EQS-News: Lenzing AG: Lenzing adjusts earnings forecast due to one-off effects from restructuring, currency effects and further deterioration in market environment
EQS-News: Lenzing AG / Key word(s): Forecast
Lenzing AG: Lenzing adjusts earnings forecast due to one-off effects from
restructuring, currency effects and further deterioration in market
environment
19.12.2022 / 17:00 CET/CEST
The issuer is solely responsible for the content of this announcement.
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• Lenzing expects EBITDA of approximately EUR 250 mn for the 2022
financial year
• Savings program accelerated; restructuring expenses included in 2022
result
• Social plan for the Lenzing site already negotiated and resolved
Lenzing – The Lenzing Group, the world’s leading supplier of specialty
fibers for the textile and nonwovens industries, is adjusting its earnings
forecast for the 2022 financial year due to one-off effects related to the
accelerated savings program as well as currency effects and a further
deterioration of the market environment. Lenzing expects its earnings
before interest, tax, depreciation and amortization (EBITDA) to be around
EUR 250 mn.
The restructuring expenses result from parts of the savings program that
was initiated in the third quarter due to the deterioration in the market
environment and the development of earnings. The goal of the program is to
reduce the cost base by at least EUR 70 mn on an annualized basis. Due to
the accelerated progress, the restructuring expenses will already be
included in the 2022 results.
As part of this cost reduction program, a social plan for the Lenzing site
has been negotiated and resolved together with the works council.
Implementation of the social plan will begin in the first quarter of 2023.
Beyond this one-time effect, the operating result in 2022 will be
negatively impacted by the devaluation of the US dollar against the euro
in the fourth quarter.
Lenzing, like the entire manufacturing industry, was increasingly affected
by the extreme developments on the global energy and raw material markets
in 2022. In particular since the third quarter, the market environment has
once again deteriorated significantly and the deteriorating consumer
climate is placing an additional burden on Lenzing’s business development.
Strategy remains unchanged
The long-term trend towards sustainable products remains unaffected by
short-term economic distortions. Therefore, Lenzing sees itself confirmed
in its long-term corporate strategy and will continue to drive growth with
sustainably produced fibers and the implementation of its ambitious
climate and sustainability goals, including the transformation to a
circular economy model.
The results of the Lenzing Group for the 2022 financial year will be
published on March 09, 2023.
Photo download:
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Your contact for
Public Relations: Investor Relations:
Dominic Köfner Sébastien Knus
Vice President Corporate Communications & Vice President Capital Markets
Public Affairs Lenzing Aktiengesellschaft
Lenzing Aktiengesellschaft Werkstraße 2, 4860 Lenzing,
Werkstraße 2, 4860 Lenzing, Austria Austria
Phone +43 7672 701 2743 Phone +43 7672 701 3599
E-mail [2]media@lenzing.com E-mail [4]s.knus@lenzing.com
Web [3] www.lenzing.com Web [5] www.lenzing.com
About the Lenzing Group
The Lenzing Group stands for ecologically responsible production of
specialty fibers made from the renewable raw material wood. As an
innovation leader, Lenzing is a partner of global textile and nonwoven
manufacturers and drives many new technological developments.
The Lenzing Group’s high-quality fibers form the basis for a variety of
textile applications ranging from elegant clothing to versatile denims and
high-performance sports clothing. Due to their consistent high quality,
their biodegradability and compostability Lenzing fibers are also highly
suitable for hygiene products and agricultural applications.
The business model of the Lenzing Group goes far beyond that of a
traditional fiber producer. Together with its customers and partners,
Lenzing develops innovative products along the value chain, creating added
value for consumers. The Lenzing Group strives for the efficient
utilization and processing of all raw materials and offers solutions to
help redirect the textile sector towards a closed-loop economy. In order
to reduce the speed of global warming and to accomplish the targets of the
Paris Climate Agreement and the “Green Deal” of the EU Commission, Lenzing
has a clear vision: namely to make a zero-carbon future come true.
Key Facts & Figures Lenzing Group 2021
Revenue: EUR 2.19 bn
Nominal capacity: 1,145,000 tonnes
Number of employees (headcount): 7,958
TENCEL™, VEOCEL™, LENZING™, REFIBRA™, ECOVERO™, LENZING MODAL™, LENZING
VISCOSE™, MICROMODAL™ and PROMODAL™ are trademarks of Lenzing AG.
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19.12.2022 CET/CEST This Corporate News was distributed by EQS Group AG.
www.eqs.com
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Language: English
Company: Lenzing AG
4860 Lenzing
Austria
Phone: +43 7672-701-0
Fax: +43 7672-96301
E-mail: office@lenzing.com
Internet: www.lenzing.com
ISIN: AT0000644505
Indices: ATX
Listed: Vienna Stock Exchange (Official Market)
EQS News ID: 1516883
End of News EQS News Service
1516883 19.12.2022 CET/CEST
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