From the Sector

Mayer & Cie. will participate in ITMA Asia from October 28 to 31, 2025, which takes place in Singapore. ITMA Asia + CITME brings together the international market leaders in the industry and offers a platform for the exchange of information on the latest technologies, sustainability and digitalization. Benjamin Mayer, Managing Partner of Mayer & Cie., says: "For us, ITMA Asia is both an opportunity for customer loyalty and a door opener for new business relationships in one of the most dynamic textile regions in the world."

At its booth, the manufacturer of circular knitting machines and braiding machines will be showing a new circular knitting for jacquard fabrics – the OVJA 2.4 EC II – and will provide an overview of its digital and smart solutions. Another focus is on the machines of Mayer & Cie's "Performance Line": circular knitting machines, which are the most efficient solution in their respective classes. 

OVJA 2.4 EC II
"The OVJA 2.4 EC II belongs to our product group of circular knitting machines, which are engineered in Germany and manufactured in our factory in China”," says Benjamin Mayer, explaining the machine exhibit at ITMA Asia. “These machines are predominantly aimed at customers from China and Southeast Asia.” Thanks to a new system for single needle selection, the machine impresses with a significantly reduced cylinder height. In addition, fewer knitting elements are required, which significantly reduces the energy consumption of the machine. The OVJA 2.4 EC II produces fabrics for sports and leisure wear; it is also widely used in the field of home textiles, especially mattress cover fabrics – and all this at an attractive price. 

New Control 5.0 machine control system
The new Control 5.0 machine control system for circular knitting machines from Mayer & Cie. has been available since early summer 2025. It makes Mayer & Cie. circular knitting machines Internet-ready – and thus fit for the digital future of textile production. Control 5.0 is a prerequisite for knitlink, Mayer & Cie's digital platform. It is available as an upgrade kit for all machines built from 2001 onwards and is now part of every newly delivered mechanical circular knitting machine.

knithawk
knithawk is a tool for optical defect detection. It sits directly at the knitting point, where the knitted fabric is made. The camera unit, which "scans" the knitted fabric using infrared light, is quickly installed. If knithawk detects a serious or recurring error, the machine is stopped. The tool also creates an error log. 
In this way, knithawk can prevent knitting errors from continuing through many meters of knitted fabric. Thanks to knithawk, resources such as water, natural fibers, polyester and energy are not used for nothing.  knithawk is available for single jersey machines from Mayer & Cie. Customers can order it directly as part of their new machines or equip existing machines with knithawk via upgrade kit. 

120 years of Mayer & Cie. 
The year 2025 is an anniversary year for Mayer & Cie.: On July 8, 2025, the family-owned company celebrated its 120th birthday. The green MCT emblem stands for precision, durability and reliability worldwide, in the field of circular knitting machines as well as in braiding machines.

"We are proud to have taken this path – and we will continue to do so with innovative strength and reliability", says Managing Director Benjamin Mayer.
However, current conditions cast a shadow over the anniversary year. The order situation remains tense in the German textile machinery industry. In view of the various crises worldwide, a trend reversal is not yet in sight. It is difficult for Benjamin Mayer to give an outlook for the future: "We are well positioned as a company, have answers to the needs of the market and modern processes in production. But no one can predict how the world situation and with it the economic situation will develop."

• A branded, circular polyester resin made entirely from textile waste and completely traceable from feedstock to final product.
• Virgin-quality resin for high-performance applications including fashion, sportswear, and home textiles.
• Low environmental footprint with significant reduction of CO₂ emissions.

Loop Industries, Inc. a clean technology company accelerating circularity in plastic and fiber markets, announced the launch of Twist™, a branded circular polyester resin made entirely from textile waste. Loop is currently advancing its discussions with apparel brands for offtake from its planned India JV and will supply Twist™ as its branded product offering. Originally developed as Loop’s fiber-grade PET resin, the product has now been rebranded to reflect its role in helping the textile industry transition from linear to circular systems, shifting away from virgin materials and from bottle-to-textile recycling, to give global brands a high-performance solution that embodies both sustainability and next-gen material innovation.

