Siemens Energy (ENR) Q2 2026 earnings summary

Executive summary

• Achieved record Q2 order intake of €17.7bn and order backlog of €154bn, with strong demand in the U.S. and broad-based improvements across all segments, especially Grid Technologies and Gas Services.

• Revenue for Q2 reached €10.3bn, up 8.9% year-over-year on a comparable basis, supported by all segments despite FX headwinds.

• Profit margin before special items was 11.3%, with net income rising to €835m, up over €330m year-over-year.

• Free cash flow pre-tax was €2bn in Q2 and €4.8bn for the first half, leading to an upward revision of full-year free cash flow guidance to €8bn.

• Raised full-year guidance for revenue growth, profit margin, and net income, driven by strong performance in Grid Technologies and Gas Services.

Financial highlights

• Orders reached €17.7bn, driven by Gas Services and Grid Technologies, with a book-to-bill ratio of 1.72.

• Order backlog increased by €8bn in the quarter to €154bn, with 44% service-related, supporting recurring revenues.

• Profit before special items was €1,164m (margin 11.3%), up 220 bps year-over-year.

• Net income for the group was €835m; free cash flow pre-tax reached €2bn in Q2.

• FX headwinds reduced top line by 550 bps year-over-year, but hedging minimized profitability impact.

Outlook and guidance

• Upgraded full-year comparable revenue growth guidance to 14%-16% (from 11%-13%).

• Profit margin before special items now expected at 10%-12% (from 9%-11%).

• Net income guidance raised to around €4bn; free cash flow pre-tax to around €8bn.

• Segment guidance: Gas Services margin 14-16%, Grid Technologies 18-20%, Transformation of Industry 11-13%, Siemens Gamesa break-even.

• Siemens Gamesa revenue growth guidance increased to 3%-5%, with break-even margin confirmed.