Lenzing Improves Adjusted Margin As Portfolio Restructuring Advances
Lenzing Group maintained adjusted EBITDA at EUR 353 million in the first nine months of 2026, despite a 2.3% decline in revenue to EUR 1.93 billion, as its focus on higher-value products and cost efficiencies supported profitability.
The adjusted EBITDA margin improved to 18.3% from 17.9% a year earlier. Revenue declined primarily due to lower sales volumes following targeted reductions in standard fibre production, alongside weaker pulp prices.
Reported EBITDA fell 7% to EUR 316.4 million, reflecting restructuring charges of EUR 36.6 million. The group recorded a net loss of EUR 130.3 million, compared with EUR 105 million a year earlier, affected by non-cash impairment charges on assets at its Heiligenkreuz and Grimsby sites.
“The stable earnings development and improved margin demonstrate that our measures are delivering results,” said Georg Kasperkovitz, CEO of Lenzing Group. “Under the strategic priorities ‘Grow Nonwovens. Reset Textiles.’, we are driving our transformation forward and will take further significant steps by year-end to optimize our product portfolio and production network.”
The strategy prioritises nonwovens growth, premium and specialty textile applications, and the pulp and biorefinery business, while reducing exposure to low-margin standard fibres.
Lenzing targets an additional EUR 120 million in savings against its 2025 baseline, with the full earnings impact expected by the end of 2027. Production at Heiligenkreuz is planned to cease by the end of Q1 2027, followed by Grimsby by the end of 2027. The sale process for its Indonesian fibre production site continues.
The company completed an approximately EUR 300 million capital increase in October. For full-year 2026, it expects adjusted EBITDA of EUR 430–460 million, compared with EUR 425.6 million in 2025.