Utilizing Loop’s globally patented depolymerization technology, Twist™ is produced by breaking down polyester textile waste into its base monomers, DMT and MEG, which are then purified back to their initial purity, before being polymerized into Twist™ resin. This process removes all dyes, colorants, contaminants, and blends, delivering a resin that is chemically identical to virgin polyester. Textile-to-textile recycling allows apparel companies to mitigate the increasing environment impact of textile waste.  

Twist™ achieves the highest purity, color and dyability consistency and increases production efficiency, making it fully compatible with existing spinning and manufacturing infrastructure. 

The production of Twist™ saves up to 418,600 tonnes of CO₂ emissions annually1 and reduces greenhouse gas (GHG) emissions by up to 81%2 when compared to fossil fuel-based resin. This has been independently validated by Franklin Associates, a division of ERG who completed an LCA study of Loop’s technology. 418,600 tonnes of CO₂ emissions are the equivalent of more than 1 billion miles driven by an average gasoline-powered passenger vehicle.

Twist™ is set to transform textile recycling as the first textile-to-textile polyester resin offering complete traceability. Embedded chemical tracers allow customers to track finished products directly back to their original waste textile inputs. This transparency meticulously verifies every step of the recycling and manufacturing process, building crucial trust in the circular economy and setting a new standard for accountability in sustainable textile production. With full traceability from waste input to finished product, Twist™ empowers brands to confidently meet growing regulatory, and consumer demands for transparency and circularity.

Twist™ will be expanded from Loop’s Terrebonne facility and produced at the Infinite Loop™ India facility, a strategically located manufacturing platform designed to serve global textile and apparel brands. The facility will provide Twist™ at competitive pricing levels. This combination of performance, price, traceability and sustainability positions Twist™ as a key material for brands seeking to lead on circularity and meet evolving sustainability targets.

SNC Kherib et Cie. has awarded ANDRITZ an order to supply a complete spunlace line for its plant located in Bejaia City, Algeria. The start-up is scheduled for the end of Q3 2026.

This will be the very first ANDRITZ spunlace line installed on the African continent. The line will process both viscose and polyester fibers, enabling SNC Kherib to produce high-quality spunlace roll goods for the wet wipes markets to meet the growing needs of African consumers. This project marks a significant step in the development of the spunlace industry in Africa and opens the door to new opportunities for local converters.

The project is a family investment, with each member of the Kherib family actively involved. As a pioneer in the African market, SNC Kherib is leading the way in introducing advanced spunlace technology to the region.

Farid Kherib, founder of SNC Kherib, states: “We are proud to collaborate with a global leader like ANDRITZ. This partnership highlights our commitment and passion for developing innovative solutions tailored to the specific needs of the African market using state-of-the-art equipment.”

The value of the order will not be disclosed. It is included in ANDRITZ’s order intake for the first quarter of 2025.

Based in the Bejaia area of Algeria, SNC Kherib is a family business dedicated to a wide range of activities including the production of nonwovens (viscose and cotton cleaning cloths, polyester wadding for mattress and pillows, etc.), PVC cling film, PP woven bags, as well as PVC doors and sandwich panels.

Eastman announced a formal strategic partnership with Huafon Chemical to establish a joint facility to produce cellulose acetate yarn. The facility will be dedicated to localized production and product innovation of Eastman Naia™ cellulose acetate filament yarns in China.

“China is the world’s largest textile supply chain hub and a frontier for product and technology innovation,” said Ruth Farrell, general manager of Eastman’s textiles business. “This strategic partnership will provide us with greater capacity and further enhance the innovation and product development capabilities of Naia™ yarn while enabling Eastman to fulfill its brand promise of making sustainable textiles accessible to all.”   

This collaboration demonstrates Eastman’s long-term commitment to the Chinese market and further deepens its market presence in China by enabling a more agile supply chain response to meet the market demand for high-quality, innovative and sustainable textile materials in the region.  

“Through cooperation with Eastman, we look forward to combining local advantages with international resources to achieve a fully localized chain — from technological innovation, product development and production to service — and jointly promoting the sustainable development of the textiles industry,” said Congdeng Yang, director of the Huafon-Eastman collaboration program.

Indorama Ventures Public Company Limited (IVL), a global sustainable chemical producer, posted a as management continues to execute its three-year IVL 2.0 transformation strategy, maintaining steadfast focus on fortifying the company against a prolonged downturn in global chemical markets. 

