Nordex Se · XETR:NDX1
Nordex — 9M 2010 Earnings Presentation
18 slides from Nordex's earnings presentation, Nov 11, 2010
Slide 1: Nordex SE Conference Call 9M 2010
Nordex SE Conference Call 9M 2010 Hamburg, November 11, 2010
Slide 2: Overview 9M 2010
Overview 9M 2010 Order intake disappointing in Q3 and well below our own expectations Revised guidance for 2010 Sales of ~ EUR 1 billion, stable EBIT margin of ~ 4% Decline in EBIT reflects pricing pressure and slow installations earlier this year • 9M 2010: EUR 614.2 million (2009: EUR 814.0 millio
Slide 3: Regional development
Regional development Project financing is still tightening in traditional key markets in Southern Europe; offshore order intake still high Stagnation in EU onshore market 2010 expected Stable Nordex market share in onshore market Government incentive policies continue to stimulate demand; Chinese ma
Slide 4: Income statement
Income statement In EUR mn 9M 2010 9M 2009 ∆ in % Sales 614.2 814.0 (24.5) Total revenues 634.4 802.7 (21.0) Cost of materials (465.0) (623.4) (25.4) Gross profit 169.4 179.3 (5.5) Personnel costs (87.0) (78.9) 10.3 Depreciation (14.8) (13.8) 7.2 Other operating (exp.)/inc. (50.3) (64.7) (22.3) EBIT
Slide 5: Inventories and working capital development
Inventories and working capital development Inventories in EUR mn WC including reservation fee (WC to total revenues) 35 406 392 372 357 30 341 318 289 25 273 275 275 247 20 15 10 5 0 Q1/2008 Q2/2008 Q3/2008 Q4/2008 Q1/2009 Q2/2009 Q3/2009 Q4/2009 Q1/2010 Q2/2010 Q3/2010 Build-up of inventories in p
Slide 6: Cash flow statement
Cash flow statement In EUR mn 9M 2010 9M 2009 Net profit 8.5 9.9 Depreciation 14.8 13.8 Change in provisions (2.8) 0.1 Change in working capital (26.9) (19.6) Other cash outflow from operating activities 5.6 2.5 Cash flow from operating activities (0.8) 6.7 Cash flow from investing activities (59.4)
Slide 7: Balance sheet
Balance sheet In EUR mn 9M 2010 2009 9M 2010 2009 Liquid funds 121.2 159.9 Current bank borrowings 34.7 22.4 Trade receivables 149.4 254.8 187.2 Trade payables 85.7 and future receivables Net inventories 274.9 247.4 Prepayments received 142.8 138.2 Other current assets 50.5 56.9 Other current liabil
Slide 8: Investment program in Germany and USA completed
Investment program in Germany and USA completed Line assembly Blade production • Reduction of production lead times and WIP • New layout of the production hall after value by 30% stream analysis • Improvement of efficiency Reduced lead times, higher efficiency • Quality assurance • Automation in cor
Slide 9: Reinforcement of efficiency
Reinforcement of efficiency The N-ergize 2012 programme: Efficiency packages • Programme to reduce purchasing costs and • Power curve + 3% by new control improve manufacturing efficiency in the 2.5 characteristics MW class • 17% more yield by upgrading 2.5 MW • Estimated 10-15% reduction in platform
Slide 10: Product development programme
Product development programme Further development of the 2.5 MW platform Strong wind locations + 10 meters rotor diameter (N80 -> N90) + 17% annual energy yield at 9.0 m/s Medium wind locations + 10 meters rotor diameter (N90 -> N100) + 13% annual energy yield at 8.0 m/s Low wind locations More than
Slide 11: Current status US production facility in Jonesboro
Current status US production facility in Jonesboro Production started according to plan on October 1, 2010 Planned output for 2010: ~ 20 WTG, 2011: ~ 140 WTG Total investment USD 40 million Current weakness of the US wind market not a major issue – plant in start-up phase, with low fixed costs Buy A
Slide 12: Order intake
Order intake Development of firm order intake 2009 – 9M 2010 in EUR mn ~400 258 234 205 199 201 96 71 Q1/2009 Q2/2009 Q3/2009 Q4/2009 Q1/2010 Q2/2010 Q3/2010 Q4/2010 Rebound in order intake at the end of 2010 expected, mainly driven by expiring cash grants in the U.S. Firm 9M order intake: Europe (7
Slide 13: Order backlog
Order backlog Development of order backlog 2007 – 9M 2010 in EUR mn 3,300 3,300 3,300 3,044 2,900 2,909 2,491 2,304 2,320 2,377 1,894 1,970 1,876 1,715 1,357 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2007 2008 2009 2010 Order book at EUR 2.4 bn, comprised of EUR 423 mn firm orders and EUR 1,954 m
Slide 14: Revised 2010 outlook
Revised 2010 outlook EUR 1,000 mn EUR ~ 400 mn Service Order backlog EUR 614 mn Q4 order intake Sales target Sales Sales 2010 9M 2010 Q4 2010e Rejecting low margin projects leads to revised top-line forecast EUR ~ 400 million order intake in Q4 only marginal sales effect in 2010 4 % EBIT margin due
Slide 15: Summary & outlook 2010 / 2011
Summary & outlook 2010 / 2011 Nordex expects revenues of around 1 billion Euros and an EBIT margin of 4% for the full year 2010 • Revised target mainly due to market development and price pressure • Rejecting low margin projects also lead to revised top-line forecast • EBIT margin target reflects im
Slide 16: Shareholder structure of Nordex SE
Shareholder structure of Nordex SE SKion/momentum capital 24.67% Freefloat 75.33% On the basis of 66.845 mn shares, as of November 2010 Conference Call 9M 2010 | Nordex SE | Hamburg | November 11, 2010 16
Slide 17: 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 18: Contact
Contact Ralf Peters Head of Corporate Communications Phone: +49 (0)40 30030 1522 Fax: +49 (0)40 30030 1333 eMail: [email protected] Nordex SE Bornbarch 2, 22848 Norderstedt, Deutschland www.nordex-online.com 18