Vestas struck by historically high transport prices

Parties willing to pay the most get their wares shipped, says Vestas' CFO after a quarter when a "double whammy" on transport costs, to mention one factor, resulted in a guidance downgrade.

Photo: United Heavy Lift

In the US, freight operators have started to make long-distance telephone calls. Earlier this month, Bloomberg reported an extensive and acute short supply of truckers in the country, leading companies to import drivers from as far away as South Africa. Meanwhile, global freight rates for container shipping have reached record levels, which are only showing signs of continuing their ascent.

Such developments are leaving quite the mark on many, not least Vestas, which in Wednesday's second-quarter interim report booked a guidance downgrade on both revenue and operating result, now projected to hit an adjusted earnings margin before interest and taxes of 5-7 percent against the prior interval of 6-8 percent. In the worst-case scenario, this could cut roughly a half-billion euros off the bottom line.

Read the whole article

Get 14 days free access.
No credit card required.

An error has occured. Please try again later.

Get full access for you and your coworkers.

Start a free company trial today

More from ShippingWatch

For Coca-Cola, chartering vessels is by no means a foreign concept

Coca-Cola made a splash when one of the company's execs recently informed that it had chartered three dry bulk vessels as a result of the strained supply chains. It's a frequently used method, the company tells ShippingWatch. Nike expects shortages of products in coming quarters.

Further reading

Related articles

Trial banner

Latest news

See all jobs