Orsted reduces profit forecast ahead of $9.4 billion rights issue vote

Orsted, the Danish developer of wind farms, cut its outlook for operating profits in 2025 just before shareholders voted on a capital raise that was crucial to Orsted's fight against President Donald Trump and his opposition to wind energy.

Orsted, once hailed as an innovator in offshore wind power, is now in dire straits. It faces industry-wide issues and risks further losses for its two remaining projects on the U.S. East Coast.

The company expects to earn between 24 billion and 27, billion Danish crowns, excluding new partnership fees and cancellations. This is a significant increase from the previously-guided range of 25-28 million crowns.

Orsted stated in a press release that the primary reason for the change to the EBITDA guide is the impact of the lower than normal offshore wind speeds on the entire offshore portfolio.

The company said that its profit outlook was also negatively affected by the delay in completing its Greater Changhua 2b project, which is currently under construction in Taiwan. An export cable had been damaged.

Orsted shareholders will vote on Friday, April 5, on an emergency share issue of $9.4 billion that is supported by the major shareholders.

Orsted said that the earnings warning would not affect its medium-term goals.

(source: Reuters)