(Tiper Stock Exchange) – Siemens Energya leading company in energy technologies, has withdrew 2023 earnings guidance due to higher-than-expected problems – and costs – at its specialized wind unit Siemens Gamesa. In a note, there is talk of the “substantial increase in failure rates of wind turbine components” of a necessary “extensive technical review” of the installed fleet and of the Siemens Gamesa projects.
To achieve the proper product quality, they will be supported costs significantly higher than previously assumed, exceeding 1 billion euros.
“We are also reviewing the key assumptions for existing business plans as i productivity improvements are not materializing to the extent previously envisaged – it is explained – Furthermore, we continue to experience growing challenges in the offshore”.
As it is too early to get an exact estimate of the potential financial impact, the company has decided to withdraw the profit assumptions for Siemens Gamesa and consequently the earnings guidance for Siemens Energy for the fiscal year 2023. However, the revenue guidance for the group remained unchanged.