Vestas faces problems with big projects - report

Sep 19, 2012 - Danish wind turbine maker Vestas Wind Systems A/S (CPH:VWS) is facing problems with some big projects, as it may lose some to competitors, while others have been delayed, Danish daily Berlingske Business said Tuesday.

Berlingske reviewed a total 10 projects with a combined capacity exceeding 2,500 MW, of which only two are going as planned. According to the newspaper, Vestas risks to lose four of the projects, while another four have been put off.

Most recently, Vestas lost an order in Romania for 516 MW from French Filasa International, which said it would opt for another supplier.

There were some big orders that could have gone to Vestas but were either awarded to other suppliers or were put on hold, Jyske Bank analyst Janne Vincent Kjar told Berlingske. According to Kjar, the lost order in Romania was due to the customer's doubts regarding Vestas's financial muscles.

Vestas's order intake in the third quarter has been very limited and there are signs that it would be the worst quarter in years, Berlingske said. If the order inflow does not improve considerably, 2013 and 2014 could be tough for the Danish turbine maker.

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