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Goldwind revises down profit guidance, blames deal with Apple

Goldwind 2.5-MW wind turbine.

July 14 (Renewables Now) - Chinese wind turbine maker Xinjiang Goldwind Science & Technology (HKG:2208)  today warned its net profit for the first half of 2017 may go down as much as 30% year-on-year.

Goldwind said in a news release that its first-half net profit attributable to shareholders is likely to be in the range of CNY 1.02 billion (USD 150.5rm/EUR 131m) to CNY 1.45 billion, representing a drop of 30% to zero, compared to the same period a year earlier. In April, the company guided for a result of between CNY 1.45 billion and CNY 2.18 billion or an increase of 0% to 50%.

The wind turbine manufacturer explained the downward revision with "differences in understanding the terms of the contracts" between the company and US technology giant Apple (NASDAQ:AAPL), which has led to the delays in completion of the transfer of some wind farm assets. The transfer is now expected to complete by the end of September.

Goldwind announced a wind power alliance with the iPhone and iPad maker in December 2016, saying that Apple was going to buy 30% stakes in four wind project companies. The plan envisaged co-investments in projects with a combined capacity of 285 MW, Goldwind said at the time.

(CNY 10 = USD 1.476/EUR 1.288)

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