Siemens Gamesa Doubles Offshore Order Intake in 2019

Siemens Gamesa Doubles Offshore Order Intake in 2019

Siemens Gamesa has doubled the order intake in the offshore segment in 2019 compared to 2018, partly due to the company’s strongest ever results reported in the last quarter of the calendar year.

The world-leading wind turbine manufacturer saw the order intake in the offshore segment double to 3,343MW, of which 1,279MW was signed in Q1 FY 2020 (October – December 2019).

Siemens Gamesa

Group order intake in the Q1 FY 2020 amounted to EUR 4,628 million, an 82% increase year-on-year, raising the order book to a record EUR 28,089 million.

The service segment set an all-time record, with order intake totaling EUR 1,470 million in Q1 2020, four times the figure in Q1 2019, accounting for 46% of the company’s order book.

In the onshore segment, Siemens Gamesa experienced an unforeseen EUR 150 million impact from costs on five projects in northern Europe, caused by adverse road conditions and the early arrival of winter weather, which delayed project execution.

“This was not an easy quarter for Siemens Gamesa. The company’s financial performance fell short of the expectations we had when we set our targets for the year,” said Markus Tacke, company CEO.

“However, this was a one-off impact and we do not expect it to recur in future quarters as we are taking the necessary measures. We have stepped up risk analysis to ensure project execution is on track and we will also strengthen our internal control system to avoid a recurrence.”

In the offshore segment in Q1 2020, Siemens Gamesa signed contracts for the Formosa 2 project in Taiwan, Neart na Gaoithe in Scotland, Hywind Tampen in Norway and Windpark Fryslân in the Netherlands.

The company signed conditional contracts for the 2.6GW Virginia Offshore Wind project, the four Hollandse Kust Zuid offshore wind farms and the Hai Long project, which enabled the first quarter to end with a pipeline of 9.6GW.