- (PLX AI) - Vestas fell 6% at the open after the company unexpectedly cut its guidance last night and reported weaker-than-expected profitability.
- • Q1 revenue beat expectations, but adj. EBIT loss was bigger than consensus, with margins significantly down at -13.2%
- • The weaker than expected profitability was partly due to one-time writedowns related to the Russia invasion ofUkraine and legacy offshore activities
- • Adjusted for impairments and warranty provisions related to a review of the offshore activities, the EBIT margin before special items would have been -6.2%, but still below the consensus of -4%
- • The path to Vestas's 10% EBIT margin target by 2025 now seems long, analysts at SEB said
- • However, the decent order intake in Q1 brings a bit of comfort to 2023 revenue, the analysts said
- • One other positive marker was the average selling price, which for onshore was EUR 0.89 million per MW, while consensus expected only EUR 0.85 million, the analysts said
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