Vestas Wind Systems (VWSB) Q2 2026 Earnings Report

The call conveyed a clearly positive operational and financial quarter: revenue, EPS, cash flow and order intake grew strongly and management raised full‑year EBIT margin guidance. Key strategic levers — offshore ramp‑up, Service recovery and cost discipline — are progressing and supported by a sizable backlog and a EUR 400 million buyback. Lowlights include ongoing Service revenue pressure, warranty and safety issues, a recent blade incident, and lingering external risks (permitting, tariffs, lumpy offshore orders). Overall the positive developments materially outweigh the challenges.

Management raised full‑year EBIT‑margin guidance to 7–9% (from 6–8%) while leaving revenue guidance unchanged at EUR 20–22bn; Service EBIT margin remains guided at 15.5–17.5% and total investment for 2026 is expected around EUR 1.2bn. The upgrade reflects strong Q2 performance and improved visibility (Q2 EPS EUR 1.1, revenue EUR 4.7bn, order intake 3.3 GW), and was accompanied by a EUR 400m share buyback starting 13 Aug (running through the year) as part of a policy to return at least 40% of net profit (YTD distributions now EUR 650m). Liquidity and cash metrics underpinning the guidance include Q2 operating cash flow of EUR 419m, adjusted free cash flow of EUR 94m, total investment in Q2 of EUR 278m, a net cash position of EUR 92m and net debt/EBITDA of 0x (target range −1 to +1); the company retains an investment‑grade rating with a stable outlook.