Regarding fiscal year 2017, Siemens Gamesa ‘s revenue increased by 5% to €10,964 million, while underlying EBIT was €774 million (-18%) with an EBIT margin of 7%. Between April and September, revenues fell 12.3% while underlying EBIT came to €192 million (-63.4%) with an EBIT margin of 3.8%. These results were impacted by specific onshore market conditions, including the temporary suspension of the Indian market, and impairments relating to accounting adjustments to inventories in the US and South Africa.
In the context of the ongoing integration of legacy structures, the company has announced a restructuring plan affecting a maximum of 6,000 employees located in 24 countries (700 already announced). The previously announced synergy target of € 230 million is confirmed as a minimum and the company expects to achieve this target in the third year.
Commercial activity intensified in the fourth quarter, both onshore and offshore, resulting in an increase in order intake amounting to 3 GW (+40%). Between April and September, revenue from the sale of wind turbines decreased by 15% to €4.4 billion, impacted by onshore markets that are facing challenging conditions, mainly India and the UK, as well as pricing pressure.The company registered strong performance in the offshore business with an increase of 16% in revenues.
Sales in services rose 9% to €621 million with an underlying margin of 17.4% and maintenance contracts continue to grow to cover 55,000 MW around the world, an increase of 12.4%.In this specific market context, Siemens Gamesa obtained €118 million of underlying net profit(2) between April and September.
