EQS-News: Lenzing Reports Strongly Improved Half-Year Results and Accelerates Strategic Transformation Agenda

EQS-News: Lenzing AG / Key word(s): Half Year Results
Lenzing Reports Strongly Improved Half-Year Results and Accelerates
Strategic Transformation Agenda

05.08.2026 / 07:35 CET/CEST
The issuer is solely responsible for the content of this announcement.

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Lenzing Reports Strongly Improved Half-Year Results and Accelerates
Strategic Transformation Agenda

 

• Focus on profitability rather than volume growth: Revenue of EUR 1.27
bn (previous year: EUR 1.34 bn)
• Net result after tax more than doubled to EUR 35.6 mn in the first
half of 2026 (previous year: EUR 15.2 mn)
• Free cash flow improved to EUR 45.8 mn (previous year: EUR 43.1 mn)
• Improved profitability driven by a stronger focus on higher-margin
products, sales measures and realized cost reductions

 

Lenzing, August 5, 2026 – Despite a persistently challenging market
environment in the first half of 2026, characterized by volatile energy
and raw material prices, subdued global consumer demand and intensified
competition from Asia, the Lenzing Group achieved a significantly positive
result. Net result after tax more than doubled to EUR 35.6 mn, compared
with EUR 15.2 mn in the previous year. Free cash flow improved to EUR 45.8
mn. EBITDA amounted to EUR 239.2 mn, while revenue totaled EUR 1.27 bn.

 

“The results for the first half of 2026 demonstrate that our sales
initiatives and disciplined cost management are delivering results. At the
same time, they confirm both the necessity and the potential of our
strategic realignment. With ‘Grow Nonwovens, Reset Textiles’, we are
laying the foundation for a structurally more profitable and resilient
Lenzing Group,” says Mathias Breuer, CFO of the Lenzing Group.

Development of Results in the First Half of 2026

The decline in revenue compared with the first half of 2025 was primarily
attributable to the deliberate reduction of low-margin fiber volumes and
the resulting lower fiber production, as well as lower revenues from the
external pulp business. Compared with the first quarter of 2026, revenue
increased from EUR 615.7 mn to EUR 651.7 mn in the second quarter of 2026,
supported by targeted sales initiatives, particularly consistent pricing
measures.

 

EBITDA amounted to EUR 239.2 mn in the first half of 2026, compared with
EUR 268.6 mn in the same period of the previous year. Compared with the
first quarter of 2026, EBITDA increased from EUR 116.3 mn to EUR 123 mn in
the second quarter of 2026, underscoring the Group’s focus on sustainably
improving profitability. The EBITDA margin stood at 18.9 percent (previous
year: 20.0 percent). Earnings performance was supported by the consistent
implementation of the performance program and positive non-recurring
effects.

 

EBIT amounted to EUR 83.7 mn (previous year: EUR 109 mn), corresponding to
an EBIT margin of 6.6 percent (previous year: 8.1 percent). Earnings
before tax (EBT) totaled EUR 42.6 mn, compared with EUR 22.1 mn in the
same period of the previous year. Net result after tax improved
significantly to EUR 35.6 mn (previous year: EUR 15.2 mn). This
improvement was primarily driven by a stronger financial result due to
positive effects from foreign currency valuation.

 

Cash flow from operating activities increased to EUR 160.4 mn in the first
half of 2026, compared with EUR 150.1 mn in the same period of the
previous year. Key drivers included targeted working capital management
and inventory reductions. Free cash flow improved to EUR 45.8 mn, compared
with EUR 43.1 mn in the same period of the previous year. Unlevered free
cash flow increased to EUR 98.5 mn (previous year: EUR 89.4 mn).

 

As of June 30, 2026, liquid assets, including liquid bills of exchange,
amounted to EUR 618 mn. (December 31,2025: EUR 690.9 mn). Capital
expenditures (CAPEX) on intangible assets, property, plant and equipment,
and biological assets totaled EUR 62.3 mn (previous year: EUR 61.3 mn).

 

Total assets amounted to EUR 4.61 bn, equal to December 31, 2025. Adjusted
equity increased by 0.5 percent to EUR 1.37 bn, resulting in an adjusted
equity ratio of 29.7 percent (compared to 29.6 percent as at December 31,
2025). Net financial debt remained largely unchanged, rising slightly by 1
percent to EUR 1.36 bn.

Strategic Transformation Accelerates

The new “Grow Nonwovens, Reset Textiles” strategy builds on the
operational progress achieved in recent months and consistently aligns the
company toward profitable growth, greater resilience and focused market
segments. The strategy aims to further expand the nonwovens business
organically, sharpen the focus of the textiles business on differentiated
premium market segments and strategic customer partnerships, and further
strengthen the pulp and biorefinery business. With the consolidation of
fiber production sites approved by the Management Board on July 27, 2026,
Lenzing is accelerating the Group’s strategic transformation and
implementing decisive measures to position the company for long-term
success in a fundamentally changed market environment. In doing so,
Lenzing is laying the foundation for profitable growth and an even more
resilient and focused Lenzing Group.

 

Having already realized savings of more than EUR 200 mn in the 2025
financial year, Lenzing is implementing additional efficiency measures in
2026. The focused Performance Program targets savings of EUR 120 mn
compared with the 2025 cost base, which are intended to have their full
earnings impact by the end of 2027.

 

At the same time, Lenzing continues to focus on high-margin specialty
fibers and premium market segments marketed under the TENCEL™, LENZING™
ECOVERO™ and VEOCEL™ brands. Innovation, proven sustainability,
transparency and strong brands remain key differentiating factors.

