The German engineering giant’s renewables division comprises wind, solar and hydropower technologies.
It issued a statement today that the €48m loss for the three months ending 31 December 2011 was due "primarily to higher R&D expenses, costs related to the expansion of the business in a highly competitive environment, increased price pressure and a less favorable revenue mix".
The statement echoes GE’s results yesterday, which revealed that falling turbine prices were acting as a drag on company profits.
Despite Siemens’ renewables profit fall, revenue for the division’s first quarter actually rose in comparison to the same period a year previously, up 9% from €868m to €943m.
New orders meanwhile grew by two thirds, from €945m for the three months to 31 December 2010 to €1,560 for the three months to 31 December 2011.
In particular, Siemens recorded a number of large orders for onshore wind-farms in the US, and the wind business expects continued revenue growth and a return to profitability in coming quarters.
Siemens’ transmission business, meanwhile, made a €145m loss for the quarter, which was blamed on delays to the approval process for connecting offshore wind turbines to power grids, mainly in Germany.
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