Wind turbines maker Nordex AG (NRDXF.PK) Monday reported a wider loss for the full year, burdened by 75 million euros from structural adjustments in China and the U.S. Sales increased over 17 percent with strong performance in the EMEA region.
Consolidated loss was 94.4 million euros ($97.6 million) compared to a loss of 49.5 million euros last year.
Nordex decided to reorganise activities in the U.S. and China due to the pressure on earnings caused by insufficient capacity utilization in America and China, along with the decline in new business in these two regions. The firm incurred exceptional expenses of 75.0 million euros in this regard.
Earnings before interest, taxes, or EBIT, and exceptionals were 14 million euros, compared to a loss of 7.6 million euros last year.
EBIT after exceptionals amounted to a loss of 61.1 million euros, in comparison with a loss of 27.0 million euros last year.
Sales increased over 17 percent to 1.075 billion from last year’s 916.8 million euros, amid strong business in the EMEA region.
Sales climbed 28 percent to 868.9 million euros in the EMEA region, led by a strong order book at the beginning of the year and growing demand in the course of the year together with an increase of over 20 percent in the service business.
Order intake increased to 1.268 billion euros from 1.107 billion euros in the previous year with Europe and South Africa accounting for 94 percent of new orders.
The firm expects sales in a range of 1.2 billion euros to 1.3 billion euros in 2013 and around 80 percent of this sales target is already covered by firm order backlog.
EBIT margin is estimated to widen to 2 to 3 percent, based on the reorganisation measures initiated in the U.S. and China as well as the targeted improvements in project execution and the cuts in product costs already started.
The stock advanced 1.26 percent on Friday to settle at 3.86 euros.
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by RTT Staff Writer
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