From the Sector

Increasingly weaker demand from key sales markets over the course of 2024 is slowing SGL Carbon's sales and earnings growth. Group sales in 2024 amounted to €1,026.4 million, down slightly by 5.8% on the prior-year level (2023: €1,089.1 million). The group's adjusted EBITDA decreased by 3.3% to €162.9 million (2023: €168.4 million).

Despite the slight decline in sales, the adjusted EBITDA margin improved from 15.5 % in the previous year to 15.9 % in 2024. This is mainly due to positive price and product mix effects.

Declining demand from the key semiconductor and automotive markets, coupled with persistently unsatisfactory demand from the wind industry, led to a decrease in volume and sales in three of four business units. Only Process Technology was able to improve its sales and adjusted EBITDA.

Earnings performance in the past fiscal year was strongly affected by non-recurring items of minus €118.5 million (2006: minus €52.9 million). These mainly included the impairment of assets of the Carbon Fibers business unit totaling €91.2 million (previous year: €44.7 million) and expenses from restructuring measures in the Carbon Fibers and Battery Solutions business lines totaling €19.0 million. After deducting one-off effects and non-recurring items as well as depreciation and amortization of €58.7 million (2023: €58.9 million), EBIT amounted to minus €14.3 million in 2024 (2023: €56.6 million).

Taking into account the financial result of minus €32.6 million (2023: minus €34.2 million) and tax expenses of €32.5 million (2023: €19.3 million), SGL Carbon recorded a net loss of €80.3 million (2023: net profit of €41.0 million) despite the solid overall business performance.

In 2024, the Carbon Fibers (CF) business unit's sales continued to decline, decreasing by 6.7% to €209.8 million (2023: €224.9 million). The decline was due in particularly to the continued low demand from the wind industry and the increasing competitive headwind resulting from global overcapacity for textile and carbon fibers.

Adjusted EBITDA in the Carbon Fibers business unit decreased by €18.2 million year-on-year to minus €11.0 million (2023: €7.2 million). The lack of fixed cost absorption led to high idle capacity costs and combined with declining margins for our fiber products, had a negative impact on adjusted EBITDA. It should be noted that the Carbon Fibers business unit included the result of the equity accounted activities (mainly the joint venture Brembo SGL Carbon Ceramic Brakes, BSCCB) in the amount of €15.8 million (2023: €18.3 million). Excluding the contribution from the equity-accounted BSCCB, the adjusted EBITDA of Carbon Fibers would amount to minus €27.0 million (2023: minus €10.9 million).

In February 2025, as part of the review of all strategic options for the Carbon Fibers, a decision was made to extensively restructure the Carbon Fibers business unit, which also includes the closure of unprofitable business activities. A complete sale of the Carbon Fibers activities was reviewed and is currently not considered feasible.

In the reporting period, sales in the Composite Solutions (CS) business unit amounted to €124.6 million, down 19.0% (2023: €153.9 million). The decline was due in particular to the premature expiration of a significant project-related supply contract with an automotive customer.

As a result of lower volumes and product mix effects, CS's adjusted EBITDA decreased by €4.0 million or 18.0% year on year to €18.2 million (2023: €22.2 million). It should be noted that the adjusted EBITDA includes a compensation payment of €3.0 million for a prematurely terminated customer contract. The adjusted EBITDA margin remained almost constant at 14.6% compared to the previous year (2023: 14.4%).

Forecast
For the year 2025, SGL Carbon expects different but overall challenging developments in their key sales markets. For the semiconductor industry and in particular for silicon carbide-based semiconductors, the demand is expected to remain moderate. The main reasons are lower than originally forecast growth rates for electric vehicles and continued high inventories at our customers site. At the earliest, demand could pick up in the second half of 2025. The company also expects a high degree of uncertainty combined with lower momentum for the automotive market segment.

The forecast for the current fiscal year 2025 takes into account all four operating business units, as they are still in the early stages of restructuring our Carbon Fibers business. Based on their assumptions regarding the development of the key sales markets, the managers expect consolidated sales for fiscal year 2025, including all business units, to be slightly below the previous year (2024: €1,026.4 million).

