Nordex to Initiate Shareholder Returns in Landmark Payout Decision

Wind turbine maker Nordex plans its first shareholder payout after a record year, with shares tripling on strong margins and a new service-focused strategy.

Shares of wind turbine manufacturer Nordex SE have surged to multi-year highs, propelled by a pivotal corporate announcement. For the first time in its more than three-decade history as a public company, Nordex intends to distribute profits to its shareholders, marking a significant evolution in its financial strategy following a record year of margin expansion.

Financial Performance and Share Price Surge

The company's financial turnaround is reflected in its stock performance. Since hitting a 52-week low of €14.20 in April 2025, the share price has nearly tripled, recently trading at €40.84. It reached a new multi-year peak of €43.36 on March 4, representing a gain of over 150% across the preceding twelve months.

This rally is underpinned by robust financial results. Group revenue reached €7.6 billion. Notably, the company more than doubled its EBITDA margin from 4.1% to 8.4% in 2025, with the fourth quarter alone seeing a margin of 12.1%. Order intake in Q4 also increased by nearly ten percent to approximately €3.2 billion, achieved while maintaining stable pricing.

The Strategic Shift to Recurring Revenue

A core driver behind this improved profitability is Nordex's strategic focus on its high-margin service business. The company is systematically bundling new equipment sales with long-term maintenance agreements, creating a predictable stream of recurring income.

A recent contract for the Wippershainer Höhe wind park in Hessen exemplifies this approach. While Nordex will supply eight turbines to Qualitas Energy Deutschland, the accompanying 20-year premium service contract is a key component of the deal. Such agreements are central to the firm's margin targets.

Dividend and Share Buyback Program Unveiled

Citing sustained earnings power, Nordex management has outlined a formal capital return policy. Commencing in 2027, the company plans an annual minimum distribution of €50 million to shareholders. This commitment may be fulfilled either through dividend payments or share buybacks, opening the stock to a broader base of income-focused investors.

Looking ahead, the company has provided guidance for 2026, targeting revenue between €8.2 and €9.0 billion. The EBITDA margin is projected to improve further, landing between 8% and 11%. Nordex has set a medium-term ambition to achieve a margin of 10% to 12%, a goal deemed ambitious yet plausible given the previous year's performance.

Investors will gain further insight into the company's progress toward these objectives when Nordex releases its next quarterly report on April 27.