Nordex (NDX1) Q3 2024 earnings summary

Executive summary

• Sales increased 14% year-over-year to €5.1 billion for the first nine months of 2024, with order intake at 5.1 GW and stable pricing at €0.9 million per MW.

• EBITDA margin improved to 3.7% for the nine months (from -1.5% YoY), with Q3 margin at 4.3%; net loss narrowed to €8.7 million from €333.7 million year-over-year.

• Free cash flow broke even year-to-date, with €159–160 million positive in Q3, and liquidity at €962 million.

• Installations normalized at around 5 GW, slightly lower year-over-year after prior catch-up effects.

• Strong order book at €11.5 billion, with turbine orders at €6.9 billion and service orders up 29% to €4.6 billion.

Financial highlights

• Gross margin improved to 20.2% for the nine months and 21.6% in Q3, up from 13.6% and 18.3% respectively year-over-year.

• EBIT turned positive at €55.2 million versus a loss of €205 million in the prior year; earnings per share improved to -€0.04 from -€1.47.

• Working capital ratio improved to -7.3% from -10.2% year-over-year; equity ratio at 18.5%.

• CapEx for 9M/2024 at €111 million, with full-year expected at €175 million, focused on production and U.S. market reactivation.

• Net cash at €583 million at Q3/2024 end; cash and cash equivalents at €882.3 million.

Outlook and guidance

• Full-year EBITDA margin expected at the top end of guidance (3.0–4.0%), reaffirming midterm 8% EBITDA margin target.

• 2024 sales guidance confirmed at €7.0–7.7 billion; order intake for the full year expected to be at least similar or higher than last year.

• Working capital ratio expected below -9% for 2024.

• Service business expected to grow low double-digit and improve profitability year-over-year.