But the emergence of wind energy as Brazil’s fastest-growing energy source and new opportunities for solar power growth have prompted Weg to diversify its operations.
“If it is attractive, we will participate more intensively in the wind sector,” Weg’s investment relations manager Luiz Fernando Oliveira said during an investor webcast.
“We have the capacity to increase our presence. If it isn’t so attractive, we will look at other types of machinery.”
Weg signaled its interest in wind expansion in April by agreeing to supply 46 turbines for the 97 MW Energia dos Ventos complex in Brazil’s northeastern state of Cearàƒ¡.
The Jaraguàƒ¡ do Sul-based firm also provided equipment for Neoenergia’s 400 kW solar plant on the island of Fernando de Noronha.
Weg’s deputy CEO Sàƒ©rgio Schwartz said the company had also found a niche in manufacturing engines for electric buses. But future investment in the area would hinge on greater government incentives and access to credit, he added.
Weg reported a second-quarter profit of $103 million, up 11 percent on the year-ago period. Net operating revenue hit $820 million, up 7.2 percent year-on-year.