Danish wind turbine maker Vestas posted a quarterly loss on Wednesday but raised its 2013 forecast as it continued with a restructuring programme which has cut thousands of jobs. "The free cash flow for 2013 is now expected to be 500 to 700 million euros ($675 to $945 million) compared to the earlier expectation of a free cash flow of minimum 200 million euros," the company said in a statement.
Danish wind turbine maker Vestas posted a quarterly loss on Wednesday but raised its 2013 forecast as it continued with a restructuring programme which has cut thousands of jobs. "The free cash flow for 2013 is now expected to be 500 to 700 million euros ($675 to $945 million) compared to the earlier expectation of a free cash flow of minimum 200 million euros," the company said in a statement.
Danish wind turbine maker Vestas posted a quarterly loss on Wednesday but raised its 2013 forecast as it continued with a restructuring programme which has cut thousands of jobs.
"The free cash flow for 2013 is now expected to be 500 to 700 million euros ($675 to $945 million) compared to the earlier expectation of a free cash flow of minimum 200 million euros," the company said in a statement.
Free cash flow is an important measure of the rate at which a company can generate cash surplus to operating and existing investment requirements.
"This is driven by higher earnings, lower investments and better working capital management."
The Aarhus-based company also raised the full-year guidance for margins on earnings before interest and …
... more [truncated due to possible copyright]Danish wind turbine maker Vestas posted a quarterly loss on Wednesday but raised its 2013 forecast as it continued with a restructuring programme which has cut thousands of jobs.
"The free cash flow for 2013 is now expected to be 500 to 700 million euros ($675 to $945 million) compared to the earlier expectation of a free cash flow of minimum 200 million euros," the company said in a statement.
Free cash flow is an important measure of the rate at which a company can generate cash surplus to operating and existing investment requirements.
"This is driven by higher earnings, lower investments and better working capital management."
The Aarhus-based company also raised the full-year guidance for margins on earnings before interest and taxes (EBIT) before special items to two percent from one percent.
The troubled company posted a third-quarter loss of 87 million euros -- its ninth quarterly loss in a row -- compared with analyst expectations of a four million euro profit, and a 175 million loss in the same period last year.
"It's partly due to losses on exchange rates and much higher tax payments than expected," Sydbank analyst Jacob Pedersen told Danish news agency Ritzau.
"It's not something that really changes the impression that Vestas is moving in the right direction with regards to earnings," he added.
Revenue also came in below expectations at 1.44 billion euros, compared with the 1.54 billion euros forecast by analysts polled by Dow Jones Newswires.
Vestas ousted its chief executive in August after posting yet another loss in the second quarter.
The group has been in financial difficulty for several years, owing to an overly ambitious expansion followed by draconian restructuring measures that have included cutting thousands of jobs.
Its two-year turnaround plan is focused on cost reductions, reduced investments and increased outsourcing.
By mid morning, shares in Vestas were up 14 percent on the Copenhagen Stock Exchange, in an overall market that was up 0.89 percent.