 

Effective June 1, 2026, the Supervisory Board appointed Georg Kasperkovitz
as Chief Executive Officer (CEO) of Lenzing AG. The Management Board
continues to consist of Georg Kasperkovitz (CEO), Mathias Breuer (CFO) and
Christian Skilich (CPO/CTO), who will jointly drive forward the strategic
realignment of the Lenzing Group.

Outlook

The International Monetary Fund (IMF) expects global economic growth of 3
percent in 2026. This forecast remains below the historical pre-pandemic
average. Risks continue to arise in particular from geopolitical tensions
in the Middle East, volatile energy and raw material markets, and subdued
consumer demand in key sales markets.

 

The Lenzing Group plans to consistently pursue the implementation of its
new “Grow Nonwovens, Reset Textiles” strategy in order to unlock further
value creation potential. In the nonwovens business, Lenzing intends to
leverage the ongoing shift from fossil-based materials to cellulosic fiber
solutions and aims to significantly expand its nonwovens business in the
medium term. To achieve this the plan is to convert production capacities
from textile fibers to nonwovens fibers, to expand the existing product
portfolio, particularly in the attractive hygiene segment, and to develop
and bring to market next-generation innovative fibers for nonwovens
applications. In the textiles business, Lenzing is focusing on
differentiated premium segments, innovative specialty solutions and
strategic customer partnerships. At the same time, the company is
gradually withdrawing from low-margin standard fibers for textile
applications. A strong innovation pipeline based on proprietary fiber
technologies and next-generation platforms, including TreeToTextile,
LENZING™ Nonwoven Technology and advanced filament solutions, is expected
to accelerate growth in both business areas.

 

The company’s strategic objective is to return to revenue growth in the
medium term, while increasing EBITDA by EUR 150 mn, achieving an EBITDA
margin of 20 to 25 percent, and reducing leverage to below 2.5x.

 

Selected indicators of the Lenzing Group
EUR mn 01-06/2026 01-06/2025
Revenue 1,267.5 1,341.2
EBITDA (earnings before interest, tax, depreciation 239.2 268.6
and amortization)
EBITDA margin 18.6 % 20.0 %
Net profit/loss after tax 35.6 15.2
Earnings per share in EUR (0.09) (0.90)
Cash flow from operating activities 160.4 150.1
Free cash flow 45.8 43.1
CAPEX 62.3 61.3

 

  30/06/2026 31/12/2025
Net financial debt 1,363.3 1,350.1
Adjusted equity ratio 29.7 % 29.6 %
Employees (full-time equivalents) 7.556 7,738

 

 

 

Photo download:

[1] https://mediadb.lenzing.com/pinaccess/showpin.do?pinCode=V0L7A9V2O5c5

 

 

Your contact for  
Media Relations: Investor Relations:
   
Corporate Communications Alexander Schwaiger
  VP Corp. Treasury & Investor Relations
Lenzing Aktiengesellschaft Lenzing Aktiengesellschaft
Werkstraße 2, 4860 Lenzing, Austria Werkstraße 2, 4860 Lenzing, Austria
   
Phone  +43 7672 701 2743 Phone  +43 7672 701 8947
E-mail  [2]media@lenzing.com E-mail   [4]a.schwaiger@lenzing.com
Web     [3] www.lenzing.com Web       [5] www.lenzing.com
   
 
 
   
 
 

About the Lenzing Group
 
The Lenzing Group stands for the responsible production of specialty and
premium fibers based on regenerated cellulose. 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 are the raw material for a wide range of textile
applications – ranging from functional, comfortable, and fashionable
clothing through to durable and sustainable home textiles. TÜV-certified
biodegradable and compostable Lenzing fibers are also ideal for demanding
use in everyday hygiene applications.
 
The Lenzing Group’s business model extends far beyond that of a
traditional fiber producer. Together with its customers and partners,
Lenzing develops innovative products along the value chain, adding value
for consumers. The Lenzing Group strives for efficient utilization and
processing of all raw materials and offers solutions for the transition of
the textile industry from the current linear economic system to a circular
economy. In order to align its commitment to limiting man-made climate
change with the goals of the Paris Agreement, Lenzing has a clear,
science-based climate action plan that provides for a significant
reduction in greenhouse gas emissions (Scopes 1, 2, and 3) by 2030 and a
net-zero target by 2050.
 
Key Facts & Figures Lenzing Group 2025
Revenue: EUR 2.60 bn
Nominal capacity (fibers): 1,110,000 tonnes
Employees (full-time equivalents): 7,738
 
TENCEL™, LENZING™ ECOVERO™, VEOCEL™, LENZING™, and REFIBRA™ are trademarks
of Lenzing AG.
 
Disclaimer: The above financial indicators are derived primarily from the
condensed consolidated interim financial statements and the consolidated
financial statements of the previous year of the Lenzing Group. Additional
details are provided in “Notes on the Financial Performance Indicators of
the Lenzing Group”, available at the following link
https://www.lenzing.com/investors/reporting-and-capital-market-update/, as
well as in the condensed consolidated interim financial statements and in
the Lenzing Group’s prior-year consolidated financial statements. Rounding
differences can occur in the presentation of rounded amounts and
percentage rates.
 

 

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05.08.2026 CET/CEST This Corporate News was distributed by [6]EQS Group

View original content: [7]EQS News

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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)
LEI Code: 529900BKFJBI0QRDJH63
EQS News ID: 2377396

 
End of News EQS News Service

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References

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2. media@lenzing.com
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4. a.schwaiger@lenzing.com
5. https://nwr.eqs-cockpit.com/fncls2.ssx?fn=redirect&url=8937a13fc33a0a14e89778154b8631b5&application_id=2377396&site_id=apa_ots_austria~~~18b544d0-9c71-4160-bd95-cc8b9aff9fbf&application_name=news
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