Who Owns Siemens Energy?

Siemens Energy plays a central role in the global energy transition. The company's technology portfolio spans the full energy value chain, from gas turbines for reliable baseload power to wind turbines, grid technology for renewable integration, and green hydrogen solutions.

Gas Services and the Energy Transition: Siemens Energy positions gas turbines as a bridge fuel, providing dispatchable power to complement intermittent renewables. The company's gas turbines are designed to operate with hydrogen blends, with a roadmap to 100% hydrogen capability. In FY2025, Gas Services sold 194 gas turbines and achieved record profit of nearly €1.6 billion.

Grid Technologies: Grid modernization is critical for renewable energy integration. Siemens Energy's Grid Technologies segment saw orders above €21 billion in FY2025, driven by US demand for grid stability and transmission infrastructure. The segment provides high-voltage transmission systems, transformers, and grid stability solutions.

Siemens Gamesa: Siemens Energy's wind business manufactures onshore and offshore wind turbines. The segment has faced significant challenges with quality issues on onshore turbines, resulting in billions in warranty costs. However, orders increased in FY2025 after a sales stop, and the segment is expected to reach break-even in FY2026.

Green Hydrogen: Siemens Energy is developing electrolyzer technology for green hydrogen production, positioning itself in the emerging hydrogen economy for industrial decarbonization and energy storage.

Carbon Neutrality: Siemens Energy has committed to achieving carbon neutrality in its own operations by 2030.

• DAX Inclusion: Siemens Energy is included in the DAX index of Germany's 40 largest publicly traded companies
• Grid Technologies Leadership: Grid Technologies posted its highest quarterly revenue to date in Q4 FY2025, exceeding €10 billion quarterly revenue for the first time at the group level
• Gas Turbine Market Leadership: 194 gas turbines sold in FY2025, maintaining Siemens Energy's position as a leading gas turbine manufacturer
• Turnaround Achievement: Profit before special items increased from €345 million to €2.355 billion in one year, with all segments contributing
• Free Cash Flow Excellence: Free cash flow pre tax more than doubled to €4.663 billion in FY2025

Siemens Gamesa Quality Issues (2023-2025): Siemens Gamesa experienced severe quality problems with its onshore wind turbines, particularly the 4.X and 5.X platforms. The company identified component failures and design flaws that required costly remediation. In June 2023, Siemens Energy disclosed that the quality issues could cost €4.5 billion or more to fix. This led to a sharp decline in the share price and the €7.5 billion guarantee package from Siemens AG. The segment reported a loss of €1.236 billion in FY2025, though orders resumed after a sales stop.

Share Price Decline (2023): Following the disclosure of Siemens Gamesa's quality issues in June 2023, Siemens Energy's share price declined by approximately one-third in a single day. The company's market capitalization fell significantly, and it faced questions about its financial stability.

Bribery Scandal (Legacy): Siemens AG, from which Siemens Energy was spun off, was involved in a major bribery scandal in the 2000s, resulting in €1.3 billion in fines from US and German authorities. While this occurred before the spin-off, the legacy affected the Siemens Energy brand.

Project Delays: Siemens Energy has faced project delays and cost overruns on large-scale wind farm and grid infrastructure projects, particularly in offshore wind.

Competition Investigation: Siemens Gamesa has faced scrutiny over competitive practices in the wind turbine market, though no major regulatory actions have been taken.