Vestas Wind Systems A/S Q2 2025 Earnings Recap

Vestas achieved a 14% year-on-year revenue growth to EUR 3.7 billion in Q2, but faced a significant decline in order intake, notably in the U.S., amid policy uncertainties.

Key Takeaways

• EBIT margin decreased to 1.5% due to increased offshore ramp-up costs, despite improved onshore project performance.
• Order intake fell 44% year-on-year to 2 gigawatts, primarily impacted by customer hesitance regarding U.S. policy clarity.
• Return on capital employed improved to 11.5%, marking the highest ROCE since 2020, driven by enhanced profitability over the last 12 months.
• The service order backlog increased to EUR 36 billion, with gigawatts under service rising to 159, reflecting ongoing recovery efforts.
• Despite challenges, the company maintains its 2025 outlook guidance, with early Q3 signs of order momentum returning.