Siemens Energy posts €5,486 million in pre-special-items profit, plans €9 billion share buyback
Key Facts
Siemens Energy announced preliminary results on November 11 for the fiscal year ended September 30, 2026, reporting pre-special-items profit of €5,486 million, compared with €2,355 million in the previous year. The company said all its segments contributed to the improvement, and that Siemens Gamesa broke even on this measure after recording the strongest progress among the segments. In the fourth quarter alone, pre-special-items profit was €1.54 billion, versus €471 million in the same period a year earlier. The quarterly result exceeded analysts’ average forecast of €1.47 billion, according to data cited by Investing.com. The results place the recovery of the wind power unit among the factors accompanying the group’s profit surge, alongside expanding demand for power generation equipment and grid infrastructure.
The company’s orders rose to €68.1 billion in the fiscal year, up 18.8% on a comparable basis, while revenue increased 15.5% to €44.2 billion, with all segments contributing to sales growth. The book-to-bill ratio was 1.54, meaning the value of new orders exceeded revenue recorded during the period. Fourth-quarter revenue also reached a record €12.83 billion. Quarterly orders rose 5.2%, excluding currency and portfolio effects, to €14.82 billion. The order backlog reached a record €164 billion at the end of the quarter, highlighting the scale of the company’s accumulated business.
Free cash flow before tax improved to €8,799 million in fiscal 2026, compared with €4,663 million in the previous year, according to the company. It said all segments recorded an improvement in this measure, led by Gas Services and Grid Technologies. Strong cash flow was linked to higher profit and a broader order base, as investors seek to assess the company’s ability to continue investing and returning capital. Chief Executive Christian Bruch said Siemens Gamesa reaching break-even “provides the foundation for the next phase of our transformation.” The company also said the expansion of data centers needed to support artificial intelligence is likely to increase investment in power generation capacity and grid infrastructure, particularly in North America.
The company proposed a dividend of €2.30 per share for fiscal 2026, compared with €0.70 for the previous year, and did not present it as an approved distribution. It said the proposal amounts to around 50% of group net income attributable to Siemens Energy shareholders after excluding exceptional cash effects. This comes alongside share repurchases totaling €3.1 billion during the last fiscal year. The company plans additional share buybacks worth up to €9 billion through the end of fiscal 2030. The company’s U.S.-traded shares, under the ticker SMERY, closed at $27.21 on November 10, according to EL7 data.
Siemens Energy expects comparable revenue growth of between 14% and 16% in fiscal 2027, and a pre-special-items profit margin of between 14% and 16%. It also expects net income of around €5 billion and free cash flow before tax of around €10 billion. The outlook reflects the company’s continued bet on demand in power generation and grid businesses, while it identified data centers supported by artificial intelligence as a likely source of additional investment, particularly in North America. The company is scheduled to publish its 2026 annual report on December 10, 2026. It set February 11, 2027, as the date for announcing first-quarter fiscal 2027 results.