Danish wind energy giant Vestas Wind Systems announced its first quarter earnings for 2015, and with revenue, earnings, and free cash flow all increasing compared to a year earlier, the company has improved their outlook for 2015.
Revenue for the Vestas’ first quarter was €1,519 million, up 18% from Q1’14’s €1,283 million. Vestas’ intake of firm and unconditional wind turbine orders hit 1,750 MW in the first quarter, also up on the previous years figures of 1,188 MW.
Given the strong quarterly results, in a quarter famous for being the weaker of the four for most renewable energy companies, Vestas’ shares surged to a record five-year high.
“This has been a historically strong first quarter on revenue, margins, order intake, and return on invested capital,” said Group President & CEO Anders Runevad. “The first quarter results reaffirm that Vestas is making good progress toward achieving its profitable growth objectives and that we are in a very strong position in an otherwise highly competitive industry.”
In light of the company making a strong quarter out of a traditionally weak one, Vestas has upgraded its outlook for 2015. The company is now offering guidance of a minimum revenue of €7.5 billion, up from their previous guidance of a minimum of €6.5 billion, as well as upgrading EBIT margin guidance before special items from 7% to a minimum 8.5%.
Vestas continues to be amongst the top of the pack of global wind energy manufacturers, reaching 1 GW in orders for 2015 by the middle of March. However, Vestas fell to third place in 2014’s wind turbine OEM market share, falling behind Siemens and GE.