Nordex With Weaker Order Intake in Q3 – USA Becomes Most Important Market
Hamburg, Germany - In the third quarter of 2020, wind turbine manufacturer Nordex recorded weaker order intake than in the same quarter of the previous year. There have been delays due to the COVID 19 pandemic. The stock may nevertheless gain ground. The United States has become the most important market.
Incoming orders down 28 percent in Q3
In the third quarter of 2020, the Nordex Group received orders for 271 wind turbines with a total output of 1,228.6 megawatts (MW). Although this represents a year-on-year decline of around 28 percent (Q3 2019: 1,700.3 MW), the third quarter has already improved substantially compared to the previous quarter (Q2 2020: 888 MW). In terms of output (in MW), 86 percent of the Q3 projects use Delta4000 series wind turbines in the 4 and 5 MW output range. Overall, Nordex's order receipts in the first nine months of 2020 (excluding the service segment) amounted to 3,758.5 MW (9M 2019: 4,738.7 MW), with the Delta4000 series accounting for 81 percent of this figure.
"The third quarter confirms that our customers in Europe, North America and Latin America are equally convinced by our highly efficient Delta4000 turbines. Despite individual delays caused by the coronavirus pandemic, demand remains strong – including the outlook for the rest of the year," says Patxi Landa, Chief Sales Officer (CSO) of the Nordex Group.
With a 50 percent share, the United States will be the most important market
The most important market in the third quarter is the USA, which accounts for a 50 percent share with two major projects in the USA. The projects involve an order for 312 MW for a wind farm in Texas, for which 65 N149/4.0-4.5 turbines in 4.8 MW operating mode were ordered. The second major project comprises 62 N149/4.0-4.5 turbines, again in 4.8 MW operating mode, for a 297.6 MW wind farm at a location in the Midwest of the USA. Both wind farms are scheduled for construction in 2021. In the third quarter, 31 percent of orders in Europe came from Germany, the Netherlands, the UK and France. This includes a 62 MW wind farm at a site in the former Scottish coal mining region of South Lanarkshire. Due to the good wind conditions, the turbine variant to be used from the end of 2021 for Delta4000 generation strong wind sites is to be erected here. With projects in Colombia and Brazil, Latin America accounted for 19 percent of new orders.
Share on a dynamic growth course
The shares of the wind turbine manufacturer, which is listed in the stock index RENIXX World, swung onto a dynamic growth course about three weeks ago. Nordex stock reached its highest level for the year to date on yesterday's trading day with an interim price of EUR 13.84 (October 14, 2020, Stuttgart Stock Exchange). The stock has recovered well from its plunge to an annual low of EUR 5.55 in the wake of the corona crash in March. Today, in early trading in a generally weak stock market environment, the share price has so far fallen by 1.11 percent to 13.42 Euro (15.10.2020, 08:52 a.m., Stuttgart Stock Exchange).
Source: IWR Online, Oct 10 2020