant reduction of Onshore variants Profit before SI (€bn) • Focus on core markets • Offshore focus
Slide 9: … with a clear way forward to return to profitability
Fix the wind business … with a clear way forward to return to profitability Stabilizing 4.X and 5.X platforms and focus on core markets • No new technical findings and no material change to cost assumptions related to quality topics Onshore • Europe and US as core markets to be addressed by revised
Slide 10: Order backlog as a source of strength and resilience
Maintain solid financial foundation Order backlog as a source of strength and resilience Order backlog Backlog project margin (in €bn) ~90% ~60% 112 +2pp GS 97 51%1 Resilient service share +2pp TI 29 60 +3pp GT • Selective growth strategy and 23 operational excellence in former SG -4pp GP businesses
Slide 11: Net cash position expanded during H1 FY24
Maintain solid financial foundation Net cash position expanded during H1 FY24 Net cash/(Net debt) as of March 31, 2024 (in €m) (in €bn) Short and long term Investment grade credit profile 5,844 debt includes lease 637 liabilities in the amount of €1.7bn • Strong balance sheet with targeted net cash
Slide 12: Financial framework: a long-term plan for value creation
Financial framework A long-term plan for value creation FY24 guidance and FY26 targets Group targets FY28 FY24 guidance FY26 targets Revenue Profit margin Revenue Margin MSD Revenue CAGR4 growth3 before SI1 CAGR4 reported1 Gas Services (2) – 0% 9 – 11% Flat 10 – 12% ≥8% Profit margin1 Grid Technolog
Slide 13: ESG: On track to meet and exceed targets
ESG On track to meet and exceed targets Our performance in FY23 vs. our CMD targets Evolution of our ratings since CMD 2022 -30% GHG emissions per € spent by 2030 Low risk rating: 11.3 Suppliers FY23 performance: -17% vs. 2018 B-prime Own Climate neutral by 2030 Decarbo- Operations FY23 performance:
Slide 14: Key messages
Key messages Excellent turnaround track-record and upgraded margin Deliver expectations for our former GP businesses on profitable growth Continuous strong demand driven by energy transition acts as a catalyst for profitable growth Defined path and action plan to reach break even Fix at Siemens Game
Slide 15: Appendix
Appendix 15 June 2024 Siemens Energy is a trademark licensed by Siemens AG. © Siemens Energy, 2024
Slide 16: Gas Services
Gas Services Integral to all energy transition scenarios We enable reliable, affordable & sustainable energy … being a key contributor to the energy transition • Large gas, steam turbines and generators (100 MW – 600 MW) • We decarbonize gas via green fuels / H2 and carbon capture • Industrial gas t
Slide 17: Grid Technologies
Grid Technologies The profitable growth engine for the global energy transition We enable a reliable, sustainable and digital grid Being the backbone of the energy transition • HVDC and HVAC efficient transmission • We efficiently connect renewable power to the grid • Sustainable switchgear and tran
Slide 18: Transformation of Industry
Transformation of Industry Key to decarbonize industrial processes … by 3 main levers … … addressed through our 4 businesses Energy Efficiency Industrial Steam Turbines and Generators (STG) increasing the efficiency of existing assets providing process steam and converting heat to electricity Compre
Slide 19: Siemens Gamesa
Siemens Gamesa A core player in the energy transition for over 40 years We deliver fossil free electricity for businesses and households Being an essential pillar of the energy transition • Onshore wind turbines up to 7 MW power rating and 170 m rotor • 112 MWs Onshore fleet installed • Offshore win
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