In 1H25, Indorama Ventures’ Adjusted EBITDA1 fell 21% on a year-on-year (YoY) basis to $606 million. Sales volumes dropped 8% YoY as scheduled maintenance at several plants and a winter freeze in the U.S temporarily disrupted operations. The first six months of the year reflected a continuation of the macro-economic pressures that have beset the industry for more than two years, including new Chinese supply and the impact of geopolitical conflicts in Europe and the Middle East on global supply chains, input costs, and consumer demand. 

Throughout this period of profound industry change, Indorama Ventures’ management has continued to drive forward ‘self-help’ actions under IVL 2.0 to optimize operations, reduce fixed costs, and generate cash. Operating cash flow in the first half was strong at $618 million, with 111% Reported EBITDA conversion, while overall fixed costs were reduced by $51 million, net of inflation. These reflect a methodical approach to financial management and commercial excellence as well as the inherent resilience of Indorama Ventures’ unique leadership model across diverse markets. 

In the most recent quarter, operations continued to normalize after the winter freeze and planned turnarounds, which was reflected in a 2% rise QoQ in revenue in 2Q25, although the 11% drop on a year-on-year basis reflected the broader industry challenges. In 2Q25, Adjusted EBITDA climbed 20% QoQ to $330 million, led by an improvement in the company’s largest Combined PET (CPET) business, while down 11% YoY. 

Business Segments 
In 1H25, the Integrated PET portfolio benefited from the asset optimization actions taken over the past year under IVL 2.0, driving a 12% increase in Adjusted EBITDA despite persistent overcapacity in the industry. Overall, CPET segment recorded a 31% YoY decline in Adjusted EBITDA, on a 10% drop in sales volumes, amid multiple planned turnarounds, weaker integrated MEG market conditions in the U.S, and lower NDC production due to the timing of campaign. MTBE profitability normalized in 1H25 with gasoline markets more balanced than in 2024.  

Fibers segment posted a 21% YoY gain in Adjusted EBITDA, and a 3% rise in sales volumes, in 1H25, reflecting an improved business environment in Lifestyle and management’s ongoing actions to streamline operations across the segment. Indovida packaging segment was steady across the half, supported by demand in Egypt and the Philippines. Indovinya segment recorded a 6% decrease in Adjusted EBITDA, on a 3% drop in volumes, on weaker performance in its Essentials business driven by higher palm input costs. The Surfactants business was resilient at 17% margin, flat YoY. 

Mr. Aloke Lohia, Group CEO of Indorama Ventures, said, “Since we launched IVL 2.0 more than a year ago, we have consistently focused on disciplined self-help actions that are building resilience and helping us to emerge stronger and agile to pursue our growth objectives post weathering this historic downturn. One of the final pegs to hammer down is our Integrated EO/EG business in the U.S Gulf Coast. The Board would like to undertake a strategic review of this business to assess its value to our CPET segment. On the growth front, we continue to fund our Surfactants portfolio, our Packaging business, and our leadership of Recycled Polymers from internal cashflows, as well as remain focused on our deleveraging exercise for longer term financial security.” 

Mid-Year Update on IVL 2.0 
Since launching IVL 2.0 in March 2024, Indorama Ventures’ experienced management has continued to focus on bolstering resilience and repositioning the company for long-term sustainable growth. Now, more than 1 year into  the 3-year strategy (2024-2026), leaders are building a leaner, more agile, and financially disciplined enterprise through a program of footprint optimization, operational excellence, innovation, and digital acceleration. 

In the last 12 months, the company rationalized sites in Portugal, Netherlands, Australia and Canada, realizing $116 million in fixed-cost savings. It expects annualized savings of $130–150 million by 2025 and $170–190 million by 2027. Furthermore, the company expects cash proceeds of $190–200 million from the proposed sale of rationalized property from 2H25 through to 2026. 

Indorama Ventures has reorganized its four business segments with empowered, accountable leadership structures and clear mandates to deliver industry-leading performance across the cycle. A similar reorganization of Corporate functions is currently underway. The segments are already benefiting from a comprehensive digital transformation program following the successful rollout of SAP S/4HANA, which is providing the foundation for additional tools including Salesforce and Workday, and AI-driven solutions for manufacturing and maintenance. 

