Interim financial report, second quarter 2015
Summary: In the second quarter of 2015, Vestas generated revenue of EUR 1,749m – an increase of 30 percent compared to the year-earlier period. EBIT before special items increased by EUR 41m to EUR 145m. The EBIT margin before special items was 8.3 percent and the free cash flow increased by EUR 204m to EUR 183m compared to the second quarter of 2014.
The intake of firm and unconditional wind turbine orders amounted to 3,018 MW in the second quarter of 2015. The value of the wind turbine order backlog amounted to EUR 8.8bn at 30 June 2015. In addition to the wind turbine order backlog, Vestas had service agreements with contractual future revenue of EUR 8.1bn at the end of June 2015. Thus, the value of the combined backlog of wind turbine orders and service agreements stood at EUR 16.9bn – an increase of EUR 3.0bn compared to the year-earlier period.
Vestas maintains its full-year guidance of revenue of minimum EUR 7.5bn, an EBIT margin before special items of minimum 8.5 percent, total investments of approx EUR 350m, and free cash flow of minimum EUR 600m.
Group President & CEO Anders Runevad said: “Vestas continued to execute well on our strategy in the second quarter of 2015, delivering a strong result on our key financial and operational parameters. Order intake was particularly strong, and with a combined order backlog of EUR 16.9bn we are well-positioned for the future. I am very pleased with our employees’ performance across the globe, which secures Vestas’ position as the wind industry leader. The profitable growth strategy is firmly on track as we leverage our key strengths – global reach, technology & service leadership, and scale”.
Key highlights
Very strong order intake in the quarter
Order intake in Q2 2015 reached 3,018 MW – up 56 percent.
Largest combined order backlog ever
Wind turbine and service order backlog of EUR 16.9bn.
Return on invested capital (ROIC) remains at record high level
ROIC increased to 55 percent (TTM).
Earnings continue to improve
EBIT before special items of EUR 145m – up 39 percent – equal to a margin of 8.3 percent.
Continued strong cash flow
Free cash flow of EUR 183m strongly impacted by an increase in the cash flow from operating activities.
Information meeting (audiocast)
Today, Wednesday 19 August 2015, at 10 a.m. CEST (9 a.m. BST), Vestas will host an information meeting via an audiocast. The audiocast will be accessible via vestas.com/investor.
The meeting will be held in English and questions may be asked through a conference call. The telephone numbers for the conference call are:
Europe: +44 203 428 1408
USA: +1 866 388 1923
Denmark: +45 8233 3178
Contact details
Vestas Wind Systems A/S, Denmark
Hans Martin Smith, Senior Vice President, Investor Relations
Tel: +45 9730 8209
Vestas Wind Systems A/S
Hedeager 42
8200 Aarhus N
Denmark
Company reg. No.: 10 40 37 82
Tel: +45 9730 0000
Fax: +45 9730 0001
vestas@vestas.com
Download the interim financial report for Q2 2015: