Hitachi Energy is asking investors to pay for a growth plan that rests on a $65bn-plus order book and a data-centre push. Management's decks, released by parent Hitachi, Ltd. on 2 November, raise the unit's 2030 adjusted profit-margin ambition to 19–21% and set a mid-teens sales growth target. The investor day itself is scheduled for 17:00 UK time on 3 November (2:00 on 4 November in Tokyo), so the figures below are management's own, published ahead of the event.
First-half results versus the targets
The CEO deck, presented by Andreas Schierenbeck, reports first-half sales of $11.0bn against $9.2bn a year earlier, up 20% at nominal exchange rates. Adjusted EBITA margin rose to 15.4% from 12.9%. Adjusted EBITA is adjusted operating income plus amortisation of acquisition-related intangibles. Return on invested capital, measured for Hitachi Energy on a standalone basis, rose to 54.4% from 41.7%, which the deck calls a record.
| Metric | First half, prior year | First half, current year |
|---|---|---|
| Sales | $9.2bn | $11.0bn |
| Adjusted EBITA margin | 12.9% | 15.4% |
| Return on invested capital | 41.7% | 54.4% |
The CFO deck, presented by Ismo Haka, shows the full-year outlook: sales of $23.6bn and a margin of 15.7%, against $19.8bn and 13.4% in the previous year. Backlog stood at more than $65bn at the end of the first half, more than four times the level in 2021, according to the same deck.
Capacity is the swing factor
Management says conversion of that backlog depends on adding capacity. The CEO deck cites $9bn of investment in manufacturing, M&A and partnerships from fiscal 2020 to fiscal 2027, including spending to expand global transformer manufacturing, with more than 40 capacity projects under way. It also plans to add 5,000 staff a year over fiscal 2025 to 2027.
The deck charts sales reaching about $38bn and backlog about $100bn by fiscal 2030. It lifts the ambition for AI-driven productivity to more than $350mn a year of added adjusted EBITA by fiscal 2030. Hitachi Energy puts its addressable market at about $400bn by 2030, growing about 7% a year from 2025, then about 5% a year to 2035.
Data centres and the new targets
Data-centre customers are described as a key growth driver. Management aims for a fivefold rise in data-centre orders, on a chart that runs from fiscal 2024 to fiscal 2027. The CEO deck also names a partnership with Ansaldo Energia on integrated power systems and says Hitachi Energy is working with NVIDIA on an 800V DC architecture for AI factories.
The CFO deck sets out the revised 2030 ambitions: sales growth in the mid-teens a year from fiscal 2024 to fiscal 2030, an adjusted EBITA margin of 19–21%, return on invested capital of 30–40% and average cash conversion above 90%. It describes the margin target as revised upward from the goals given at the October 2025 investor day.
Both decks carry forward-looking-statement warnings. They list demand swings, currency moves, shortages of materials and components, cost changes in long-term contracts and the ability to bring new products to market among the factors that could make results differ materially.