Nordex - preparing to buy back

All,

Sales are slightly weaker and gross margin slightly stronger than we expected from the order/volume ratio previously communicated. But in the scheme of things none of that really matters.

What matters is that Nordex have kept their working capital under control. Despite limited comparability of figures vs prior years (IFRS15), this is a marked departure from previous patterns where Nordex have been prone (like many of their peers) to run into a wall of working capital build-up troubles. Not this time however. Nordex have found success with their D4000 turbine at just the right time and have received generous advance payments of E302m - in particular from the US. For orientation: at this time last year, the company believed it was not going to receive nearly as much advance payments in 2019 and would now hold positive working capital instead, as it did then.

Thus the short has not come off and is unlikely to do so going forward.

As a result we’ll be looking to close out our short position at an opportune moment.

Wolfgang