Siemens Energy unveils deeper problems at Siemens Gamesa
Costs to fix quality issues could exceed 1 bln eur
Shares down 31.5

FRANKFURTBERLIN, June 23 Reuters Siemens Energy saw 5.8 billion euros 6.3 billion wiped off its market capitalisation on Friday after warning that the impact of quality problems at its Siemens Gamesa wind turbine business would be felt for years.

The group scrapped its 2023 profit outlook late on Thursday after a review of its wind turbine division exposed deeperthanexpected problems that could cost more than 1 billion euros.

This is a disappointing and severe setback, Siemens Gamesa CEO Jochen Eickholt told journalists on a call.

I have said several times that there is actually nothing visible at Siemens Gamesa that I have not seen elsewhere. But I have to tell you that I would not say that again today.

Siemens Energy39;s share price plunge on Friday was the biggest since the group, which supplies equipment and services to the power sector, was spun off from Siemens and separately listed in 2020.

Shares were down 31.5 at 0842 GMT, with traders and analysts pointing out that the extent of the company39;s latest problems was still uncertain.

Even though it should be clear to everyone, I would like to emphasise again how bitter this is for all of us, Siemens Energy CEO Christian Bruch told journalists in a call.

Finance chief Maria Ferraro earlier told analysts that the majority of the hit would be over the next five years.

Given the…