Turbine manufacturer Siemens Gamesa has a “huge task” ahead to turn around the company, especially in the onshore sector, according to chief executive Andreas Nauen.
Nauen (pictured) said since he became CEO in June Siemens Gamesa has already taken many measures to address the challenges facing the company in order to see it return to profitable growth as soon as possible.
In its results for the fiscal year 2020, which ended on 30 September, Siemens Gamesa posted a net loss of €918m.
Restructuring of the company’s onshore business is ongoing, with a three-year plan in place to turn it around, while maintaining profitable growth in the offshore and service sectors, Nauen said.
“I believe firmly that we are taking the correct steps to enhance our business fundamentally,” he said.
“We are on the right path to take Siemens Gamesa back to where it belongs at the forefront of the renewables industry.”
The company will have to make further adjustments to its footprint to achieve its goals, but final decisions on numbers have not been taken.
“We need to do everything to make Siemens Gamesa competitive again,” Nauen said.
In India, for example, where a market slowdown has led to restructuring, the company said it has already reduced its headcount by about 200 people with more to follow.
Negotiations are ongoing with workers representatives and so a final total cannot yet be given, it added.
Nauen said that the Covid-19 pandemic had made the year even more challenging for Siemens Gamesa.
The company said the main impact on operations had been in the second and third quarters, but in the fourth quarter the Covid impact was “tailing out”.
Nauen said: “Beyond the pandemic … the outlook for the industry remains very positive.”
He said that there has been a significant shift to make a green recovery sustainable and Siemens Gamesa is “well placed” to deliver on the new ambitions show by many governments.