Nordex Se · XETR:NDX1
Nordex — Q1 2014 Earnings Presentation
21 slides from Nordex's earnings presentation, May 14, 2014
Slide 1: Nordex SE Conference Call Q1 2014
Nordex SE Conference Call Q1 2014 Rostock May 14, 2014
Slide 2: Agenda
AGENDA 1. Highlights Q1 2014 Dr. Jürgen Zeschky 2. Operational achievements along the value chain Dr. Jürgen Zeschky 3. Financials Bernard Schäferbarthold 4. Market update Dr. Jürgen Zeschky 5. Outlook 2014 Dr. Jürgen Zeschky 6. Appendix (Shareholder structure, financial calendar) Conference Call Q1
Slide 3: Highlights Q1 2014
1. HIGHLIGHTS Q1 2014 Very good start into 2014: Order intake +71 % yoy – best Q1 ever Sales + 64% EBIT-margin of 5% Working capital ratio reduced further to 1.0 % Positive free cash flow EIB loan of up to EUR 100 mn for R&D activities signed Raising guidance for 2014 Conference Call
Slide 4: Business performance along the value chain
2. BUSINESS PERFORMANCE ALONG THE VALUE CHAIN Installations •Increase by 41% to 321.4 MW (Q1 2013: 228.3 MW) •81% installed in EMEA, 14% in APAC and 5 % in Americas •Installations in ten markets, including Turkey (60 MW), Germany (58 MW), Pakistan (45 MW) and Ireland (44 MW) Service •Increase in sal
Slide 5: Continuing strong momentum in order intake
2. CONTINUING STRONG MOMENTUM IN ORDER INTAKE Order intake Q1 2014 vs 2013 (in EUR mn) Order intake Q1 2014 by region +71% 562 Americas APEC EMEA 6% Germany 3% EMEA 37% 328 North 26 % 28% EMEA South Q1 2013 Q1 2014 Order intake of EUR 561.7 mn – Nordex´ best Q1 ever 91% from EMEA with Germany, F
Slide 6: Order book strong basis for 2014
2. ORDER BOOK STRONG BASIS FOR 2014 Development of the firm order book Q1 2013 – FY 2013 – Q1 2014 (in EUR mn) +12% 1,416 1.259 1.141 31/3/2013 31/12/2013 31/3/2014 Firm order book of EUR 1,416 mn (31.12.2013: EUR 1,259 mn) covers 2014 sales target fully EMEA currently accounts for 90% of the fi
Slide 7: Group income statement Q1 2014
3. GROUP INCOME STATEMENT Q1 2014 In EUR millions Q1 2014 Q1 2013 ∆ in % Sales 424.5 259.0 63.9 Total revenues 381.3 281.1 35.6 Cost of materials (289.7) (221.3) 30.9 Gross profit 91.6 59.8 53.2 Personnel costs (38.6) (34.7) 11.2 Other operating (expenses)/income (22.5) (17.9) 25.7 EBITDA 30.3 7.2 >
Slide 8: Improvement in gross margin and productivity
3. IMPROVEMENT IN GROSS MARGIN AND PRODUCTIVITY Development of gross margin Productivity per employee (in TEUR) FY 2012 – FY 2013 – Q1 2014 (in %) +5% +43% +2.4pp +1.2pp 139 24.0 133 22.6 21.4 93 2012 2013 Q1 2014 2012 2013 Q1 2014 (rolling) Further improvement in gross margin up to 24% in Q1- qua
Slide 9: Positive free cash flow
3. POSITIVE FREE CASH FLOW Key figures cash flow statement Q1 2014 Key figures cash flow statement Q1 2013 in EUR mn in EUR mn Cash flow from operating 27.7 Cash flow from operating -60.0 activities activities Cash flow from investing -12.9 Cash flow from investing -17.3 activities activities Free c
Slide 10: Positive development of inventories and working capital ratio
3. POSITIVE DEVELOPMENT OF INVENTORIES AND WORKING CAPITAL RATIO Development of inventories (in EUR mn) and working capital ratio (in %) 2011 – Q1 2014 EUR mn % W/C ratio in % 400 37.3 40 350 35 310 -31% 293 300 281 27.7 30 267 257 264 250 235 240 25 227 224 228 205 200 181 20 150 15 100 8.7 10 50 2
Slide 11: Group balance sheet Q1 2014
