Munich, May 12, 2026, 11:04 CEST
Siemens Energy is bumping up its share buyback target for 2026 to as much as 3 billion euros, up from the previous 2 billion, after reporting a 42% jump in pre-tax free cash flow, the company announced Tuesday. The overall buyback initiative, which could reach up to 6 billion euros by 2028, stays the same. Reuters
What’s changed: the rush for power gear is no longer just bookings on paper—Siemens Energy is finally seeing cash flow. The company locked in record orders at 17.7 billion euros, with its backlog swelling to a record 154 billion, fuelled by U.S. projects, gas services, and grid tech. German outlet Maschinenmarkt highlighted the impact of AI data centers gulping electricity. Siemens Energy
Some investors cashed out. Siemens Energy slipped in morning XETRA trading, down as much as 4.11% to hit 171.16 euros—even after the company reported it had repurchased around 1.8 billion euros of stock through its current buyback scheme. Finanzen
Comparable revenue climbed 8.9% to 10.3 billion euros for the second quarter. Adjusted profit—profit before special items—came in at 1.16 billion euros, up from 906 million euros a year ago. Net income also moved higher, rising to 835 million euros from last year’s 501 million euros. Deutsche Boerse
Christian Bruch, the chief executive, described the market backdrop as “very positive” even with ongoing geopolitical uncertainty, according to Handelsblatt. Bruch pointed to the firmer outlook as a sign of trust that the recent momentum is set to persist. Handelsblatt
Siemens Energy is forecasting stronger performance for fiscal 2026, now projecting comparable revenue growth between 14% and 16%, compared with its earlier estimate of 11% to 13%. The company also bumped its profit-margin target before special items higher, aiming for 10% to 12%. Pre-tax free cash flow? Siemens Energy sees it at roughly 8 billion euros—a notable jump from the previous 4 billion to 5 billion euro range. Siemens Energy
Performance varied widely across the group. Gas Services booked 8.87 billion euros in orders, while Grid Technologies came in at 7.00 billion euros. Over at Siemens Gamesa—the company’s wind business that’s been a persistent drag—the loss before special items tightened to 44 million euros from 249 million euros a year ago. Deutsche Boerse
It’s been a rapid buyback: Siemens Energy disclosed snapping up 11.6 million shares by May, spending roughly 1.83 billion euros. The bulk of activity landed in March and April, according to company filings. Siemens Energy
Analysts mostly kept their upbeat stance, but price targets weren’t aligned. RBC’s Colin Moody stuck with his Buy call and the 200-euro target. Bernstein’s Alasdair Leslie, also on Buy, held firm on his 150-euro mark. MarketScreener
The competition is proving beneficial. GE Vernova—Siemens Energy’s top U.S. rival for gas turbines and grid gear—recently upped its outlook as well, pointing to stronger demand from data centers and power projects. The trend isn’t limited to a single supplier. Reuters
The rally has left less margin for missteps. Part of that cash flow comes from customer advance payments, driven by strong order momentum. Siemens Gamesa hasn’t hit consistent break-even yet. And Siemens Energy’s guidance? No allowance for possible legal or regulatory charges down the line.
