Ad-hoc | 27 February 2004 08:45

Nordex stabilizes business performance in 1st quarter

Ad-hoc-announcement processed and transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– Nordex stabilizes business performance in 1st quarter Quarterly revenue increased to EUR 66.7 mn / operating loss halved Hamburg, February 27, 2004. In the first quarter of this fiscal year the Nordex Group’s operating business stabilized further. At EUR 55.5 mn, order receipts were above budget and higher than new business in the two previous quarters (EUR 50 mn and EUR 30 mn, respectively). It is only to a limited extent possible to make a direct comparison with order receipts in the first quarter of 2002/2003 as Nordex has applied stricter criteria for recording new orders since January 1, 2003. The company’s business volume has also increased again. At EUR 66.7 mn, revenues in the period under review were higher than that of the past three quarters despite the more restrictive application of the percentage-of-completion method. Nordex generated approx. 68% of revenues in Germany. This is due, above all, to seasonal effects, the return to reliable planning in the wake of the amendment of the Renewable Energies Act and increasing customer confidence. Some 60% of the turbines installed by Nordex in Germany in 2003 went on grid in the period under review alone. In comparison to the first quarter of 2003/2003, the loss before interest and taxes (EBIT) has been almost halved to EUR 6.7 mn (previous year EUR 11.9 mn). The cost-of-materials ratio decreased to 84% (previous year 88.6%) and the balance of Other Operating Expenses and Income fell by 49% to EUR 5.6 mn. Thanks to staff cuts started in spring 2003, personnel expenditure fell by 17% to EUR 8.9 mn. As at December 31, 2003, the Group employed 142 fewer staff than in the previous year (897 employees). No more one-off items were incurred. In the previous year Nordex had streamlined its balance sheet in the form of risk provisions and value adjustments. The improvement in the operating result is the one of the first results of the restructuring commenced in summer 2003. The key points of this are the optimization of business processes and radical cost cutting on the basis of both technical and commercial measures. The Group’s liquidity trend was positive for the second quarter in succession. Free cash flow amounted to EUR 7.2 mn (previous year EUR -28.1 mn) and working capital decreased by EUR 9.4 mn to EUR 70.3 mn compared to the previous quarter. In this fiscal year Nordex expects a marked improvement in earnings (EBIT) to approx. minus EUR 30 mn compared to the previous year. The return to profit territory is scheduled for the coming fiscal 2004/05. Note for analysts and the press: In the international telephone conference scheduled for 3 p.m. today Thomas Richterich (Spokesman of the Nordex AG Management Board) will explain the 2002/2003 audited financial statement. The annual statement is largely in line with the provisional figures published in December 2003. In addition to this, the business performance in the first quarter of 2003/04 will be presented and commented on. Please direct any queries to: Nordex AG Ralf Peters Telephone : 040 / 500 98 – 100, Telefax: – 333 end of ad-hoc-announcement (c)DGAP 27.02.2004 ——————————————————————————– WKN: 587357; ISIN: DE0005873574; Index: NEMAX 50 Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Bremen, Düsseldorf, Hamburg, Hannover, München und Stuttgart 270845 Feb 04