Siemens Gamesa recorded 8 percent drop in revenues to €2.411 billion in the third quarter of FY 2020 (April-June).
Siemens Gamesa’s business performance reflected the negative impact of Covid-19 as well as challenges in the Onshore business, due to the slowdown of the Indian and Mexican markets, and in the execution of projects in Northern Europe.
Revenues in the first nine months of FY 2020 fell 9 percent to €6.615 billion, with EBIT pre PPA and before I&R costs of -€264 million, including an accumulated impact of the pandemic of -€149 million. Net losses amounted to €805 million in the period.
Siemens Gamesa CEO Andreas Nauen said: “The long-term outlook for our business is promising and our company has the technology and people needed to play a major role in developing a recovery underpinned by clean energies.”
Siemens Gamesa will unveil a new program to regain profitability at the Capital Markets Day, scheduled for 27 August.
The company has measures underway that include a change of course in India to tailor the business to actual market demand, optimisation of the global industrial footprint, and implementation of an acceleration program (LEAP) that seeks to assure profitability for the three business units.
Siemens Gamesa has record backlog of €31.5 billion (+25 percent).
Siemens Gamesa Offshore business signed 2,860 MW in orders (+87 percent), taking the total for the last 12 months to 4,211 MW (+110 percent).
The company has an Offshore backlog totalling 7.6 GW, as well as a pipeline of conditional orders and preferred supplier agreements amounting to 9.3 GW. Onshore signed 1,200 MW of orders in the quarter, 70 percent of which for turbines over 4 MW.
Siemens Gamesa Offshore order book amounts to €15.1 billion, 48 percent of the company’s total backlog.
Siemens Gamesa expects to end the year with revenues between €9.5 and €10 billion and an EBIT margin before PPA and integration and restructuring costs of between -3 percent and -1 percent. This represents a reduction of €1 billion in revenues and of between €200 and €250 million in profitability compared to the previous guidance.