Taking into account all four operating business units, an adjusted EBITDA in 2025 is expected to range between €130 million and €150 million. Furthermore, the assumption is that the free cash flow at the end of the 2025 financial year - excluding payments for the planned restructuring of the CF - will be below the previous year's level but still positive (2024: €38.7 million).

Restructuring Carbon Fibers
On February 18, 2025, the Board of Management of SGL Carbon announced a restructuring of the loss-making CF business unit. This includes a significant reduction of CF's business activities and a focus on a profitable core. SGL Carbon's group sales guidance for 2025 excluding the expected sales contribution from CF would be approximately €200 million lower. On the other hand, the adjusted EBITDA for the remaining businesses excluding the operating adjusted EBITDA of CF would be between 155 – 175 million €.

“In the coming months, our work will focus on restructuring the carbon Fibers business unit and safeguarding our profitability. This includes focusing on new sales opportunities to further utilize our production capacities and strict cost management. The major trends such as digitization, climate-friendly transportation and renewable energy sources remain intact and are the drivers for our key sales markets. SGL Carbon will benefit from these trends and the associated growth opportunities in the medium and long term,” explains Andreas Klein, CEO of SGL Carbon SE.

From Resource-efficient and Recycled Fibres for Textiles and Building Panels to Geotextiles for Glacier Protection: Six award nominees present innovative and sustainable solutions for various industries in the cellulose fibre value chain. The full economic potential of the cellulose fibre industry will be introduced to a wide audience that will vote for the winners in Cologne (Germany), and online.

Again nova-Institute grants the “Cellulose Fibre Innovation of the Year” award in the context of the “Cellulose Fibres Conference”, that will take place in Cologne on 13 and 14 March 2024. In advance, the conferences advisory board nominated six remarkable products, including cellulose fibres from textile waste and straw, a novel technology for dying cellulose-based textiles and a construction panel as well as geotextiles. The innovations will be presented by the companies on the first day of the event. All conference participants can vote for one of the six nominees and the top three winners will be honoured with the “Cellulose Fibre Innovation of the Year” award. The Innovation award is sponsored by GIG Karasek (AT).

In addition, the ever-growing sectors of cellulose-based nonwovens, packaging and hygiene products offer conference participants insights beyond the horizon of traditional textile applications. Sustainability and other topics such as fibre-to-fibre recycling and alternative fibre sources are the key topics of the Cellulose Fibres Conference, held in Cologne, Germany, on 13 and 14 March 2024 and online. The conference will showcase the most successful cellulose-based solutions currently on the market or those planned for the near future.

The nominees:

The Straw Flexi-Dress: Design Meets Sustainability – DITF & VRETENA (DE)
The Flexi-Dress design was inspired by the natural golden colour and silky touch of HighPerCell® (HPC) filaments based on unbleached straw pulp. These cellulose filaments are produced using environmentally friendly spinning technology in a closed-loop production process. The design decisions focused on the emotional connection and attachment to the HPC material to create a local and circular fashion product. The Flexi-Dress is designed as a versatile knitted garment – from work to street – that can be worn as a dress, but can also be split into two pieces – used separately as a top and a straight skirt. The top can also be worn with the V-neck front or back. The HPC textile knit structure was considered important for comfort and emotional properties.

HONEXT® Board FR-B (B-s1, d0) – Flame-retardant Board made From Upcycled Fibre Waste From the Paper Industry – Honext Material (ES)
HONEXT® FR-B board (B-s1, d0) is a flame-retardant board made from 100 % upcycled industrial waste fibres from the paper industry. Thanks to innovations in biotechnology, paper sludge is upcycled – the previously “worthless” residue from paper making – to create a fully recyclable material, all without the use of resins. This lightweight and easy-to-handle board boasts high mechanical performance and stability, along with low thermal conductivity, making it perfect for various applications in all interior environments where fire safety is a priority. The material is non-toxic, with no added VOCs, ensuring safety for both people and the planet. A sustainable and healthy material for the built environment, it achieves Cradle-to-Cradle Certified GOLD, and Material Health CertificateTM Gold Level version 4.0 with a carbon-negative footprint. Additionally, it is verified in the Product Environmental Footprint.