The company continues to maintain a strong liquidity position, with $1.8 billion as of June 2025, and a focus on financial discipline and driving sustainable free cash flow to further strengthen the balance sheet towards a longterm target of Debt/EBITDA at 3x. In the first half, Indorama Ventures raised $1.5 billion through long-term refinancing at improved spreads, which helped reduce costs and ensure liquidity through to 2027. 

As part of its renewed growth strategy to invest in high-value segments and select growth markets, in the first half the company completed the acquisition of a 24.9% equity stake in EPL. An expanded pipeline of innovative highvalue-added (HVA) products includes new offerings such as PEN polymers and PET-G, which generate better margins than traditional PET; and two leading brands in the energy extraction sector, Kemelix and Flowsolve. The Mocksville hygiene fibers facility in the U.S commenced operations during the half, benefiting from the U.S tariffs, while a strategic partnership with PolySource to distribute specialty polymers for advanced applications is broadening the company’s presence in performance materials. 

In 2Q25, Indorama Ventures—one of the world’s leading PET recyclers—marked a significant milestone in recycling 150 billion bottles since operations began in 2011. The company is accelerating its ambition to recycle 50 billion bottles a year, having recycled the last 50 billion bottles in 2.5 years.

OETI is partnering with Austrian designer Julia Deiger, founder of the sustainable label DeLin. INSPECTED QUALITY is a quality label from OETI for textile and leather businesses. Based on OETI’s 60 years of market experience and current standards, the label is supported by a transparent labelling guideline and independent verification processes.

The initiative is part of TEX-DAN, an EU-funded project led by the Salzburg University of Applied Sciences, which aims to develop innovative, market-ready concepts promoting circular economy models for small and medium-sized enterprises in the textile sector across the Danube region.

As an accredited and independent testing institute, OETI – Institute for Ecology, Technology and Innovation GmbH brings its extensive expertise to this project partnership. Together with designer Julia Deiger, OETI has developed the new INSPECTED QUALITY "Regionally Produced" label.

This label confirms the strong regional focus and sustainable philosophy of the DeLin brand: the entire value chain is based exclusively in Austria, using only natural, durable materials. The label enhances transparency for consumers and highlights the brand’s commitment to resource-efficient textile production.

Through this project, OETI and Julia Deiger are making a valuable contribution to promoting future-oriented, locally rooted production models within the European textile industry.

A Model for Market Transformation
“The TEX-DAN project generates new, marketable ideas for advancing circular economy models across the Danube region. Our collaboration with Julia Deiger demonstrates how natural materials, short supply chains, and regional production – supported by a structured quality assurance system and visible label – can collectively drive transformation in the textile sector,” concludes Helene Melnitzky, Head of Department Ecology / OEKO-TEX® Products, at OETI, who is responsible for developing the INSPECTED QUALITY “Regionally Produced” label.

Longstanding partnership with Stratasys increases worker safety, and fuels on-demand factory tooling 
Stratasys Ltd. announced that Toyota’s production engineering group is accelerating innovation on the factory floor through its strategic collaboration with Stratasys. The automaker is empowering automotive workers to seamlessly integrate advanced 3D printing technology in their manufacturing process, taking tools, fixtures and jigs from initial concept to working prototype in just one day. 

Through the more than 10-year partnership with Stratasys, Toyota engineers have access to industrial-grade 3D printers and advanced materials designed to withstand tough factory conditions. These Stratasys high-performance polymers reduce reliance on external suppliers and long lead times, giving frontline engineering teams the ability to iterate rapidly and adapt to shifting production needs in real time. 

Toyota is currently using the Stratasys F3300, F900, Origin One, F770, Neo800, H350, F370, J850, and Fortus 450mc printers to produce robust factory tooling, end-use parts, and functional prototypes throughout its North American facilities. 

By integrating Stratasys industrial 3D printing solutions across its North American operations, Toyota can transform ideas into durable, customized tools that support workflows, enhance worker safety, and withstand wear and tear. Much of this work is powered by the Toyota Add Lab, the company’s in-house additive manufacturing center that was opened in January 2023 and dedicated to accelerating R&D and factory innovation. 

