Copenhagen, August 12 (FFN) – Danish company Vestas, the world’s largest manufacturer of wind turbines, has announced that it expects to report a loss for the second quarter and has downgraded its full-year profit margin forecast, citing high service costs as a primary factor. The company also noted weaker-than-expected revenue, leading to a revision of its annual revenue forecast. This information comes from a report by Reuters.
On Monday, Vestas revealed that based on preliminary results, it recorded a negative adjusted operating margin of -5.6% for the second quarter. Preliminary sales for the quarter amounted to €3.3 billion, falling short of the previously expected €3.8 billion.
As a result, Vestas has lowered its forecast for both the full-year operating margin and the upper range of its annual revenue. The company now expects its operating margin in 2024 to be between 4% and 5%, down from the original estimate of 4% to 6%. Revenue is projected to be between €16.5 billion and €17.5 billion, compared to the previous forecast of €16 billion to €18 billion.
Here are the tables summarizing the key financial figures and forecasts mentioned in the article:
Vestas Financial Performance and Forecast
| Metric | Q2 2024 Expected | Q2 2024 Actual (Preliminary) | Change |
|---|---|---|---|
| Adjusted Operating Margin | Not Provided | -5.6% | N/A |
| Revenue (€ billions) | 3.8 | 3.3 | -0.5 |
Vestas Full-Year Forecast Adjustments
| Metric | Original Forecast (2024) | Revised Forecast (2024) |
|---|---|---|
| Operating Margin | 4% – 6% | 4% – 5% |
| Revenue (€ billions) | 16 – 18 | 16.5 – 17.5 |
