The Lenzing Group reported a significant year-on-year improvement in revenue and earnings in the first nine months of 2021 thanks to the largely positive market environment. Its revenue rose by 32.9 percent to €1.59 billion in the first nine months of 2021. This increase is attributable to higher sales volume as well as higher viscose prices, which stood at more than RMB 15,000 in May thanks to significantly higher demand for fibers, especially in Asia. The focus on wood-based specialty fibers such as the Tencel™, Lenzing™ Ecovero™ and Veocel branded fibers also had a positive impact on the revenue trend; the share of specialty fibers in fiber revenue amounted to 72.4 percent in the reporting period. This more than offset the negative impact of less favorable currency effects. EBITDA (earnings before interest, tax, depreciation and amortization) more than doubled to €297.6 mn in the first nine months of 2021. The EBITDA margin rose from 11.6 percent to 18.7 percent. Net profit for the period amounted to €113.4 million and earnings per share to €3.77.

Gross cash flow more than tripled to €301.1 million in the first nine months of 2021 compared to EUR 83.3 mn in the first nine months of 2020. This increase was above all due to the earnings performance. Cash flow from operating activities amounted to €307.8 million compared to €-14 million in the first nine months of 2020. Free cash flow amounted to €-317.9 million due to the investment activities related to the projects in Thailand and Brazil. CAPEX (expenditures for intangible assets, property, plant and equipment, and biological assets) increased by 40.3 percent to €631.1 million during the reporting period, of which roughly half was financed out of cash flow from operating activities. The strong increase in investments is attributable to the implementation of the key projects.