New CEO and better prospects for Lenzing
10/03/2022
The Austrian group has just published its financial results for 2021. A “predominately positive market environment” for plant-based fibres helped it record significantly better revenue and earnings compared to 2020.
Revenues grew by 34.4% in 2021 to €2.19 billion, due in great part, the company said, to the high proportion of specialty fibres in its portfolio. Tencel, Lenzing Ecovero and Veocel branded fibres make up 72.3% of its fibre revenues.
Net profit is back in the black, at €127.7 million in 2021, compared to losses of €10.6 million incurred in 2020.
“Lenzing can be pleased with a strong business year,” said Lenzing Group CEO Cord Prinzhorn. “With the start of production at our state-of-the-art lyocell plant in Thailand a few days ago, we are further strengthening our leading position as a supplier of eco-friendly specialty fibres. The completion of our pulp mill in Brazil is imminent.”
In 2024, the company expects to draw more than 75% of its fibre revenues from its manmade cellulosic specialty fibre business. It has just opened a new, state-of-the-art lyocell plant in Thailand with a nominal capacity of 100,000 tonnes per year.
A new pulp mill, currently in construction in Brazil, will further strengthen the company’s access to dissolving wood pulp. It also noted a partnership with Swedish pulp producer Södra as a “further milestone in Lenzing’s efforts to realise its ambitious climate and sustainability goals.”
Image: Lenzing
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