Danish wind turbine maker Vestas has reported that its revenue increased by E1 billion to E4.86 billion for 2007.
Earnings before interest and taxes increased to E443 million for 2007 from E201 million in 2006. Net working capital declined over the course of the year by E190 million to E68 million contributing to a E103 million improvement in cash flows from operations, which rose to E701 million.
Vestas’s market share is estimated to have declined to 23% from 28%. The lower market share is reportedly due to new Chinese players in the market and an increase in work-in-progress. The firm’s order backlog increased by 20% to E4.8 billion at the end of 2007.
Vestas expects the installed wind power capacity to grow by 20-25% per year over the next 10 years. In 2007, the firm shipped wind power systems with an aggregate capacity of 4,974MW and handed over wind turbines with a capacity of 4,502MW to its customers.
Vestas is expanding its production capacity in principal markets. The year 2008 will see the completion of facilities that will increase in-house capacity by about 3,000MW in the fourth quarter. In 2008, the firm will commence construction of new factories, including a foundry in China and a tower plant in the US, which will form part of a capacity expansion of more than 2,500MW at the beginning of 2010 compared with capacity at the beginning of 2009.