Nordex expecting increased order intake and steady sales in 2011
• Business volumes at the one billion euro mark again in 2010 thanks to a strong fourth quarter
• Improvement in EBIT margin to 4.0% (3.5%).
• 14% increase in order intake to EUR 836 million
• CEO Richterich: “New business will continue to rise in 2011, with sales expected to remain at the previous year’s level”
Hamburg, February 28, 2011. According to its preliminary figures, the Nordex Group (ISIN: DE000A0D6554) achieved its targets for 2010. Total revenues came to EUR 1,008 million (2009: EUR 1,144 million) particularly thanks to the strong fourth quarter. At EUR 972 million (2009: EUR 1,183 million), sales were slightly lower. The positive trend was particularly remarkable in the final quarter, with sales rising to EUR 358 million during that period.
At EUR 40 million, consolidated operating earnings remained at the previous year’s level. Accordingly, the EBIT margin widened to 4.0% (2009: 3.5%). Spurred by the high business volumes, Nordex generated a large part of its earnings in the final quarter (EUR 22.6 million; Q4/2009: EUR 18.1 million). Cash flow from operating activities rose to EUR 20.3 million in 2010 (2009: EUR 9.6 million). Net liquidity contracted to EUR 24.3 million (2009: EUR 59.6 million) chiefly as a result of capital spending of EUR 72 million (2009: EUR 51.1 million).
New business rose by 14% in 2010 to EUR 836 million (2009: EUR 737 million), with order intake in the fourth quarter alone contributing EUR 306 million to this favorable trend. Individual US contracts were postponed until 2011 as the cash grant for wind farm projects was unexpectedly extended by a year on December 17, 2010.
Turning to 2011, Nordex expects new business to remain consistently strong. All told, it forecasts a 20 percent increase in order intake in 2011, equivalent to new orders worth around EUR 1 billion, in tandem with steady sales. In order to safeguard its earnings quality, Nordex launched a comprehensive cost-cutting program and enhanced the efficiency of its products in 2011. Says CEO Richterich: “In this way, we are able to very largely shield ourselves from the price pressure currently prevailing in the market.”