EQS News: Lenzing AG: Special depreciation impacts earnings (EBIT) for the 2023 financial year; Confirmation and specification of the earnings forecast (EBITDA)

2024-01-23 19:16:10

EQS-News: Lenzing AG / Key word(s): Annual results Lenzing AG: Special depreciation affects the result (EBIT) for the 2023 financial year; Confirmation and specification of the earnings forecast (EBITDA) January 23, 2024 / 6:15 p.m. CET/CEST The issuer/publisher is responsible for the content of the announcement. ═════════════════════════════════════════ ═════════ ════════════════════════ • EBITDA expected for 2023 of around EUR 300 million • Non-cash special depreciation of up to EUR 480 million • Implementation of performance program fully on track Lenzing – The annual evaluation of the valuation of assets according to IFRS of the entire Lenzing Group, a world-leading provider of specialty fibers for the textile and nonwovens industries, both nationally in Austria and internationally, has revealed a need for impairment, which leads to special depreciation amount of up to EUR 480 million for the 2023 financial year.[1]^[1] The reasons for the need for impairment are, on the one hand, ongoing uncertainties in the economic environment and, on the other hand, continued increased raw material and energy costs as well as increased discount rates due to the changed interest rate environment. The special depreciation is non-cash and has no impact on the full-year EBITDA 2023, but does affect the EBIT for the 2023 financial year. For the 2023 financial year, the Management Board has specified the previous earnings forecast (EBITDA: EUR 270 – 330 million) and expects an EBITDA of around EUR 300 million. Stephan Sielaff, CEO of the Lenzing Group: “In the third quarter of 2023, we responded to the persistently difficult market environment and launched a comprehensive performance program, which we have been consistently implementing since then with a focus on positive free cash flow as well as strengthened sales and margin growth. We can therefore confirm our earnings forecast with an EBITDA of around EUR 300 million. The valuation adjustment according to IFRS does not change the strategic direction of the Lenzing Group.” Nico Reiner, Chief Financial Officer, adds: “The implementation of the performance program is going according to plan. In the future, an annual contribution to earnings of more than EUR 100 million is expected from cost measures alone, of which more than EUR 50 million will already be effective for the 2024 financial year. We are on track, particularly when it comes to strengthening free cash flow, and we were also able to achieve positive free cash flow in the fourth quarter. The revaluation of the assets is now consistent and the right step for the future direction.” The annual results for 2023 will be presented on March 15, 2024. Photo download:
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PIN: vBgM7Ote4qZh Your contacts for public relations: Investor Relations: Dominic Köfner Sébastien Knus Vice President Corporate Communications & Vice President Capital Markets Public Affairs Lenzing Aktiengesellschaft Lenzing Aktiengesellschaft Werkstraße 2, 4860 Lenzing, Werkstraße 2, 4860 Lenzing, Austria Austria Telephone [phone] Telephone [phone] Email [3][e-mail] E-Mail [5][e-mail]
Web [4] www.lenzing.com Web [6] www.lenzing.com

About the Lenzing Group The Lenzing Group stands for ecologically responsible production of special fibers from the renewable raw material wood. With its innovative product and technology solutions, Lenzing is a partner of global textile and nonwovens manufacturers and a driver of numerous new developments. The Lenzing Group’s high-quality fibers are the starting material for a variety of textile applications – from elegant outerwear to versatile denim fabrics to high-performance sportswear. Due to their consistently high quality as well as their biodegradability and compostability, Lenzing fibers are also ideal for use in hygiene products and for agricultural applications. The Lenzing Group’s business model goes far beyond that of a classic fiber manufacturer. Together with its customers and partners, it develops innovative products along the value chain that create added value for consumers. The Lenzing Group strives for the efficient use and processing of all raw materials and offers solutions for transforming the textile industry towards a circular economy. In order to reduce the rate of global warming and achieve the goals of the Paris Climate Agreement and the EU Commission’s “Green Deal”, Lenzing has a clear vision: namely a CO[2]-to realize a free future. Data and facts Lenzing Group 2022 Sales: EUR 2.57 billion Nominal capacity (fibers): 1,145,000 tons Employees: 8,301 TENCEL™, VEOCEL™, LENZING™, REFIBRA™, ECOVERO™, LENZING MODAL™, LENZING VISCOSE™ , MICROMODAL™ and PROMODAL™ are trademarks of Lenzing AG.

[7]^[1] Subject to further changes due to the ongoing audit ═════ ═══════════════════════════════ 01/23/2024 CET/CEST Publication of a corporate news/financial announcement, transmitted by EQS Group AG. www.eqs.com

═════════════════════════════════════════ ═════════ ════════════════════════ Language: German Company: Lenzing AG 4860 Lenzing Austria Telephone: [phone] Fax: [phone] Email: [e-mail] Internet: www.lenzing.com
ISIN: AT0000644505 Indices: ATX Exchanges: Vienna Stock Exchange (official trading) EQS News ID: 1821355 End of message EQS News Service 1821355 01/23/2024 CET/CEST References Visible links 1. file:///appl/crs1/tmp/HTML-FormatExternal-93aP7_.html#_ftn1
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