Vestas, a wind turbine manufacturer, beats expectations in Q2, raising outlook for the full year

Vestas, a Danish wind turbine manufacturer, reported Wednesday a second-quarter adjusted profit that was higher than expected. It also raised its outlook for the earnings margin of the entire year.

Vestas reported that operating profit for April-June was EUR446 millions ($514.33million) compared to EUR57 million a year earlier. This beat an average analyst poll of EUR205 million.

The company stated that "despite ongoing geopolitical risks and tariffs, we expect revenue growth by 2026."

The company said that "Profitability will improve due to revenue growth, progress on the ramp-up of manufacturing, good project execution and cost-out" initiatives across the Vestas organization.

The company expects to achieve an operating margin of 7%-9% for the full year, before special items, compared to its previous 6%-8%. This is based on sales between EUR20bn and EUR22bn. Revenue in 2025 remained at EUR18.8billion.

Vestas reported that the combined value of its backlog of orders for wind turbines and service agreements was EUR76.9billion at the end of the second quarter, an increase by EUR9.6billion compared with the same period last year. $1 = 0.8672 Euros (Reporting and editing by Terje Solsvik).

(source: Reuters)