Lenzing Sees Good Development In First Nine Months

In the first nine months of 2011, the Lenzing Group succeeded in significantly improving all relevant indicators in comparison to the previous year, and is thus performing in line with the expectations defined in the half-yearly report.

Consolidated sales in the first nine months of 2011 climbed 23.9% year-on-year, from EUR 1,285.5 mill. to EUR 1,592.2 mill. A total of 3.5 percentage points of this increase can be attributed to the higher fiber shipment volumes, whereas 13.6 percentage points are the result of the higher average fiber selling prices. Growth in other business areas as well as the full consolidation of the Paskov pulp plant over three quarters also contributed to the rise in consolidated sales.

EBITDA in the first three quarters of 2011 improved by 55.3% to EUR 362.9 mill. from the prior-year level of EUR 233.6 mill. This corresponds to an EBITDA margin of 22.8% (Q1-3 2010: 18.2%). The operating profit (EBIT) in the first nine months of 2011 was up 71.6% to EUR 289.7 milll. (Q1-3 2010: EUR 168.8 mill.), equivalent to an EBIT margin of 18.2% (Q1-3 2010: 13.1%). The profit for the period climbed to EUR 217.9 mill. from EUR 122.8 mill. in the previous year, an increase of 77.5%.

“Following the outstanding second quarter, the market for standard viscose fibers weakened as expected in the third quarter. Nevertheless, we were able to post third-quarter earnings which matched the very good first quarter of 2011“, says Lenzing CEO Peter Untersperger. “This was primarily due to the quantitatively higher share of the specialty fibers Lenzing Modal and TENCEL along with their stable price development. New record shipment volumes were achieved with Lenzing Modal“.

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