“Sometimes we start with nothing more than a sketch on paper or an idea in our heads,” said Dallas Martin, Additive Manufacturing Engineer at Toyota North America. “We can model it digitally and hold a working part in our hands the very next day. That speed lets us move quickly, implement safer solutions, and continuously iterate to improve our processes.” 

The collaboration reflects Stratasys’ broader commitment to helping automotive leaders transform their manufacturing workflows with scalable, cost-effective additive solutions that drive innovation. From jigs and fixtures to ergonomic aids and complex assembly tools, additive manufacturing is helping Toyota team members solve production challenges with unprecedented speed and flexibility. 

“Additive manufacturing has transformed how our teams collaborate and innovate,” said Lisa Bednar, Group Manager, Production Engineering at Toyota North America. “Instead of sending an idea out and waiting weeks for a part, we’re building it ourselves, refining it the same day, and getting it into production faster. It’s not just about speed — it’s about giving our people the tools to think differently and act immediately.” 

Thanks in part to the Add Lab’s innovations, Toyota engineers have used 3D printing to redesign a door assembly fixture, creating a lighter, more ergonomic tool on-site in just a few days. In another case, they developed a custom window alignment jig that turned a multi-person job into a one-person task, boosting both safety and efficiency. 

“Toyota is a standout example of how leading manufacturers are leveraging additive manufacturing to deliver meaningful operational impact,” said Rich Garrity, Chief Industrial Business Officer at Stratasys. “Their teams are using our technology to move faster, adapt on the fly, and build safer, more efficient production environments. We’re proud to support a partner that’s turning bold ideas into real-world, measurable improvements on the factory floor.” 

A companion during studies and for practical use in the workplace: generations of textile experts have used the Denkendorf Fiber Chart to keep track of all the important characteristic values of textile raw materials. Following the first two editions in the 1970s and 1980s, scientists in Denkendorf have comprehensively revised the Fiber Chart. The third edition is now available in digital form for the first time.

The overview shows all important natural and synthetic fibers in SEM, microscope, and fiber array images, as well as a force-elongation diagram for each. It describes their chemical properties with key characteristic values such as specific strength, elongation, or hysteresis. Relevant brand names complete the overview and enable reliable guidance in the selection of materials for various products.

The Denkendorf Fiber Chart has a long tradition and has been a household name in the textile world for decades. With their many years of testing experience, participation in standardization committees, and numerous industry contacts, the scientists in Denkendorf worked closely with manufacturers and users to compile a comprehensive chart more than 50 years ago. The third edition of the Denkendorf Fiber Table is available as a poster and in digital form. The online platform offers a search function for fiber properties, allowing individual fibers and their properties to be compared. Data sheets and high-resolution images complete the offer.

In July, the DITF web shop was launched, enabling the textile research center to transfer knowledge. In addition to the fiber table, publications on research results and tickets for specialist events can be purchased.

The Lenzing Group, a supplier of regenerated cellulosic fibers for the textile and nonwovens industries, reported both revenue and earnings growth year-on-year in the first half of 2025. In the second quarter, however, international tariff measures and the resultant uncertainty led to tangible stress along the textile value chain and slowed the Lenzing Group’s recovery. Market prices remained at a low level while costs for raw materials, energy and logistics continued to be high. 
 
The Lenzing Group generated revenue of EUR 1.34 bn in the first half of 2025, which was higher than in the same period of the previous year. The operating earnings trend benefited significantly from the positive effects of the performance program. EBITDA grew by 63.3 percent to EUR 268.6 mn, which included positive exceptional effects from the sale of surplus EU emission allowances amounting to EUR 30.6 mn and the valuation of biological assets amounting to EUR 12.5 mn. The EBITDA margin rose from 12.5 percent to 20 percent. Earnings before interest and tax (EBIT) amounted to EUR 109 mn (compared with EUR 18.9 mn in the same period of the previous year), which corresponds to an EBIT margin of 8.1 percent (compared with 1.4 percent in the same period of the previous year). Earnings before tax (EBT) amounted to EUR 22.1 mn (compared with minus EUR 22.3 mn in the same period of the previous year). Earnings after tax improved significantly to EUR 15.2 mn (compared with minus EUR 65.4 mn in the same period of the previous year).  
 
