Today’s news / Ørsted takes DKK 12.1B Q4 hit
Ørsted is the world's largest developer of offshore wind. The company has constructed several offshore wind farms in Denmark, for example, off Nysted on the southern coast of Lolland. (Archive photo). Photo: Tom Little/Reuters

Ørsted takes DKK 12.1B Q4 hit

Danish energy company Ørsted faces a DKK 12.1 billion write-down in Q4 2024, attributed to interest rate hikes and delays in the US Sunrise Wind project. CEO Mads Nipper expressed disappointment, especially with construction challenges, but remained pleased with the company’s operational performance. Higher average capital costs due to rising long-term US interest rates reduced the value of Ørsted’s American portfolio, causing a DKK 4.3 billion write-down. Assessments of seabed areas off New Jersey, Maryland, and Delaware were downgraded by DKK 3.5 billion due to market uncertainties. The delay of Sunrise Wind’s commissioning to the second half of 2027 resulted in another DKK 4.3 billion write-down. Previously, Ørsted wrote down DKK 28.4 billion in fall 2023 and DKK 2.1 billion in August 2024 due to project delays and cancellations.