Siemens Gamesa reported revenue up 12% in the first nine months of the financial year, boosted by growth in all business segments – onshore and offshore wind and servicing – but earnings fell 1%.
Revenue rose to almost €7.3bn from €6.5bn in 2018, while earnings were down to €475m.
The company said lower prices for turbines in the order backlog continued to have most impact on profitability.
Earnings have also been hit by onshore execution challenges, particularly in Northern Europe and India, it said.
Net income in the first nine months almost doubled to €88m on the back of lower taxes and lower costs related to the merger and restructuring.
Revenue also grew in the third quarter to over €2.6bn from €2.1bn, while earnings reached €159m up from €156m.
Net income fell almost 53% to €21m from €44m in the third quarter, but this was mainly down to the impact of tax revenues in the 2018 figures.
Onshore revenue grew 17% in the quarter on the back of higher installation activity and regional mix to almost €1.23bn, while offshore revenue was up 31% to over €1bn from €775m.
The company posted a record order intake and order backlog in the third quarter of 2019, up over 41% and 8% respectively, year on year.
The order intake stood at €4.7bn at the end of the quarter, while the order backlog reached €25.1bn.
Almost half of the backlog (€11.55bn) is in the service sector, up 8% year on year, with onshore wind at more than €6.3bn up 36% and offshore €7.2bn down 8%.
The order intake rose 42% driven by growth on all three of the company’s businesses. Offshore accounted for 44% of the intake, onshore 36% and service 20%.
Onshore intake was driven by a strong performance in the Americas, with 62% coming from the US and 14% from Chile, while Taiwan and the US proved lucrative in the offshore segment.
However, the intake was hit by market volatility in emerging markets, particularly in India.
But, Siemens Gamesa said there were signs of recovery in India with a 453MW order to booked in July that will be reported in the fourth quarter results.
The company added that it is also facing potential short-term headwinds, such as the impact of possible trade wars with the US and a no-deal Brexit in the UK.