Categories
Companies by Category
Company Index
Green Funds
Investing Basics
Stock Tips
Biofuel
Clean Power
Emissions Trading
Energy Efficiency
Energy Storage
Fuel Cells
Geothermal
Green Building
Green Living
Lighting
Recycling
Solar Energy
Vehicles
Water
Wave/Tidal Power
Wind Power
Australia
Canada
China
Germany
Japan
USA
|
Military Orders The new series of novels from Martin Roth In the Middle Ages, military orders like the Templars defended Christians and fought for justice. Now, in Martin Roth's latest series of novels, a church has established a clandestine new military order, to fight for today's persecuted Christians.... |
 |
Vestas - High Costs Limit Growth
Wind power giant Vestas must lower costs to maintain its high-growth path.
Danish company Vestas was founded in 1945 as a manufacturer of household appliances. It produced its first wind turbines in 1979, and is today the world’s largest manufacturer of these. It is listed on the Copenhagen Stock Exchange, with ADRs available in the US.
Latest Business Results (September 2007, Third Quarter)
Vestas achieved an excellent result, with sales up 37% from the September 2006 quarter to EUR 1.15 billion, EBIT up 155% to EUR 102 million and after-tax profit surging 267% to EUR 66 million. Healthy demand, along with higher sales prices and efficiency improvements, were key factors. European business was responsible for 52% of sales revenues, with America 37% and Asia-Pacific 11%.
Outlook
Vestas has grown hugely thanks to its strength in Europe. However, as that market matures the company’s growth could slow. Merrill Lynch forecasts that until 2011 it will achieve just single-digit annual growth, and that its global market share could tumble from 34% in 2006 to under 20%. Since 2005 the company has been working to lower its costs, and it it is investing heavily in production facilities in China and the US. Its own forecast is for revenues of about EUR 4.5 billion in 2007, a 15% rise from the previous year, with a jump to around EUR 5.7 billion in 2008.
January 12th, 2008