(Adds details on outlook, context)
By Christoph Steitz and Inti Landauro
FRANKFURT/MADRID, Feb 2 (Reuters) - Beleaguered wind
turbine maker Siemens Gamesa , soon to be delisted and
folded into parent Siemens Energy , said on Thursday
its first-quarter net loss more than doubled on higher warranty
provisions as a result of faulty components.
The net loss in the October-December period, Siemens
Gamesa's fiscal first quarter, widened to 884 million euros
($974 million) from 403 million in the same period last year,
the company said.
The company last month flagged increased failure rates of
unspecified components of its installed onshore and offshore
wind turbines, triggering higher warranty provisions that have
also plagued Danish rival Vestas .
"The negative development in our service business
underscores that we have much work ahead of us to stabilize our
business and return to profitability," said Siemens Gamesa Chief
Executive Jochen Eickholt, who joined from Siemens Energy last
year.
Eickholt was brought on board to fix Siemens Gamesa's
operational issues, including problems with the 5.X onshore
turbine that has caused several profit warnings for the
Spanish-listed group and its German parent.
Still, Siemens Gamesa confirmed the outlook for the wind
industry remained good, pointing to the U.S. Inflation Reduction
Act as well as the continent's RePowerEU programme aimed at
ditching fossil fuels.
"But further governmental action is needed to close the
gap between ambitious targets and actual installations," said
the company, whose shareholders last week approved plans for a
delisting this month.
($1 = 0.9078 euros)
(Reporting by Inti Landauro and Christoph Steitz; Editing by
David Latona, Rachel More and Miranda Murray)
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