“Lenzing made further progress on its path to operational recovery in the first half of 2025. Our performance program is making a clear contribution to earnings improvement. At the same time, we are seeing tangible effects from the growing uncertainties in international trade in the second quarter – particularly as a consequence of the aggressive tariffs policy. These developments not only affect our visibility, but also our earnings. For this reason, we are all the more determined to continue our measures to secure our turnaround in the long term and further strengthen our margins,” notes Rohit Aggarwal, Lenzing Group CEO.  
 
The Lenzing Group’s performance program is comprehensively geared towards strengthening long-term crisis resilience and enhancing agility in the face of market changes. The aim is to sustainably improve EBITDA and generate free cash flow through increased profitability and consistent cost excellence. Measures such as acquiring new customers for key products and expanding into smaller markets were implemented in order to strengthen sales activities and thereby revenue growth. At the same time, Lenzing is implementing measures to significantly improve its cost structure, which are being reviewed and further developed on an ongoing basis. Over EUR 130 mn in cost savings were already achieved in 2024. Progress was made especially in terms of product costs and product quality. The Managing Board also expects further efficiency gains in the coming quarters, especially in production costs and overhead functions. The ongoing improvements in structures, processes and personnel expenses are expected to lead to an increase in both revenue and margins. The Managing Board anticipates cost savings of in excess of EUR 180 mn in the current financial year.  
 
Lenzing has also successfully strengthened its capital structure over the course of the year to date. A syndicated loan of EUR 545 mn was concluded in May. The structure of the loan comprises a EUR 355 mn term loan with a three-year term and a revolving line of credit of EUR 190 mn, also with a three-year term and extension options totaling two years. In addition, a new EUR 500 mn three-year non-callable hybrid bond was successfully placed on the market. With these measures, Lenzing secures its financing until 2027 and can continue to focus fully on implementing its successful performance program to enhance margins and free cash flow as well as to improve the cost position. 
 
Outlook
For 2025, the IMF forecasts global growth of three percent, followed by 3.1 percent in 2026 – marking a slowdown compared to the previous year (2024: 3.3 percent). The projection remains below the pre-pandemic historical average. At the same time, the IMF warns of persistently high risks to the global economy: a renewed escalation of trade conflicts, geopolitical tensions, or tighter financing conditions could dampen growth and reignite inflationary pressures.  
 
In an environment characterized by uncertainty and a persistently high cost of living, consumers are anticipated to remain cautious. This is exerting a lasting negative impact on their propensity to spend. Given the announced tariff increases, the rise in spending on apparel in the USA in the first half of the year is to be regarded as a temporary, one-off effect and is unlikely to continue over the course of the remainder of the year. 
 
The currency environment is expected to remain volatile in regions relevant to Lenzing.  
 
In the global bellwether market for cotton, market analysts’ current forecasts anticipate a slight increase in stocks to around 16.3 mn tons for the coming 2025/26 harvest season. 
 
Lenzing will continue to consistently implement its performance program and will conduct ongoing evaluations in order to leverage further cost potentials and further improve its revenue and margin generation.  
 
At present, the Lenzing Group confirms its guidance for the 2025 financial year of year-on-year higher EBITDA.  
 
The ongoing tariffs conflict and associated uncertainty are negatively affecting market expectations and are continuing to exert a very restrictive effect on earnings visibility.   
 
In structural terms, Lenzing continues to expect growing demand for environmentally responsible fibers for the textile and apparel industry as well as the hygiene and medical sectors. Lenzing is therefore very well positioned with its strategy and is pushing both profitable growth with specialty fibers and the further expansion of its market leadership in the sustainability area. 

• Weak demand from semiconductor customers weighs on Group sales and earnings performance
• Restructuring of Carbon Fibers business unit successfully on track
• EBITDA margin almost stable at 16.0% in half-year comparison 
• Sales forecast for 2025 slightly adapted, adjusted EBITDA expectations confirmed

Increasing uncertainty about the future development of global trade, tariff increases between the US and Europe, and weak demand in some of their markets are weighing on SGL Carbon's sales and earnings performance. On the other hand, the restructuring of SGL's Carbon Fibers business unit is showing initial signs of success. After six months of fiscal 2025, SGL Carbon generated sales of €453.2 million, down 15.8% on the previous year (H1 2024: €538.0 million).

