Gamesa doubles profits

SPAIN: Gamesa doubled its net profit to EUR 64 million in the first nine months of the year due to an increase in revenue and margin.

Improved sales and orders have boosted Gamesa's revenue

The Spanish manufacturer banked revenue of EUR 1.9 billion, 17% up on the same period in 2013, on the back of a 31% bump in sales to 1.8GW. A two percentage point improvement to the company's margin at constant exchange rates to 7.3% also boosted profits.

Order intake was up as well, doubling to 870MW in the third quarter of the year. Since January the figure stands at 2.2GW, 78% more than the same period last year.

But as well as increasing revenue, the strong performance can be put down to a reining-in of costs. This — along with a 10% capital increase — also helped reduce Gamesa's net debt by 60% to EUR 308 million.

There was a strong contribution from the Indian and Brazilian markets, and a recovery in the US and China also helped the company. Emerging markets such as the Philippines, Turkey and Sri Lanka provided a further boost.

The strong performance in these markets offset the lower contribution to sales from Europe.

Revenues from operations and maintenance services totalled EUR 323 million in the first nine months, 20% higher than the same period last year.