'Volatile' Siemens Gamesa deeper in red as wind giant weighs on Siemens Energy - Recharge
'Volatile' Siemens Gamesa deeper in red as wind giant weighs on Siemens Energy | Recharge
Siemens Energy muted expectations for its full-year financial performance as the ongoing issues at wind turbine giant Siemens Gamesa weighed on the German group.
Siemens Gamesa – which Siemens Energy moved to take full control of earlier this year – widened its loss for the group’s second quarter to €374m ($406m) before special items from a deficit of €301m a year earlier.
The wind giant’s profitability “continues to be burdened by the impact of the inflation, challenges related to the supply chain and the ramp-up of the offshore activities as well as by effects from onerous projects”.
Related Knowledge Center: ENERGY BASICS: wind
Decades of government support for the development of wind energy has resulted in lower costs and a rapidly growing share of electricity generated by wind turbines. Wind in 2019 accounted for 7.3 percent of electrical generation, surpassing for the first time hydropower at 7.0 percent.