Ørsted Wind Farms Deliver in Q1

Ørsted has reported DKK 3.6 billion operating profit (EBITDA) from its offshore wind farms in operation in the first quarter of 2019, a year-on-year increase of 13% mainly driven by a ramp-up in generation from the Borkum Riffgrund 2 and the Walney Extension wind farms.

Power generation from offshore and onshore wind increased by 31% and totalled 3.9TWh in Q1 2019, mainly due to the ramp-up of generation from Walney Extension and Borkum Riffgrund 2, as well as the addition of the Onshore business unit. Offshore and onshore wind accounted for 66% of the company’s total power generation in Q1 2019.

Overall, the company’s EBITDA totalled DKK 5.1 billion in Q1 2019, a decrease of 7% compared to Q1
2018, mainly due to a positive outcome of an arbitration case in Q1 2018 as well as cyclically lower earnings from gas portfolio activities in Customer Solutions.

The Q1 2019 EBITDA was driven mainly by high availability and generally strong performance at Ørsted’s wind farms in operation together with good progress on the construction of the 1,218MW Hornsea One offshore wind farm in the UK.

Following the continued ramp-up of the offshore wind capacity and the addition of the onshore wind capacity, the company’s green share of heat and power generation increased from 68% in Q1 2018 to 80% in Q1 2019.

“We delivered strong results in line with expectations. Our full-year guidance remains unchanged,” Ørsted’s CEO and President Henrik Poulsen said.

”During the first quarter we have continued to strengthen our portfolio within both Offshore and Onshore. We have submitted bids for offshore wind projects in France, the Netherlands and the US. We expect an outcome from all five tenders and auctions over the coming three months.”

Looking ahead, Ørsted expects EBITDA (business performance), excluding new partnership agreements, to reach DKK 15.5-16.5 billion in 2019. Gross investments are expected to amount to DKK 21-23 billion in 2019, the company said.