LENZING™ Cellulosic Fibres for Glacier Protection – Lenzing (AT)
Glaciers are now facing an unprecedented threat from global warming. Synthetic fibre-based geotextiles, while effective in slowing down glacier melt, create a new environmental challenge: microplastics contaminating glacial environments. The use of such materials contradicts the very purpose of glacier protection, as it exacerbates an already critical environmental problem. Recognizing this problem, the innovative use of cellulosic LENZING™ fibres presents a pioneering solution. The Institute of Ecology, at the University of Innsbruck, together with Lenzing and other partners made first trials in 2022 by covering small test fields with LENZING™ fibre-based geotextiles. The results were promising, confirming the effectiveness of this approach in slowing glacier melt without leaving behind microplastic.

The RENU Jacket – Advanced Recycling for Cellulosic Textiles – Pangaia (UK) & Evrnu (US)
PANGAIA LAB was born out of a dream to reduce barriers between people and the breakthrough innovations in material science. In 2023, PANGAIA LAB launched the RENU Jacket, a limited edition product made from 100% Nucycl® – a technology that recycles cellulosic textiles by breaking them down to their molecular building blocks, and reforming them into new fibres. This process produces a result that is 100% recycled and 100% recyclable when returned to the correct waste stream – maintaining the strength of the fibre so it doesn’t need to be blended with virgin material.
Through collaboration with Evrnu, the PANGAIA team created the world’s first 100% chemically recycled denim jacket, replacing a material traditionally made from 100% virgin cotton. By incorporating Nucycl® into this iconic fabric construction, dyed with natural indigo, the teams have demonstrated that it’s possible to replace ubiquitous materials with this innovation.

Textiles Made from Easy-to-dye Biocelsol – VTT Technical Research Centre of Finland (FI)
One third of the textile industry’s wastewater is generated in dyeing and one fifth in finishing. But the use of chemically modified Biocelsol fibres reduces waste water. The knitted fabric is made from viscose and Biocelsol fibres and is only dyed after knitting. This gives the Biocelsol fibres a darker shade, using the same amount of dye and no salt in dyeing process. In addition, an interesting visual effect can be achieved. Moreover, less dye is needed for the darker colour tone in the finished textile and the possibility to use the salt-free dyeing is more environmentally friendly.
These special properties of man-made cellulosic fibres will reassert the fibres as a replacement for the existing fossil-based fibres, thus filling the demand for more environmentally friendly dyeing-solutions in the textile industry. The functionalised Biocelsol fibres were made in Finnish Academy FinnCERES project and are produced by wet spinning technique from the cellulose dope containing low amounts of 3-allyloxy-2-hydroxypropyl substituents. The functionality formed is permanent and has been shown to significantly improve the dyeability of the fibres. In addition, the functionalisation of Biocelsol fibres reduces the cost of textile finishing and dyeing as well as the effluent load.

A New Generation of Bio-based and Resource-efficient Fibre – TreeToTextile (SE)
TreeToTextile has developed a unique, sustainable and resource efficient fibre that doesn't exist on the market today. It has a natural dry feel similar to cotton and a semi-dull sheen and high drape like viscose. It is based on cellulose and has the potential to complement or replace cotton, viscose and polyester as a single fibre or in blends, depending on the application.
TreeToTextile Technology™ has a low demand for chemicals, energy and water. According to a third party verified LCA, the TreeToTextile fibre has a climate impact of 0.6 kg CO2 eq/kilo fibre. The fibre is made from bio-based and traceable resources and is biodegradable.

The appetite for responsible sourcing shows no sign of slowing with Europe's fastest-growing platform, Source Fashion expanding again for its next edition with a 50% increase in exhibitors to over 320 from around the world.

