Danish wind power Vestas lost 85 million euros through June

The Danish company Vestas, dedicated to the manufacture and sale of wind turbines, presented on Tuesday a net loss of 85 million euros in the first half due to increased expenses, in part due to the coronavirus crisis.

Vestas had to face an extraordinary provision of guarantees of 175 million to cover the repair and improvement of several wind turbine blades already installed, in addition to facing logistical challenges and problems in the supply chain, worsened by the crisis.

The net operating profit (ebit) went from a profit of 171 million to a loss of 78 million.

Turnover amounted to 5,776 million, 50% more year-on-year.

The power produced was 9,584 megawatts, 57% more; and the installed, 6,248 megawatts, 70% more.

In the second quarter, Danish wind, one of the world’s leading wind consortiums, lost 5 million euros net, compared to a gain of 90 million a year earlier.

Ebit fell 73% to 34 million, and turnover improved 67% to 3,541 million.

Vestas CEO Henrik Andersen noted that the pandemic continues to affect the renewables industry, highlighting the improvement in revenue and record orders.

“The pandemic and recession will create uncertainty in 2020 but we are confident in our ability to ensure business continuity in our value chain and we maintain our forecast of annual revenue of 14-15 billion,” said Andersen.