Record first-half results for Lenzing
27/08/2010
The Austrian company has reported net profit for the six-month period of €80.4 million, up from €5.9 million during the same period last year.
Consolidated sales increased by 43.6% to €847.2 million mainly thanks to higher sales of fibres such as Tencel and Modal, the price dynamics of global markets and the first-time contribution of Czech pulp producer Biocel Paskov, which it acquired in May.
Profit for the first half was €108.6 million, compared to €15.4 million for the same period in 2009.
“The half-year result shows that the company's anti-cyclical investment strategy of the years 2008 and 2009 was absolutely right,” said chief executive, Peter Untersperger, on announcing the figures. “The start-up of new fibre capacity in Indonesia in the first half of 2010, investment in debottlenecking in China and the expansion of Heiligenkreuz in Austria put us in a position to make optimum use of the expected fibre market dynamics and to give our customers what they need.”
The company said that fibre demand was likely to weaken during the second half of 2010 and that raw material prices would increase. For these reasons, it said it expected the second half of 2010 to be satisfactory, but with results below those of the first half.
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