Manufacturing drives growth

Strong sales by Gamesa's wind turbine supply division offset a slight slump in sales of finished wind plant from the project development division for the first nine months of 2006, compared with the same period in 2005. At just over EUR 220 million, group profit was up 115%, while turnover for the period was up 40% to EUR 1385 million. Earnings before financials were up 13% to EUR 225 million.

A focus on increasing turbine production capacity and tightened lead times is behind the positive results, says the company, which installed 1394 MW in the first none months of 2006, a company record and up 64% on the 849 MW in the same period last year. Sales were just 24% up, at 1487 MW, indicating a much faster installation rate in 2006. Indeed, Gamesa Eólica turned in a monthly installation record in September at 279 MW.

The company's turbine facilities in China, US and Spain have expanded Gamesa's annual nacelle and blade production capacity by 1500 MW and 900 MW, respectively. From now on, Gamesa Eólica aims at an average monthly installation of 200 MW. The company's 2 MW range of machines -- with varying rotor sizes -- made up 63% of orders, compared to 52% over the first three quarters of 2005, largely due to orders for the new US facility. The rest were for its 850 kW range.

Wind plant sales by development division Gamesa Energía fell from 251 MW in 2005 to 222 MW this year for the first nine months. The company says this is due to its focus on building and delivery. It says actual handover was at 203 MW, 182% up on the same period last year. For the future, Gamesa says its focus lies with large strategic clients, such as part owner Iberdrola, which recently ordered 2700 MW.