• Strong commercial activity: the backlog boosted by €3,292 million in firm orders
• Financial performance is in line with the guidance issued to the market for fiscal year 2018
• The L3AD2020 program is fully operational and gaining traction
Siemens Gamesa Renewable Energy released its results for the first nine months (October-June) and the third quarter (April-June) of fiscal year 2018 today.
The company’s financial performance in the third quarter and the first nine months of FY2018 was in line with the fiscal year 2018 guidance (revenues of €9,000-9,600 million and EBIT margin of 7-8%).
Revenue amounted to €2,135 million (-21% YoY) in the third quarter, and €6,504 million (-25% YoY) in the first nine months of the year, impacted by lower turbine sale volumes and pricing.
EBIT pre-PPA, restructuring and integration costs amounted to €156 million in the quarter and the EBIT margin was 7.3%. Between October and June, EBIT pre-PPA, restructuring and integration costs reached €478 million and the EBIT margin was 7.4%.
The company reported €45 million in net profit in the first nine months, including the impact of restructuring and integration costs, continuing the recovery. Net debt was €154 million at the end of the quarter.
The L3AD2020 program, presented on 15 February 2018, is fully operational and gaining traction across its four modules: growth, transformation, digitalization and change management. The transformation module-including a cost reduction of €2,000 million- is an essential driver for the success of the company; and it helps to partially offset price declines in the period. Siemens Gamesa is continuously striving for optimizations in this area to further accelerate the process and achieve the program’s target.
