By Olivia Hart

Siemens Energy set a 20%-22% profit margin before special items for fiscal 2030 after reporting record fiscal 2026 results on Wednesday. Revenue reached €44.2 billion ($49.5 billion), and the group now targets revenue growth of 12%-14% annually through 2030.

What did Siemens Energy earn in fiscal 2026?

Revenue rose 15.5% on a comparable basis in the year ended Sept. 30. Profit before special items reached €5.5 billion, lifting the margin to 12.4% from 6.0% a year earlier.

• Net income exceeded €4.1 billion, compared with €1.7 billion in fiscal 2025.
• Fourth-quarter net income reached €1.36 billion, up from €236 million a year earlier.

CEO Christian Bruch said: “We delivered on our commitments: We met all raised guidance targets, significantly increased earnings and achieved break-even in our wind business. Our 2030 targets set a clear direction and underline our level of ambition.”

Group orders rose 18.8% on a comparable basis to €68.1 billion. The order backlog reached a record €164 billion, while free cash flow before tax was €8.8 billion, above the company’s target of around €8 billion.

What changed at Siemens Gamesa?

Siemens Gamesa reached break-even for the year, with profit before special items of €8 million. That compares with a €1.4 billion loss in fiscal 2025, removing the wind unit’s previous drag on group earnings.

The turnaround strengthens the base beneath Siemens Energy’s wider margin ambition because the wind business no longer subtracts a €1.4 billion from annual profit. Break-even still offers little cushion, making the unit’s operating consistency important to the group’s next margin step.

How will shareholders receive the cash?

Siemens Energy will propose a dividend of €2.30 per share for fiscal 2026, compared with €0.70 for fiscal 2025. The company also intends to spend as much as another €9 billion buying back its own stock by the close of fiscal 2030.

Shareholder returns for fiscal 2026, including buybacks, totaled €5 billion. The €2.30 proposal sets the immediate cash distribution, while the repurchase plan sets a separate spending ceiling through fiscal 2030.

What does fiscal 2027 guidance require?

Management expects fiscal 2027 to deliver:

• Comparable revenue growth of 14%-16%.
• A profit margin before special items of 14%-16%.
• Net income of around €5 billion.
• Free cash flow before tax of around €10 billion.

The revenue range would run above the 12%-14% annual pace targeted through 2030. The margin target would move above fiscal 2026’s 12.4%, net income would exceed the €4.1 billion-plus earned in fiscal 2026, and free cash flow before tax would rise from €8.8 billion to around €10 billion.

How did the market judge the targets?

Shares rose 7.7% to €129 in European morning trading on Wednesday. The Wall Street Journal reported that both the fiscal 2027 and fiscal 2030 guidance exceeded market expectations, setting a demanding benchmark for the next results.

What must Siemens Energy deliver next?

The strategic test is whether the group can sustain double-digit growth while converting its record order position into cash. Fiscal 2027 requires 14%-16% comparable revenue growth, a 14%-16% margin before special items and around €10 billion of free cash flow before tax.

The longer target raises the stakes further: a 20%-22% margin by fiscal 2030 would require another material improvement from fiscal 2026’s 12.4%. Siemens Gamesa’s return to break-even removes the immediate burden of a €1.4 billion annual loss, but investors will now judge the wind unit on consistency rather than recovery alone.