Siemens Energy rose sharply on the Frankfurt Stock Exchange on Wednesday, following the presentation of a series of measures designed to improve its cash position, which overshadowed results still weighed down by its renewable energies activities.

The German energy group's shares are currently up by over 5%, making them the second biggest gainer on the DAX index behind Infineon (+6%).

This morning, Siemens Energy reported a net loss of 870 million euros for its fourth fiscal quarter ended September, mainly due to recurring difficulties encountered by its wind turbine subsidiary Siemens Gamesa.

The company, which nonetheless stresses that two-thirds of its activities are on a favorable profitability trajectory, has announced sales of 8.5 billion euros, down 2.5% on a comparable basis.

For its new fiscal year, which began in October, the company says it expects negative free cash flow (FCF) of one billion euros.

But it also expects to raise between 2.5 and 3 billion euros in funds through divestments and the transformation of its portfolio.

In another encouraging development, parent company Siemens has agreed to buy back 18% of its stake in Siemens India for $2.1 billion, in addition to the 12 billion euros in guarantees received from its partners, including 7.5 billion from the German government.

For Berenberg analysts, this publication will enable the market to "turn the page" after a "complicated" episode.

"While it's true that the current situation remains incredibly difficult, it seems that we're past the worst of the losses and bad news", says the research firm in a reaction note.

Knowing that there will probably be no need for a capital increase, this should be well received', concludes Berenberg.

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