Vestas’ earnings before interest and tax (EBIT) reached €429m in the third quarter of 2019 compared with €236m in same period in 2018.
According to the turbine supplier’s results gross profit was €615m in the third quarter of this year up from €435m in the same period last year.
For the third quarter of 2019 Vestas’ intake of firm and unconditional wind turbine orders amounted to 4738MW compared with 3261MW in the same period in 2018.
In the first nine months of this year Vestas’ order intake reached 13,438MW against 8697MW for the same period last year.
The value of the wind turbine order backlog amounted to €16.5bn as of 30 September 2019.
In addition to the wind turbine order backlog, Vestas had service agreements with expected contractual future revenue of €16.3bn at the end of September 2019.
The value of the combined backlog of wind turbine orders and service agreements stood at €32.8bn, an increase of €9.1bn compared to the same period in 2019 year-earlier period.
Vestas maintains its 2019 guidance on revenue of €11bn-12.25bn, EBIT margin before special items of 8-9%, and total investments of €800m.
Vestas chief executive Henrik Andersen (pictured) said: “Vestas’ performance in the third quarter of 2019 was in line with expectations with a 30% increase year-over-year in revenue driven by all regions, reflecting unprecedented high activity levels.
“Our order backlog increased to a record-high €32.8bn, which corresponds to a 38% increase year-over-year and underlines the continued strong global demand for Vestas’ wind energy solutions.”
According to Andersen, though the company’s service business continued to grow with high margins and the average selling price was stable in the quarter, “profitability remains impacted by tariffs and increased execution costs”.
“With an order intake of more than 13GW already in 2019 and a very busy 2020 ahead, we continue our relentless focus on execution and profitability, which enable us to sustain our competitiveness and lead the way towards a sustainable planet”, he added.