Nordex : Q3 statement / Q3 financial report 2021

Q3 2021

INTERIM REPORT FROM THE PERIOD FROM 1 JANUARY TO 30 SEPTEMBER 2021

KEY FIGURES AT A GLANCE

Nordex Group key figures
				01.01. - 30.09.2021		01.01. - 30.09.2020	Change
Earnings
Sales		EUR million	3,956.2	3,167.4		24.9 %
Gross revenue		EUR million	3,584.9	3,107.6		15.4 %
EBITDA		EUR million	100.7	70.8		42.2%
EBIT		EUR million	-9.6		-43.9	n/a
Free cash flow		EUR million	23.2		-378.2	n/a
Capital expenditure		EUR million	112.2	108.6		3.3 %
Consolidated net result		EUR million	-103.7		-107.5	n/a
Earnings per share 1		EUR	-0.79		-1.01	n/a
EBITDA margin		%	2.5	2.2		+ 0.3 PP
Working capital ratio		%	-7.7		-5.7	- 2.0 PP
Statement of financial position
as of 30.09.2021 and 31.12.2020
Total assets		EUR million	4,263.8	4,410.1		-3.3 %
Equity		EUR million	1,217.2	773.5		57.4 %
Equity ratio	%		28.5	17.5		11.0 PP
Employees
Employees as of 30.09.				8,795	8,469		3.8 %
Staff costs		EUR million	348.2	313.7		11.0 %
Staff cost ratio	%		8.8	9.9		- 1.1 PP
Company-specific performance indicators
Order intake, Projects segment		EUR million	3,218.8	2,641.7		21.8 %
Installed capacity		MW	4,858.0		3,319.2 2	46.4 %

1. Earnings per share = based on a weighted average of 131.885 million shares (previous year: 106.681 million shares)
2. Previous year's figure adjusted

CONTENT

To our shareholders

Group Interim Management Report

01	Content	04	Group  Interim Management­	Report
02	Letter to the Shareholders

Interim Consolidated	Notes to the Consolidated ­
Financial Statements	Financial Statements

1. Consolidated statement of financial position

1. Consolidated income statement
2. Consolidated statement of comprehensive income
3. Consolidated cash flow statement

1. Consolidated statement of changes in equity

22 Notes to the consolidated financial statements for the interim period from 1 January to

30 September 2021

Other information

1. Responsibility statement
2. Financial calendar, Publishing information and contact

02 To our Shareholders  Letter to the Shareholders

LETTER TO THE SHAREHOLDERS

Dear Shareholders, Business Partners

and Friends of the Company,

Like almost every industry, the global wind sector was increasingly hit by instability in the logistics markets and further knock-on effects of the coronavirus pandemic from the summer of 2021 onwards. Huge increases in commodity prices and logistics costs, particularly for shipping, put a significant strain on businesses especially in the third quarter. The need to manage and absorb the operational and organizational restrictions on our day-to-day business caused by coronavirus,­ as well as frequent delivery delays, are placing our entire company under particular pressure.

	Despite this, the Nordex Group was able to construct a total
	of 1,216 wind turbines in 22 countries with a total output of
	4.9 GW in the first nine months of 2021. This represents an
	increase of 27.3 percent (in MW) compared to the prior-year
	period. We were able to increase consolidated sales by almost
	a quarter year-on-year to just under EUR 4 billion in the first
José Luis Blanco	nine months. This is a success. Sales performed better than
Chief Executive Officer	expected, while our initiatives to improve our operating pro-
	cesses and expand our capacity further were also successful.
	Yet this was not enough to fully offset rising materials and
	logistics costs, particularly the increase in shipping costs
	during the third quarter. Earnings before interest, taxes, depre-
	ciation and amortization (EBITDA) reached EUR 100.7 million
	during the period under review, up from EUR 70.8 million in
	the same period of 2020. As a result, the operating margin
	only improved slightly from 2.2 to 2.5 percent.

Nordex SE

Interim Report Q3 2021

To our Shareholders  Letter to the Shareholders	03

We expect the specific pressures detailed above to continue having an adverse impact on results in the fourth quarter of 2021 as well as in 2022. Prices of raw materials and logistics, shipping costs in particular, have continued to increase to unprecedented levels. We have adjusted our guidance for the 2021 financial year to take into account the developments in the third quarter and the outlook for the fourth quarter. Driven by high demand and strong performance in project execution, the Nordex Group now anticipates consolidated sales of EUR 5.0 to 5.2 billion for 2021 and an EBITDA margin of around 1.0 percent.

Although price pressures are currently placing us under significant strain, we expect to benefit from the fundamentals shaping the industry and return to more positive business performance in the medium term. As a result, the Nordex Group continues to be optimistic about future business performance, which will be driven by the global momentum for renewable energy, the very low cost of energy of onshore wind and strong demand for the highly competitive Delta4000-series.

The Nordex Group entered the 6 MW+ class during the third quarter of 2021. This represents another milestone on our strategic path to profitable growth. We want to be one of the top three companies in the global onshore sector, and we remain focused on achieving this goal. We strengthened the Group's balance sheet and significantly improved the Compa- ny's flexibility by successfully completing a capital increase in July, making Nordex more crisis-resistant. The confidence our shareholders placed in us by participating in this corporate action is a major source of motivation for the entire Nordex team while at the same time reminding us of our responsibility to lead our company to a successful future. We are doing everything we can to make this a reality, day in and day out. We hope you will continue to place your trust in us.

Kind regards,

José Luis Blanco

Chief Executive Officer

Hamburg, November 2021

Nordex SE

Interim Report Q3 2021