Nordex Surges After Best First Quarter in Company HistoryStefan Nicola
Nordex SE rose the most in nine months after the German wind-turbine maker raised sales and profit-margin forecasts for the year following its most successful first quarter yet.
Nordex surged as much as 11 percent, the steepest intraday gain since Aug. 15, after saying sales may reach 1.6 billion euros ($2.2 billion) in 2014, from as much as 1.5 billion euros earlier, because of a better-than-expected first quarter. The margin for earnings before interest and tax may climb to 5 percent, from as much as 4.5 percent previously, after turbine sales surged, the Hamburg-based company said today in a statement.
“Nordex first-quarter sales numbers and its profit margin were very strong,” Christopher Rodler, an analyst at MM Warburg Investment Research who has a buy recommendation on the company, said by phone from Hamburg. “The order intake of 562 million euros, which rose more than 70 percent over the previous year, gives very good visibility for the next quarters.”
Nordex, which almost tripled German installations in 2013, said first-quarter sales jumped 64 percent to 424.5 million euros, with Europe, the Middle East and Africa accounting for the bulk of the business. Sales in Asia and the Americas developed “exceptionally well,” surging 756 percent to 124.1 million euros, the Hamburg-based company said.
“This was the most successful first quarter in every respect in the company’s history of almost 30 years,” Nordex Chief Executive Officer Jurgen Zeschky said in a note to shareholders.
Rodler said he had expected the company to raise its full-year forecast and sees a further increase of the medium-term outlook coming soon, as indicated by Nordex today.