Siemens Energy CEO: wind spin-off idea valid, but turnaround comes first

By Christoph Steitz and Laila Kearney

FRANKFURT/NEW YORK, Feb 3 (Reuters) - Siemens Energy's ENR1n.DE CEO said on Tuesday it was fair for activist investor Ananym Capital to push for a spin-off of its loss-making wind turbine division but the business would first have to be stabilised and turned around.

U.S.-based Ananym in December said it had taken a stake in Siemens Energy and asked management to review the group's wind division, Siemens Gamesa, adding it could be worth $10 billion in the future and that a spin-off could raise investor returns by 60%.

"The question is absolutely right, and this is something I would ask also myself every time," Christian Bruch told Reuters, adding there needed to be a clear trajectory towards double-digit margins.

"And at this point in time, the first task is to stabilize this business and make it profitable," he said. "As long as these things are not there, it's the wrong timing to ask about spin-offs."

Siemens Gamesa, which made an operating loss of 1.36 billion euros ($1.6 billion) in 2025, is forecast to break even this year and reach an operating margin of 3-5% in 2028.

The CEO also told Reuters that Siemens Energy plans to invest $1 billion to expand U.S. power grid and gas turbine component production as the country builds data centres needed to power AI technology.

($1 = 0.8479 euros)