Lenzing increases half-year profit despite revenue decline

The company, headquartered in Lenzing in Upper Austria, is one of the world's largest manufacturers of cellulose fibers, which are used among other things in the textile and hygiene industries. The shift to nonwoven fibers is seen as a response to fluctuating demand in the traditional textile market.

Strategy: Shift to nonwovens fibers

Nonwovens are technical fiber materials produced without weaving or knitting. They are used, among other things, in hygiene products, medical textiles, filtration, and the automotive industry.

The available reports do not indicate to what extent the group plans to invest in the new capacities in the coming months or which sites will be affected. Information on the production volumes affected is also lacking.

The available sources do not provide specific details in the current reporting period regarding the significance of the mentioned sites in Asia, Burgenland, and England, or of the organizations Reset Textiles and KMM.

Outlook and background

The business development is being closely followed by industry observers, as Lenzing is considered an important supplier to international textile and hygiene brands. Market participants are awaiting in particular details on the outlook for the second half of the year as well as on the development of raw material costs.

For full-year 2026, Lenzing has previously expressed a fundamentally cautious optimism in earlier communications, without however citing specific forecast figures. The upcoming annual general meeting and the publication of the half-year figures will show the extent to which the new segment strategy is already visible in the numbers.

The report is based on reports from APA and other Austrian media that reported on Lenzing's half-year development on Wednesday.