Tuesday, August 18, 2009

Vestas Wind Systems: Revenue up 11%, Earnings Down 34%, Expects Pick Up (VWS.CO)

The stock closed down 3.94% in Copenhagen. From the AP via Forbes:
Denmark's wind turbine manufacturer Vestas Wind Systems A/S said Tuesday its second-quarter net profit fell 34 percent on sluggish global demand and higher employee and plant costs.

For the quarter, Vestas reported net profit of 43 million euros ($60.4 million), or 0.22 euros (31 cents) per share, compared with a net profit of 65 million euros, or 0.35 euros per share, in the year-ago quarter.

Revenue rose 11 percent to 1.2 billion euros ($1.7 billion).

The company shipped 618 turbines during the quarter, 12 percent fewer than in the year-ago quarter. Vestas also laid off 1,567 workers in Denmark and the United Kingdom and closed a British wind turbine factory....MORE

From Reuters:

UPDATE 4-Vestas says pick-up in H2 to secure 2009 targets

...Vestas stood by its forecast for 2009 sales of 7.2 billion euros -- against 2.3 billion in the first half -- and an operating profit margin between 11 percent and 13 percent.

"We are not saying it will be easy (to meet guidance) ... But it is definitely possible," Chief Executive Ditlev Engel said in a conference call. He said that after a very slow 2009 credit markets were easing up.

"We are seeing now that the activity level is again moving upwards, and that the effect of many of the stimulus packages that have been announced in the earlier parts of this year are starting to kick in," Engel said....MORE