Areva flags RE market 'indecision'
French power equipment giant Areva said sales at its renewable energy unit are running behind forecast due to market “indecisiveness”.
Areva’s Renewable Energy Business Group posted revenue of €292m ($403.5m) for the first nine months of 2013.
That represented a drop of 26.6% on the same period last year, when it pulled in €398m.
Areva CEO Luc Oursel said: “In the Renewable Energies BG, revenue is below our Action 2016 plan outlook, mainly due to the current indecisiveness in the renewable markets.”
Offshore wind revenue was down year-on-year as the Global Tech 1 and Borkum West 2 projects both entered the turbine installation phase.
Areva also saw a drop in its Bioenergies unit, but its solar operation recorded an increase in revenue thanks to progress of the Reliance project in India.
Areva said its Renewable Energy backlog stood at €635m on 30 September, down from €1.3bn a year ago, as existing contracts moved ahead and “in the absence of significant new orders”.
The first nine months saw Areva link with development partners EDPR and GDF Suez to enter the race for megawatts under France’s next offshore wind tender round.
Areva – which is dominated by its massive nuclear operation – announced group revenue up 4.7% to €6.85bn for the nine months.
Areva does not publish profit and loss figures at the quarter-year stage.