The decline in sales within the Group is primarily attributable to negative volume effects, while currency and price effects played only a minor role. In particular, the continuing weak demand from semiconductor customers in the Graphite Solutions business unit weighed on sales development. Furthermore, the Carbon Fibers business unit reported lower sales as a result of the discontinuation of unprofitable business activities as part of the restructuring.

The cost savings resulting from the restructuring of Carbon Fibers and a slight improvement in adjusted EBITDA in the Process Technology business unit were unable to offset the shortfall in earnings contributions from the decline in the high-margin semiconductor business. Adjusted EBITDA, an important key figure for the Group, decreased by 16.2% compared to the first half of 2024 to €72.5 million (H1 2024: €86.5 million). The adjusted EBITDA margin remained almost unchanged at 16.0% compared to the previous year (H1 2024: 16.1%).

Taking into account depreciation and amortization of €25.8 million (H1 2024: €27.0 million) and non-recurring and special items of minus €49.9 million (H1 2024: €3.6 million), EBIT for the first half of 2025 amounted to €3.2 million (H1 2024: €55.9 million). The non-recurring and special items result in particular from restructuring expenses of €47.0 million.

The restructuring announced in February 2025 showed initial success in the first half of 2025, with positive adjusted EBITDA for the Carbon Fibers (CF) business unit. The discontinuation of loss-making business activities resulted in a 15.1% decline in sales to €93.5 million (H1 2024: €110.1 million) but also led to an increase in adjusted EBITDA for CF from minus €4.4 million to €5.2 million year-on-year.

"As part of the CF restructuring, production at our site in Lavradio (Portugal), which mainly produced acrylic fibers and precursors for carbon fibers, was closed down. Production and consequently also our business activities in the acrylic fibers and precursors product areas were completely discontinued at the end of June 2025. CF will focus in future on profitable products with greater differentiation from the international competition," said Dr. Stephan Bühler, member of the Executive Board responsible for this area.

It should be noted that the adjusted EBITDA of the CF business unit includes an earnings contribution of €4.7 million from its equity-accounted joint venture BSCCB (H1 2024: €7.9 million). The decline in BSCCB's earnings contribution is due to the costs of expanding production capacity and volatile demand from automotive customers. Excluding the earnings contribution of the equity-accounted BSCCB, adjusted EBITDA for CF would have been €0.5 million (H1 2024: minus €12.3 million).

The Composite Solutions (CS) business unit was also unable to avoid the increasing uncertainty in the automotive industry about future growth prospects. CS sales declined by 11.7% to €59.1 million in the first half of 2025 (H1 2024: €66.9 million). It should be noted that the first six months of the previous year still included sales from a contract with an automotive customer that expired in the second quarter of 2024.

As a result of lower volumes and the associated lower utilization of production capacities, CS's adjusted EBITDA decreased by €2.7 million to €5.4 million (H1 2024: €8.1 million) compared to the same period last year. Accordingly, the adjusted EBITDA margin of CS declined to 9.1% (H1 2024: 12.1%).

Outlook
Increasing trade barriers, especially due to US tariff policy, are having a negative impact on the business development of their customers and sales markets. In particular, the high level of uncertainty about future developments in the automotive industry is currently weighing on demand for the company’s products. This also includes expected sales of electric vehicles, which are the main drivers of demand for silicon carbide semiconductors. Special graphite components from SGL Carbon are required to manufacture these high-performance semiconductors.

In light of the current economic environment and the expectations for developments in the sales markets in the upcoming months and taking into account restructuring measures in the Carbon Fibers business unit, the sales forecast for fiscal year 2025 is adjusted on July 14, 2025. Consolidated sales for the full fiscal year 2025 are expected to decline by 10% to 15% compared with the previous year (2024: €1,026.4 million). Previously, SGL Carbon had expected sales to decrease by up to 10% (slight decline) compared with the previous year.

Due to the discontinuation of loss-making business activities in the Carbon Fibers business unit and cost savings as part of the successful restructuring and associated improvement in profitability, the forecast for the Group's adjusted EBITDA for fiscal year 2025 remains unchanged in the range of €130 million to €150 million.