Recovery in H2/2020 cannot compensate for losses

摘要

Due to the corona crisis, the producer of cellulosic fibers, Lenzing AG, Lenz-ing/Austria, responded to the extremely difficult market environment by implementing a broad package of measures and remains on track in terms of its strategy. In 2020 sales decreased by 22.4% to € 1.63 billion. The recovery of demand in the 2~(nd) half of 2020 (H2/2020), in particular for wood-based specialty fibers such as Tencel Modal and Lenzing Ecovero, had a positive impact on the development of sales and earnings, but could not offset the losses. EBITDA (Earnings before interest, tax, depreciation and amortization) declined from € 326.9 million in 2019 to € 196.6 million. The EBITDA margin declined from 15.5% to 12%. The measures focused on protecting Lenzing's employees and partners and on safeguarding its operations. Lenzing flexibly adjusted production volumes. In addition, Lenzing also intensified measures for structural earnings improvement to mitigate the effect of the pressure on fiber prices and demand, and reduced its operating costs.