Preliminary first half-year 2012 figures and update on credit facilities
7/31/2012 8:23 AM EST
Vestas Wind Systems A/S
Company Announcement
Preliminary first half-year 2012 figures and update on credit facilities
Preliminary first half-year 2012 figures and update on credit facilities
Aarhus, Denmark, 2012-07-31 14:23 CEST (GLOBE NEWSWIRE) --
Vestas has decided to disclose some preliminary financial figures for the first
half year of 2012 and to update the market on its credit facilities. The
interim financial report for the first half year of 2012 will be disclosed as
scheduled on 22 August 2012.
The below figures are preliminary and are still in the process of being finally
reviewed as some of the figures may be affected by among other things the final
evaluations of provisions, deferred tax assets and other items with
accounting judgements.
Vestas returns to profitability in the second quarter after loss-making first
quarter
Q2 2012* Q1 2012 Change
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Produced and shipped (MW) 2,160 931 132%
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Revenue (mEUR) 1,611 1,105 46%
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EBIT before special items (mEUR) 40 (204) EUR 244m
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EBIT margin before special items (%) 2.5 (18.5) 21% points
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EBIT after special items (mEUR) 18 (245) EUR 263m
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Free cash flow (mEUR) (338) (295) EUR (43)m
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* Preliminary figures
Update on credit facilities
Vestas has experienced a strong improvement in earnings and activity level in
the second quarter of 2012 compared to the first quarter of the year. Despite
this, financial covenants testing is affected by the disappointing results
realised by Vestas in the second half year of 2011 and the first quarter of
2012, which mainly related to the cost overruns in relation to the introduction
of new technology.
Vestas has therefore agreed with its lenders to defer the half-year 2012
testing of the financial covenants contained in Vestas’ banking facilities and
the lenders have allowed drawings, which in the opinion of Vestas are
sufficient for the continued operation of Vestas on usual terms since the
company expects to test on normal terms in the future.
Vestas considers this to be a temporary issue and in the light of the company’s
positive results in the second quarter of 2012 combined with the large backlog
of firm and unconditional orders, Vestas expects to meet the financial
covenants contained in its current banking facilities in the near-term future.
Preliminary financial figures
Q2 Q2 Change H1 H1 Change
2012* 2011 % 2012* 2011 %
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Produced and shipped (MW) 2,160 1,417 52 3,091 2,051 51
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Revenue (mEUR) 1,611 1,401 15 2,716 2,461 10
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Gross profit (mEUR) 248 248 0 260 348 (25)
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EBITDA before special items (mEUR) 161 150 7 71 150 (53)
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EBIT before special items (mEUR) 40 77 (48) (164) 8 -
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EBIT margin before special items (%) 2.5 5.5 - (6.0) 0.3 -
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EBIT after special items (mEUR) 18 77 (77) (227) 8 -
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Profit/(loss) for the period (mEUR) (8) 55 - (170) (30) -
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Free cash flow (mEUR) (338) (63) - (633) (494) -
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* Preliminary figures
Contact details
Vestas Wind Systems A/S, Denmark
Lars Villadsen, Senior Vice President, Investor Relations
Tel.: +45 9730 0000
Disclaimer and cautionary statement
This document contains forward-looking statements concerning Vestas' financial
condition, results of operations and business. All statements other than
statements of historical fact are, or may be deemed to be, forward-looking
statements. Forward-looking statements are statements of future expectations
that are based on management’s current expectations and assumptions and involve
known and unknown risks and uncertainties that could cause actual results,
performance, or events to differ materially from those expressed or implied in
these statements.
Forward-looking statements include, among other things, statements concerning
Vestas' potential exposure to market risks and statements expressing
management’s expectations, beliefs, estimates, forecasts, projections and
assumptions. A number of factors that affect Vestas' future operations and
could cause Vestas' results to differ materially from those expressed in the
forward-looking statements included in this document, including (without
limitation): (a) changes in demand for Vestas' products; (b) currency and
interest rate fluctuations; (c) loss of market share and industry competition;
(d) environmental and physical risks, including adverse weather conditions; (e)
legislative, fiscal, and regulatory developments, including changes in tax or
accounting policies; (f) economic and financial market conditions in various
countries and regions; (g) political risks, including the risks of
expropriation and renegotiation of the terms of contracts with governmental
entities, and delays or advancements in the approval of projects; (h) ability
to enforce patents; (i) product development risks; (j) cost of commodities; (k)
customer credit risks; (l) supply of components; and (m) customer-created
delays affecting product installation, grid connections and other
revenue-recognition factors.
All forward-looking statements contained in this document are expressly
qualified by the cautionary statements contained or referenced to in this
statement. Undue reliance should not be placed on forward-looking statements.
Additional factors that may affect future results are contained in Vestas'
annual report for the year ended 31 December 2011 (available at
www.vestas.com/investor) and these factors also should be considered. Each
forward-looking statement speaks only as of the date of this document. Vestas
does not undertake any obligation to publicly update or revise any
forward-looking statement as a result of new information or future events
others than as required by Danish law. In light of these risks, results could
differ materially from those stated, implied or inferred from the
forward-looking statements contained in this document.