Siemens Energy won’t propose dividend for fiscal year 2024

MUNICH (Reuters) – Siemens (ETR:) Energy has not proposed a dividend for the 2024 fiscal year, citing limitations to its payout policy as a result of obtaining project guarantees last year that are backed by the German government.

A year ago, Berlin supported Siemens Energy with guarantees worth 7.5 billion euros ($8 billion) as part of a deal with other stakeholders to help the troubled energy company fulfil its order book.

The guarantees are part of a package totalling 15 billion euros agreed with private banks and other stakeholders and also impose a pause on dividends and higher level bonuses at Siemens Energy, the economy ministry said at the time.

($1 = 0.9422 euros)