Gurit has amended its financial outlook for 2021 due to temporarily reduced demand for wind blades in China and the accelerating decrease in balsa demand.
For the year 2021, the company expects a revenue of around CHF 500 million and an operating profit margin of around 8% including restructuring charges.
Gurit said that it now does not expect a recovery of the Chinese wind energy market before 2022. However, ‘while the company believes the slowdown in China is temporary, it also assumes that the trend to replace balsa and its replacement by PET is permanent. Gurit has therefore decided to exit its partnership for balsa wood production in Indonesia and to restructure and downsize its operation in Ecuador,’ a press release said.
The company is now reportedly relocating its entire kitting operation from the US to Mexico and merging its BU Kitting and BU Wind Materials into one segment, entitled BU Wind Systems.
This story uses material from Gurit, with editorial changes made by Materials Today. The views expressed in this article do not necessarily represent those of Elsevier.
