Page 24 - August-September-2018

Derick Melander, clothing sculptures
24

The only thing more amazing than our

technology is what weavers do with it

Lenzing group solid Discover how at itemagroup.com

performance in demanding

market environment

Lenzing Group reports solid results in a demanding corporate strategy sCore TEN and the focus on 3 technologies, 1 brand
market environment in the first half of 2018. The growth with specialty fibers we show big steps in the
Lenzing Group’s strategic orientation with a focus on right direction. The recently announced joint venture Rapier
specialty fibers had a positive impact in this with Duratex is another important step in executing
environment and is increasingly bearing profit. The this corporate strategy. We will continue to implement
corporate strategy sCore TEN is being implemented our strategy with great discipline and are convinced
with great discipline in order to expand the that this will steadily improve the long-term
company’s offering of specialty fibers and even more profitability of Lenzing.”
extensively support customers and Airjet
business partners. Specialty cellulosic fibers are a significant
contribution to make the textile industry more
Revenue declined by 6.4 pc as compared with the sustainable. Lenzing has formed a joint venture with
first half of the previous year to EUR 1,075.4 mn. This Duratex, a recognized leader in sustainable forestry
reduction is primarily attributable to less favorable management, to build the largest single line DWP
currency exchange rates. EBITDA (earnings before (dissolving wood pulp) plant in Brazil. An
interest, tax, depreciation and amortization) declined investigation will be conducted to construct a Projectile
by 28.1 pc to EUR 194.8 mn, especially due to price 450,000 t DWP plant. For future operations, both the
increment for key raw materials and higher energy companies have secured a plantation of 43000
prices. The EBITDA margin fell from 23.6 pc in the hectares that will be providing the FSC certified
first half of 2017 to 18.1 percent in the first half of biomass. The plantation is fully in line with the wood
2018. EBIT (earnings before interest and tax) and pulp sourcing policy of Lenzing.
decreased by 37 pc to EUR 128.7 mn, leading to a
lower EBIT margin of 12pc (H1 2017: 17.8 percent). Lenzing and Duratex will be holding 51% and 49%
The net profit for the period dropped by 39.3 pc from shares of the joint venture respectively. The joint
EUR 150.3 mn in the preceding year to EUR 91.3 mn. venture investment is expected to be above US$ 1
Earnings per share equaled EUR 3.44. billion. This joint venture will be supplying the entire Lahore www.itemagroup.com
contact@itemagroup.com
volume of dissolving wood pulp to the
Mr Stefan Doboczky, Chief Executive Officer of the Lenzing Group. Est. October 2017
Lenzing Group commented, “So far, the financial year
2018 proved to be as challenging as expected, and Also, More than EUR 100 mn will be invested in Our brand-new high-tech training center is now open
market headwinds were clearly noticeable. In this sustainable manufacturing technologies and
market environment, we are satisfied with the solid production facilities by 2022 to focus on producing in Lahore. Book your visit by contacting Noon International, Exclusive Sales and
results we report. We are proud that with our and manufacturing of more sustainable products. Itema’s exclusive sales agent in Pakistan Service Agent in Pakistan

Phone +92 42 353 23 706-9
sales@noon.com.pk
www.noon.com.pk
August/September 2018