Vestas to cut ‘unrealistic’ earnings target for 2015

In October 2009, Vestas aimed to post $21 billion of revenue no later than 2015.

But Bloomberg noted that since then, the company’s market value has fallen by half as Asian competitors forced turbine prices down and European governments cut subsidies to renewable energy.

In the report, Simon Gottelier, a fund manager in London at Impax Asset Management Group Plc, which owns Vestas shares said that the 2015 targets “appear to be very unrealistic now. It’s an opportune moment to come out and reset expectations.” Impax owns about $2.7 million of Vestas shares, according to holdings data on Bloomberg.

View the full report here.