Vestas generated revenue of EUR 3,798m in the first nine months of 2011, which was in line with the year-earlier period. EBIT declined by EUR 136m to EUR (84)m. The EBIT margin was (2.2) per cent. The free cash flow improved significantly to EUR (218)m from EUR (878)m in the first nine months of 2010. The net debt at 30 September 2011 amounted to EUR 834m; a decline of EUR 237m during the quarter. The intake of firm and unconditional orders was 4,211 MW in the first nine months of 2011 and the backlog of firm and unconditional orders amounted to EUR 8.0bn at 30 September 2011. Safety at Vestas’ workplaces improved once again, and the share of renewable energy amounted to 35 per cent.
Vestas retains the guidance for 2011 announced on 30 October 2011. Due to the expected weak economic growth in the OECD area, Vestas does not expect to be able to reach the earlier announced Triple15 ambition of EUR 15bn in revenue and an EBIT margin of 15 per cent in 2015. In the medium term, Vestas aims to realise a high single-digit EBIT margin with a normalised US market and at the same time, increase its market share. Revenue in the service business is expected to grow faster than the sale of wind power plants.
In connection with the presentation of the annual report for 2011, Vestas will change and adjust its organisation in order to reduce fixed costs and allocate more resources to direct customer-oriented activities in individual markets. A still more global Vestas will contribute to boost Vestas' competitive strength in 2012 and, especially, in 2013, which could prove a very challenging year due to the potential expiry of the Production Tax Credit (PTC) scheme in the USA.
