FRANKFURT (Reuters) – Siemens Energy, which makes turbines for the power sector, said on Sunday it had moved to prime profit in its first fiscal quarter, aided by cost cuts and unnamed temporary effects .
Adjusted earnings in the first quarter before interest, tax and depreciation (EBITA) before special items came in at 366 million euros ($ 445 million), the group said, compared to a loss of 74 million in the prior year .
In a statement outlining preliminary results, the group confirmed their forecast, still expecting sales to rise 2-12% in the year to September, while the margin on adjusted EBITA can be seen before special items are seen at 3-5%, up from its 0.1% negative.
Turned out of Siemens AG last year, Siemens Energy manufactures and services steam turbines for gas and coal-fired power plants and also owns 67% of Siemens Gamesa, the second largest manufacturer of wind turbines.
New orders fell 26% to 7.4 billion euros in the first three months of the agency’s fiscal year, while sales rose 2.6% at 6.5 billion euros.
Siemens Energy, in which Siemens AG holds 35% directly and 10% through its pension fund, will announce for the first quarter on February 2. Siemens Gamesa expects to report results on Jan. 29. ($ 1 = 0.8218 euros)
Reciting with Christoph Steitz; Edited by Michael Nienaber and Alex Richardson