3. GROUP BALANCE SHEET Q1 2014 In EUR millions 31.3.2014 FY 2013 31.3.2014 FY 2013 Liquid funds 344.7 333.0 Current bank borrowings 8.4 8.4 Trade receivables and future 251.2 214.0 Trade payables 169.6 190.3 receivables Net inventories 181.2 263.9 Other current liabilities 374.5 386.5 Other current
Slide 12: Steady demand growth supports the implementation of the strategy
4. STEADY DEMAND GROWTH SUPPORTS THE IMPLEMENTATION OF THE STRATEGY Regional development Market overview (New installations in GW) Global growth of ~9 % CAGR 64 EMEA: market potential >12 GW p.a. – +9% Americas 60 highest growth rates in African markets; 55 11 Nordex focus markets stable overall
Slide 13: Germany will remain a volume market despite the EEG reform
4. GERMANY WILL REMAIN A VOLUME MARKET IN THE MEDIUM TERM, DESPITE THE EEG REFORM Onshore Installations 2000 - 2013 (in MW) The new EEG in detail (in EUR ct/kWh) 2.997 8.90 EEG expansion corridor of 2,4-2,6 GW + repowering 3.95 4.95 Duration of premium depends on the quality of the site („Referenzer
Slide 14: Nordex will continue to outpace the market
4. NORDEX WILL CONTINUE TO OUTPACE THE MARKET Strong momentum in order intake is still intact 2000 1500 CAGR +18% 1000 500 0 2009 2010 2011 2012 2013 2014e Main success factors: Focus on right markets: growing economies (Turkey), stable legal framework (Germany), growth potential (RSA) Competiti
Slide 15: Outlook 2014
5. OUTLOOK 2014 Very promising start into the new year – strong order intake from various markets (Germany, Finland, France, Netherlands, UK), increase in sales, improvement in profitability Previous NEW Order intake EUR 1.4 – 1.6 bn EUR 1.5 – 1.7 bn Sales EUR 1.4 – 1.5 bn EUR 1.5 – 1.6 bn EBIT ma
Slide 16: Outlook 2014 and beyond
5. OUTLOOK 2014 AND BEYOND We expect to reach our targets one year earlier than planned Going forward we will focus on moderate growth and higher profitability This means further strengthening of: Sales & service R&D and efficient products Efficiency and processes There is still a lot
Slide 17: Time for your questions
TIME FOR YOUR QUESTIONS Conference Call Q1 2014| Nordex SE | May 15, 2014 17
Slide 18: Appendix: Shareholder structure Nordex SE
APPENDIX: SHAREHOLDER STRUCTURE NORDEX SE SKion/momentum capital 22.79% DWS 3.06% Free float 74.15% Based on 80.882.447 shares, as of May 2014 Conference Call Q1 2014| Nordex SE | May 15, 2014 18
Slide 19: Appendix: Financial calendar
APPENDIX: FINANCIAL CALENDAR As of May 2014 Date Event 14 May Analyst call Q1 2014 3 June Annual General Meeting (Rostock) 11-13 June Deutsche Bank GSAC 2014 (Berlin) 13 August Analyst call H1 2014 24 September Capital Markets Day / Evening Event during the WindEnergy fair (Hamburg) 25 September Mac
Slide 20: Disclaimer
DISCLAIMER The targeted goals in this document reflect forward looking statements which are based solely on estimates and not on predictable risks. Should the estimates with regard to the successful integration of acquisitions and the future internal growth of the company not to be realized or if ot
Slide 21: Thank you for your attention
THANK YOU FOR YOUR ATTENTION. Nordex SE Langenhorner Chaussee 600, 22419 Hamburg, Germany Phone: +49 (0)40 30030 1000 Fax: +49 (0)40 30030 1333 eMail: [email protected] [email protected] NDX1 ISIN: DE000A0D6554 WKN: A0D655 www.nordex-online.com Conference Call Q1 2014| Nordex