Lenzing Reports Higher EBITDA For Jan-Sept. 2025 Amid Market Volatility
Lenzing AG reported stable revenue growth and a significant increase in EBITDA for the first nine months of 2025, despite a volatile third quarter driven by ongoing market uncertainty, tariffs and geopolitical pressures.
Revenue rose 0.7% to EUR 1.97 billion (Q1–Q3 2024: EUR 1.96 billion). EBITDA increased 29.1% to EUR 340.4 million, supported by the sale of surplus emission allowances and the valuation of biological assets, with the EBITDA margin improving to 17.3% (13.5% in the prior-year period). EBIT declined to EUR 20.6 million due to asset impairments of EUR 82.1 million in Indonesia. Earnings before tax stood at EUR -98.7 million.
“We see these challenging times as an opportunity to sharpen our strengths with strong brands, disciplined execution and innovation,” said Rohit Aggarwal, CEO of Lenzing AG.
Lenzing is advancing a value-focused strategy centred on operational efficiency and high-margin premium products such as TENCEL, VEOCEL and LENZING ECOVERO. Growth potential is also targeted in hygiene, packaging, filtration, medical and industrial applications.
The company has initiated a strategic review of its site in Indonesia, which may include a sale. Planned optimization measures are expected to deliver annual savings of around EUR 45 million by the end of 2027 and more than EUR 180 million in cost reductions in the current year. Lenzing is also investing more than EUR 100 million in its Austrian sites, aiming for energy efficiency improvements of over 5%.
The Supervisory Board extended the mandate of Chief Pulp & Technology Officer Christian Skilich to 2029. Mathias Breuer will assume the CFO role from January 2026, succeeding Nico Reiner.
Lenzing maintained a strong liquidity position of EUR 993 million as of September 30, 2025. Net financial debt decreased by 8.5% to EUR 1.4 billion, supported by a EUR 500 million hybrid bond and a EUR 545 million syndicated financing facility. Free cash flow remained positive at EUR 110.9 million.
The global market environment remains uncertain, with subdued consumer sentiment and potential tariff-driven cost pressures. Lenzing expects year-on-year EBITDA growth in 2025 and is targeting EBITDA of around EUR 550 million by 2027, though geopolitical and economic risks may influence outcomes.
