Siemens Energy : Q2 FY2023 Presentation Analyst Call

Strong orders, substantially higher revenue, positive profit before SI held back by Siemens Gamesa

Christian Bruch, President and CEO Siemens Energy Maria Ferraro, CFO Siemens Energy

Analyst presentation Q2 FY23 Paris, May 15, 2023

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Disclaimer

INFORMATION AND FORWARD-LOOKING STATEMENTS This document contains statements related to our future business and financial performance, and future events or developments involving Siemens Energy that may constitute forward-looking statements. These statements may be identified by words such as "expect," "look forward to," "anticipate" "intend," "plan," "believe," "seek," "estimate," "will," "project," or words of similar meaning. We may also make forward-looking statements in other reports, prospectuses, in presentations, in material delivered to shareholders, and in press releases. In addition, our representatives may from time to time make oral forward-looking statements. Such statements are based on the current expectations and certain assumptions of Siemens Energy´s management, of which many are beyond Siemens Energy´s control. These are subject to a number of risks, uncertainties, and other factors, including, but not limited to, those described in disclosures, in particular in the chapter "Report on expected developments and associated material opportunities and risks" in the Annual Report. Should one or more of these risks or uncertainties materialize, should acts of force majeure, such as pandemics, occur, or should underlying expectations including future events occur at a later date or not at all, or should assumptions prove incorrect, Siemens Energy´s actual results, performance, or achievements may (negatively or positively) vary materially from those described explicitly or implicitly in the relevant forward-looking statement. Siemens Energy neither intends, nor assumes any obligation, to update or revise these forward-looking statements in light of developments which differ from those anticipated. This document includes supplemental financial measures - that are not clearly defined in the applicable financial reporting framework - and that are or may be alternative performance measures (non-GAAP-measures). These supplemental financial measures should not be viewed in isolation or as alternatives to measures of Siemens Energy´s net assets and financial position or results of operations as presented in accordance with the applicable financial reporting framework in its consolidated financial statements. Other companies that report or describe similarly titled alternative performance measures may calculate them differently. Due to rounding, numbers presented throughout this and other documents may not add up precisely to the totals provided and percentages may not precisely reflect the absolute figures.

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CEO section

Christian Bruch, CEO

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Key Messages

Highlights / Lowlights

• Siemens Gamesa delisted; EGM called for resolution on capital reduction
• Successful refinancing: capital raise (~ €1.3bn), green bond (€1.5bn)
• Ongoing strong performance of former Gas and Power businesses
• Siemens Gamesa remedial actions in progress; operational challenges and quality issues continue to weigh on result

Market Environment

• Strong demand supported by boundary conditions (IRA in US and Net Zero Industry Act in Europe)
• Operating environment in wind industry still challenging

Siemens Energy FY23 Guidance adjusted

• Revenue: 10% to 12% comparable2; prev. 3% to 7%
• Profit margin before SI: around the low end of previous guidance range of 1% to 3%; prev. 1% to 3%
• Net loss: exceeding prior fiscal year's level of €712m by up to a low- triple-digit million € amount; prev. at prior year's reported level
• Free cash flow pre tax: positive up to a low triple-digit million € amount

1 Prior year figures are presented on a comparable basis | 2 comparable: excluding currency translation and portfolio effects

2023-05-15

Q2 FY23 Financial Performance1

• Orders: +56.3% comp.2 at €12.3bn
• Order backlog at new high of €102.0bn
• Revenue: +23.8% comp.2 at €8.0bn; book-to-bill of 1.53
• Profit before SI: €41m (Q2 FY22: neg. €49m)
• Profit margin before SI: 0.5% (Q2 FY22: neg. 0.7%)
• FCF pre tax: neg. €294m (Q2 FY22: neg. €351m)

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Siemens Energy benefits

from accelerating change in boundary conditions

UNITED STATES

Inflation Reduction Act

EUROPE

Net Zero Industry Act

How we benefit?

• Increasing demand for renewables (more wind projects)

• Grid investments taking off

• Gas-firedpower plants to provide backbone of electricity grid
• Investments in decarbonization and electrification of industrial processes

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