Vestas improves its profitability in the 3rd quarter thanks to strong business

Net profit reached 304 million euros, compared to 127 million euros a year earlier, with revenue increasing by 3,1% to 5,3 billion euros, according to its press release.

"These results are explained by an increase in deliveries and a continued improvement in the execution of onshore projects, and underline that the end of the year is very busy," said the group's CEO, Henrik Andersen, quoted in the quarterly report.

Revenue is slightly below Factset consensus forecasts (5,39 billion) but operating profit of 414 million is above expectations (300 million).

Order intake increased by 4% to 4,6 gigawatts, driven by the United States and Germany, with onshore activity up by 60%.

The Danish group has decided to narrow its annual forecast range, forecasting revenue between 18,5 and 19,5 billion euros (compared to 18-20 billion) for an operating margin between 5% and 6% (compared to 4%-7%).

This tightening reflects "a decline in the profitability of services and a stronger execution of onshore activities", the group added.

Vestas will also launch a 150 million euro share buyback "underlining our ambition to redistribute value to our shareholders whenever possible," said its CEO.

"The world remains marked by geopolitical uncertainty, which creates unprecedented challenges, but also shows why wind energy remains essential to establishing affordable, safe and sustainable energy systems," Mr. Andersen stressed.

Despite European states' ambitions to green their energy sources, Western manufacturers have been penalized by supply chain disruptions and rising costs.

The entire sector is also facing a major challenge in the United States after President Donald Trump froze federal permits and loans for all offshore and onshore wind projects.