Textile company Spinnova anticipates a downturn in revenues for the year 2024, with operating profits expected to remain in the negative territory.
In the preceding year of 2023, the company experienced a significant decline in profits, dropping by 59 per cent Y-o-Y to €20.9 million, while total investments plummeted by 47 per cent Y-o-Y to €8.96 million.
The latter half of 2023 was particularly challenging, with a 89 per cent decrease in revenue to a mere €1.82 million, coupled with an operating loss of €9.93 million, marking a 34.5 per cent decrease. Total investments by the company also nosedived by 67 per cent to €2.9 million.
By the end of 2023, Spinnova boasted a workforce of 76 employees, adding one member throughout the year. Notably, the company successfully completed the construction of the inaugural factory dedicated to producing wood-based Spinnova fiber, a venture undertaken in collaboration with Woodspin.
During the year, Spinnova underwent significant leadership changes, with Kim Poulsen stepping down as CEO and Tuomas Oijala assuming the role.
Expressing his perspective on the challenges and opportunities ahead, Oijala emphasised the company's ongoing efforts to escalate production volumes of Spinnova fiber and introduce it into various market applications through collaborative efforts with supply chain partners and brands. He highlighted the significance of prevailing macroeconomic trends, global fiber supply chain limitations, and the imperative for the textile industry to meet sustainability targets as driving forces propelling Spinnova forward.
