The Lenzing Group, a leading supplier of cellulosic fibers, reported a 5 per cent rise in revenue to €2 billion for the first three quarters of 2024, despite sluggish market recovery and low fiber prices. Fiber sales volumes increased, though high raw material and logistics costs continued to strain the industry. Revenue from fiber products alone rose by 10.9 per cent.
Supported by a focused performance program, Lenzing achieved a 20.3 per cent rise in EBITDA to €263.7 million, with the EBITDA margin improving to 13.5 per cent. Operating earnings (EBIT) reached €38.3 million, rebounding from a loss of €10.5 million last year, while earnings per share improved to minus €3.50.
The group also strengthened its liquidity through a successful $650 million green bond issued by Brazilian joint venture LD Celulose, and aims for €100 million in annual cost savings through its performance program. Rohit Aggarwal, newly appointed CEO, emphasized the importance of cost control and expanded global sales efforts.
Despite ongoing global economic risks, Lenzing reaffirmed its EBITDA growth guidance for 2024, citing increasing demand for sustainable fibers across textiles, hygiene, and medical sectors. The group is positioned for long-term growth in these markets through ongoing efficiency measures and specialty fiber expansion.
