Shares of Siemens Energy AG were gaining more than 12 percent in German trading after the company on Wednesday raised its outlook for fiscal 2024 after reporting a profit in its second quarter, compared to last year’s loss, amid positive market environment. Meanwhile, second-quarter orders were lower than last year, and the company maintained annual earnings forecast.

Christian Bruch, President and CEO, said, “Our strong development in the second quarter underscores the continued strong demand for our technology to power the energy transition and our success in stabilizing the wind business. We have raised our outlook to reflect this positive development. The turnaround of our wind business is still our focus. To this end, we are taking steps to reduce complexity and create a more focused business.”

For fiscal fiscal 2024, Siemens Energy continues to expect net income at up to 1 billion euros.

Comparable revenue growth is now projected between 10 percent and 12 percent, compared to previously expected growth between 3 percent and 7 percent. Profit margin before special items would be between negative 1 percent and positive 1 percent, while previous view was between negative 2 percent and positive 1 percent.

In its second quarter, Siemens Energy’s net income was 108 million euros, compared to last year’s net loss of 189 million euros. Basic earnings per share were 0.08 euro, compared to prior year’s loss of 0.25 euro.

The latest results included positive 331 million euros, driven by pre-tax gains from the sale of businesses related to the ongoing progress on disposals and accelerated portfolio transformation.

Profit for Siemens Energy surged to 501 million euros from last year’s 64 million euros. Siemens Energy’s profit before special items was 170 million euros, higher than 41 million euros a year ago. Profit margin before SI improved 1.5 percentage points from last year to 2.1 percent.

Revenue increased to 8.28 billion euros from last year’s 8.03 billion euros. Revenue grew 3.7 percent on a comparable basis with substantial growth at Grid Technologies and significant increase at Transformation of Industry. These were partly offset by the declines at Gas Services and Siemens Gamesa.

Orders, meanwhile, declined to 9.47 billion euros from last year’s 12.26 billion euros. Orders fell 21.8 on a comparable basis, driven by expected decreases at Siemens Gamesa due to a sharply lower volume from large orders and Gas Services primarily due to a high basis of comparison.

On Germany’s Xetra, Siemens Energy shares were trading at 22.46 euros, up 12.30 percent.

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