With an even better than predicted half year result-including a profit before tax of DKK 275 million (a 200% increase on the same period last year)-Vestas' share price rocketed 17% on the Copenhagen stock exchange on August 25. Rationalisation and reduction of costs, reduced competition on price and better profits on its US projects than expected are the reasons given by the company for a turnover of DKK 2.2 billion (i300 million), compared with DKK 1.1 billion for the whole of 1998. Profit in 1998 was DKK 258 million, less than the profit already made this year. For Vestas' entire business interests, including its joint-venture manufacturing facilities overseas, turnover so far this year is DKK 3.1 billion. The board has once again raised its projections for 1999, predicting a record profit of DKK 500-550 million from a turnover of DKK 4.6 billion. Just three months ago the projection was for DKK 4.2 billion and a profit of DKK 415 million. In total Vestas has sold 477 MW in the first half year, with 203 MW sold in Spain, 122 MW sold to North America, 69 MW to Germany and 51 MW sold in Denmark.
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Senior Renewable Energy Analyst (WindGEMINI Product Lead) DNV GL Bristol (City Centre), City of Bristol