Siemens Energy recorded €17.9 billion in orders during its third financial quarter, as investment in generation, electricity networks, industrial systems, and wind equipment pushed the group’s backlog to €162 billion.
Revenue for the three months to 30 June 2026 reached €11.4 billion, the company’s highest quarterly total. Comparable revenue increased by 18.5% after excluding currency and portfolio effects, with growth reported across every business segment.
Orders exceeded revenue by a factor of 1.57, adding to a substantial pipeline of equipment, projects, and service work. Demand from the United States contributed heavily, while Gas Services recorded a new order intake high and both Grid Technologies and Transformation of Industry delivered strong increases.
Profit before special items more than tripled from €497 million to €1.62 billion. After negative special items of €59 million, Siemens Energy reported profit of €1.56 billion and net income of €1.19 billion.
Free cash flow before tax rose from €419 million to €2.32 billion. Higher cash generating profit and customer advances associated with the strong order intake supported the improvement.
Advance payments are common in long cycle engineering contracts, where customers fund part of the manufacturing and delivery programme before final completion. They support working capital but also represent an obligation to deliver equipment and projects that may remain in production for several years.
Christian Bruch, president and chief executive officer of Siemens Energy, said: “Global demand for electricity – and consequently for our products – remained strong in the third quarter.”
The breadth of the order growth reflects a portfolio spanning several points in the power system. Siemens Energy supplies gas turbines, generators, compressors, grid equipment, transformers, industrial decarbonisation systems, and wind turbines through Siemens Gamesa.
Grid Technologies continues to benefit from rising investment in transmission and distribution infrastructure. Electrification, renewable generation, data centre expansion, and the replacement of ageing networks are increasing demand for transformers, high voltage equipment, substations, and grid stabilisation technology.
The same demand has exposed manufacturing constraints across the electrical equipment supply chain. Large transformers, switchgear, power electronics, and high voltage components require specialist production assets, lengthy testing, and materials that cannot be expanded as quickly as demand forecasts.
Siemens Energy said progress in capacity expansion supported the quarterly revenue increase. Converting the €162 billion backlog into delivered equipment will depend on those programmes, alongside supplier performance, skilled labour, project management, and the availability of critical electrical materials.
Gas Services also contributed a record order intake. Gas fired generation remains part of many electricity systems because it can provide dispatchable output when renewable generation is unavailable or demand changes rapidly.
The orders do not remove the policy and emissions questions surrounding gas generation, but they show that utilities continue to invest in turbines, upgrades, and service support while grid operators seek dependable capacity. The commercial life of those assets will increasingly depend on efficiency, operating flexibility, fuel options, and compliance with future emissions requirements.
Transformation of Industry, which supplies equipment and services to sectors including oil and gas, chemicals, marine, and other process industries, also reported stronger orders. The division connects the company’s electrical and rotating equipment capability with customers upgrading energy intensive plants.
Siemens Gamesa delivered a positive quarterly result for the first time since the 2022 financial year. The wind business has been a persistent source of losses, restructuring charges, and technical problems for the group, particularly within its onshore turbine activities.
A single positive quarter does not complete the recovery, but it moves the division closer to the company’s objective of breaking even during the 2026 financial year. Siemens Gamesa expects comparable revenue growth of between 3% and 5%, with its profit margin before special items at break even.
The wider group confirmed its full year forecast, which had already been raised after the first half. Comparable revenue is expected to grow by between 14% and 16%, with a profit margin before special items of between 10% and 12%.
Management expects the margin to finish towards the upper end of that range. Net income is forecast at about €4 billion, while free cash flow before tax is expected to reach approximately €8 billion.
The segment forecasts illustrate the uneven pace of expansion. Gas Services expects comparable revenue growth of 16% to 18% and a margin before special items of 14% to 16%.
Grid Technologies expects revenue growth of 25% to 27% and a margin of 18% to 20%. The figures place grid equipment at the centre of the group’s expansion, reflecting the scale of network investment required to connect generation, reinforce existing systems, and serve rapidly growing electrical loads.
Transformation of Industry expects more moderate revenue growth of 5% to 7%, with a margin of 11% to 13%. Siemens Gamesa’s lower margin profile means the recovery of the wind business remains important even as the other divisions expand.
The customer advances supporting current cash flow underline the long delivery periods attached to major equipment. Manufacturing slots for turbines, transformers, and grid systems have become sufficiently valuable for customers to commit capital well before delivery.
A record backlog gives Siemens Energy visibility, but it also creates a formidable execution obligation. Cost inflation, engineering changes, supplier delays, and project problems can turn apparently secure orders into margin pressure when contracts extend over several years.
Capacity must also be added without weakening quality or extending commissioning times. Equipment leaving the factory still has to be transported, installed, integrated, tested, and accepted within projects that often contain several other constrained components.
The third quarter figures show that power system investment is moving beyond policy targets and into orders for physical equipment. The next measure is less flattering and more useful: how quickly €162 billion of contracted demand becomes commissioned infrastructure rather than a larger backlog reported three months later.
