Vestas quadruples its profit in Q3 thanks to a record order backlog

Vestas quadruples its profit in Q3 thanks to a record order backlog

Share:

Gain full professional access to energynews.pro from 4.90€/month.
Designed for decision-makers, with no long-term commitment.

Over 30,000 articles published since 2021.
150 new market analyses every week to decode global energy trends.

Monthly Digital PRO PASS

Immediate Access
4.90€/month*

No commitment – cancel anytime, activation in 2 minutes.

*Special launch offer: 1st month at the indicated price, then 14.90 €/month, no long-term commitment.

Annual Digital PRO Pass

Full Annual Access
99€/year*

To access all of energynews.pro without any limits

*Introductory annual price for year one, automatically renewed at 149.00 €/year from the second year.

Vestas, the Danish wind turbine manufacturer and world leader in the industry, recorded a significant increase in profits in the third quarter of 2024. From July to September, the company achieved a net profit of 127 million euros, a fourfold increase compared to the same period last year. This performance was driven by a 19% increase in revenue, now amounting to 5.177 billion euros.

Vestas’ order book was instrumental in these results. The company received 4.4 gigawatts (GW) of new turbine orders, with an average sales price of 1.10 million euros per megawatt (MW), bringing the total value of its orders to a record 28 billion euros. According to Vestas CEO Henrik Andersen, this influx of orders represents a strategic asset for the group in a high-demand sector, despite persistent financial challenges.

Vestas’ services, another solid pillar

Beyond turbine sales, Vestas continues to benefit from high demand for its maintenance, repair, and modernization services for wind turbines. Orders in this segment have reached 35.1 billion euros, further strengthening the company’s position in energy services, a crucial division for its future growth.

However, profit margins in this segment have grown more slowly than expected. This situation is primarily due to rising costs in Europe and America, as reflected in Vestas’ quarterly report. Inflationary pressures on raw materials and labor costs are affecting the company’s profit margins, a hurdle that may persist in the coming months.

Annual forecasts maintained despite challenges

Despite these factors, Vestas has not altered its forecasts for the full year 2024, anticipating revenues between 16.5 and 17.5 billion euros, although the group has indicated that this amount could be at the lower end of this range. This forecast stability comes despite the 225 million euros in impairments announced in the second quarter, resulting from significant investments and restructuring in some activities.

This cautious stance, however, did not reassure investors, and Vestas’ shares recorded a notable 11% drop on the Copenhagen Stock Exchange. This decline is due to market expectations, which hoped for an improvement in short-term financial prospects, in a general market downtrend of 2%.

A future supported by growing demand for renewable energy

The renewable energy sector, which is rapidly expanding, offers favorable long-term prospects for Vestas. Although operational costs are rising, the global demand for sustainable and renewable energy solutions is expected to keep investment levels high. As governments and companies move towards energy transition, Vestas seems well-positioned to capitalize on this growing demand, particularly in the European and American markets, where regulations support the rise of renewable energy.

Vattenfall commits new investment to the Clashindarroch II onshore wind project, a 63MW site in Scotland set to begin construction in 2026 and deliver first power in 2027.
Alerion Clean Power enters the Irish market through the acquisition of an onshore wind farm in County Tipperary, as part of its 2025–2028 industrial plan.
Driven by China's acceleration, global wind capacity is expected to reach 170 GW in 2025, paving the way for a doubling of installed capacity by 2032.
Ocean Winds reaches a new milestone with the installation of the first foundation at the Dieppe – Le Tréport offshore wind farm, which will comprise 62 turbines supplying nearly 850,000 people.
Pennavel and BrestPort strengthen their partnership around the South Brittany floating wind project, aiming to structure industrial operations from 2030 at the EMR terminal of the port of Brest.
Van Oord has completed the installation of 109 inter-array cables at the Sofia offshore wind farm, marking a major logistical milestone for this North Sea energy infrastructure project.
Italian producer ERG will supply 1.2 TWh of energy to Rete Ferroviaria Italiana starting in October, marking a step forward in structuring the national PPA market.
The Chinese turbine manufacturer has signed a strategic agreement with Mensis Enerji to develop an initial 4.5 GW wind power portfolio in Turkey, strengthening its position in a fast-growing regional market.
The Trump administration plans to revoke federal approval of the New England Wind project, jeopardising offshore wind contracts representing 2,600 MW of capacity off the northeastern US coast.
Orsted and two U.S. states have taken federal legal action to contest the abrupt halt of the Revolution Wind project, a $5 billion offshore venture now at risk of prolonged suspension.
SPIE Wind Connect will carry out subsea connections for phase II of the TPC project, a major development in Taiwan’s offshore wind sector with a projected annual capacity of 1,000 GWh.
Envision Energy launches its first project in Turkey in partnership with Yildizlar Group, adding 232 MW to the national wind capacity in Karaman province.
ABO Energy maintains its annual targets despite a drop in half-year profit, relying on cost-cutting measures and early project sales to secure cash flow.
Energiekontor has closed financing for two wind projects in Verden, with a combined 94 MW, with construction starting this year and commissioning scheduled for 2027.
South Korea has rejected all projects using foreign turbines in its 2025 offshore wind auction, marking a strategic shift in favour of local industry and energy security.
The Danish Energy Agency confirmed the rejection of 37 feasibility study permit applications, citing European Union state aid rules and lack of competition.
With an AUD$3 billion investment, ACEN launches one of Tasmania’s largest private projects, aiming for commissioning in 2030 and annual supply for 500,000 households.
In France, a 12.9 MW wind farm financed by local actors has been commissioned in Martigné-Ferchaud, showcasing an unprecedented model of shared governance between citizens, local authorities and public investment companies.
The governors of five states urged the Trump administration to maintain permits for threatened offshore wind projects, citing massive investments and jobs at stake in a nascent industry.
Green Wind Renewables is developing a 450 MW wind farm in the Wheatbelt region of Australia, with up to 75 turbines and an estimated annual output of 1.5 TWh.

Log in to read this article

You'll also have access to a selection of our best content.