Vestas Wind Systems (VWDRY) reported second-quarter revenue of 1.61 billion euros, an increase of 15 percent from year-earlier period. Loss before tax was 5 million euros, compared to profit of 76 million euros prior year. Loss per share for the period was 0.04 euros, compared to profit of 0.27 euros prior year.
EBIT after special items was 18 million euros. EBIT before special items was 40 million euros. Vestas retained its full-year guidance of an EBIT margin of 0-4 percent before special items, revenue in the range of 6.50 billion euros to 8.00 billion euros, and a positive free cash flow.
Vestas now expects the number of employees at year-end to be around 19,000 against the previous guidance of 20,400. The company plans redundancies of approximately 1,100 salaried employees in September 2012, and additional reductions before the end of the year. The company said this will contribute to a fixed cost reduction of more than 250 million euros with full effect as from the end of 2012.
The company expects to realise savings of approx 30 million euros in 2012 related to the ongoing product cost-out program. Vestas expects the savings to increase significantly in 2013.
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by RTT Staff Writer
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