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TPI Composites Inc. (Scottsdale, Ariz., U.S.) has reported Q4 and full-year 2024 financial results. Highlights for the last three months ending Dec. 31, 2024, include net sales of $346.5 million (increase of 17.7% over the same period in 2023), a net loss of $49.1 million and adjusted EBITDA of $1.2 million. The company acknowledges optimization of its manufacturing footprint and streamlined operations, which positions it for much improved profitability in 2025. 

“We delivered solid results in 2024 despite a challenging macroeconomic backdrop for the global wind industry,” says Bill Siwek, president and CEO of TPI Composites. “In 2024, we made the strategic decisions to transition lines to next-generation blades and restructure our portfolio by divesting the Automotive business, shutting down one of our Mexico facilities and rationalizing our workforce in Türkiye to reflect anticipated demand. The company finished 2024 with a recovery in free cash flow, which in turn, helped us strengthen its liquidity position with $197 million in unrestricted cash.”

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During Q4 2024, TPI Composites extended supply agreements with Vestas and GE Vernova through 2025. Demand for the company’s wind blades out of its Mexico factories exceeds current capacity for 2025, so the company is ramping up production lines there to support 24/7 operations. Additionally, TPI says it is on schedule to reopen its Iowa plant in mid-2025 to support GE Vernova.

Q4 2024 results, recent business highlights

Wind. Net sales of wind blades, tooling and other wind-related sales increased by $54.2 million, or 19.2%, to $336.0 million for the three months ending Dec. 31, 2024 (2023: $281.8 million). The increase was primarily driven by higher sales volume and higher average sales prices for wind blades due to a shift in product mix to newer and longer blades, including the resumption of production at TPI’s previously idled facility in Juarez, Mexico. This increase also reflects the absence of a 4-week shutdown at one its our plants in 2023 due to a supply chain disruption caused by out-of-specification materials. These increases were partially offset by the closure of the Nordex Matamoros plant and lower volumes at TPI’s India facility as it began the transition of a blade type.

Field Services. Field service, inspection and repair services sales decreased $2.1 million, or 19.9%, to $10.5 million (2023: $12.6 million). The decrease was due primarily to the mix of revenue versus warranty activity in the quarter.

Full year 2024 financial results

Net sales for the year ending Dec. 31, 2024, decreased 7.1% to $1,331.1 million as compared to $1,432.4 million in 2023 due to the following:

Wind. Net sales of wind blades, tooling and other wind-related sales decreased by $96.0 million, or 6.9%, to $1,298.3 million (2023: $1,394.3 million. The decrease was primarily due to a 16% decrease in the number of wind blades produced due to the number and pace of startups and transitions, expected volume declines based on market activity levels impacting TPI’s Türkiye and India facilities, and the shut-down of the Nordex Matamoros plant as of June 30, 2024. These decreases were partially offset by a 10% increase in average sales prices of wind blades due to changes in the mix of wind blade models produced, in particular the startup of production at one of the company’s previously idled facilities in Juarez, Mexico, as well has higher sales volumes to support increased demand for the U.S. market.

Field Services. Field service, inspection and repair services sales decreased $5.2 million, or 13.8%, to $32.8 million for the year (2023: $38.1 million). The decrease was primarily due to a reduction in technicians deployed to revenue generating projects due to an increase in time spent on non-revenue generating inspection and repair activities.

TPI Composites’ guidance for 2025 includes $1.4-1.5 billion net sales from continuing operations, a 2-4% adjusted EBITDA margin, ~85% utilization (based on 34 lines installed) and $25-30 million capital expenditures.

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