The gateway to the UK fashion industry, Source Fashion takes place on 18th - 20th February at Kensington Olympia London putting international manufacturers and suppliers at the fingertips of UK brands.

Source Fashion offers a unique experience for decision-makers in buying, sourcing and procurement, with the reassurance of knowing that every exhibitor has been audited to ensure sustainability and transparency remains at the heart of their business model. The next show unites manufacturers from the UK, India, Portugal, Turkey Madagascar, China, Sri Lanka, Nepal, Peru, Philippines, Ethiopia and many more. The show will also see the debut of manufacturers from Mongolia, Lithuania, and Tunisia.

Suzanne Ellingham, Director of Sourcing of Source Fashion says; "Visitors will love the quality, diversity and variety of producers, makers and manufacturers from around the world with the best of the best in terms of high-quality knitted apparel, luxury wool knits, leather, denim, and more across our sectors including Fabrics, Accessories, Sportswear, Garment Manufacturers, Packaging, Yarns, Trims and Fixtures, plus Design & Technology."

Connecting global manufacturers and suppliers to buyers who want the security in knowing every conversation is one that could lead to a new range creation, Source Fashion is the gateway to retail for manufacturers and suppliers from across the world. From raw materials, fabrics, trims, and packaging, all the way through to contract manufacturers offering in house design services, the show brings the inspiration and tools together in one exciting destination to bring new ranges to life.

The July 2023 show welcomed some of retail's biggest names. Buyers, sourcing managers, product developers, technologists, and designers from brands and retailers including John Lewis, Mountain Warehouse, Fila, Selfridges, H&M, Lipsy, Lyle & Scott, Joules, FILA, Perry Ellis, JoJo Mamman Bebe, Monsoon, Fatface, Lulu Guinness, Next, Sainsburys, Vivienne Westwood, Stitch Fix, ASOS, Bella Freud, Burberry, Fat Face, Hackett, Harrods, NBrown, Monsoon and many more came to explore and source from Source Fashion's diverse mix of audited exhibitors.

With a content stage dedicated to presenting and discussing the latest trends, innovations, and topics in responsible and sustainable manufacturing from internationally renowned industry professionals, as well the inspirational Source Catwalk shows, Source Fashion is the must-attend event for the fashion community.

International technology group ANDRITZ has started the 2023 business year with unchanged high growth dynamics despite a slowing global economy. Revenue and operating result both increased significantly by well over 20 percent in the first quarter of 2023 compared with the same period of the previous year. Net income improved by almost 50 percent to 104.5 million euros (MEUR). Order intake reached a favorable level of 2.4 billion euros but was 6.5 percent below the figure for the first quarter of 2022, when the booking of two large-scale orders had provided a peak.

The key financial figures developed as follows during the reporting period:

• Order intake amounted to 2,420.2 MEUR and was thus 6.5% below the high level of the previous year’s reference period (Q1 2022: 2,588.6 MEUR), which included two large-scale orders. The Metals business area was able to increase its order intake significantly compared to the previous year’s reference period.
• The order backlog as of March 31, 2023 amounted to 10,407.8 MEUR and has thus increased compared to 2022 (December 31, 2022: 9,976.5 MEUR).
• Revenue at 1,962.6 MEUR was 28.5% higher than the reference figure for the previous year’s reference period (Q1 2022: 1,526.9 MEUR). All four business areas were able to significantly increase their revenue compared to the previous year.
• The operating result (EBITA) increased in line with revenue, reaching a very favorable level at 158.5 MEUR in the first quarter of 2023 (+29.6% versus Q1 2022: 122.3 MEUR). The Group’s profitability (EBITA margin) increased slightly to 8.1% (Q1 2022: 8.0%).
• Net income (without non-controlling interests) increased significantly to 104.5 MEUR (Q1 2022: 71.5 MEUR).

Following the successful first quarter, ANDRITZ confirms its previously published outlook for the full year 2023. Both revenue and earnings for the full year are expected to be above the level of 2022.

• Printing Expo Online is expanding again by doubling the size of Zone 2 with new exhibitors and feature zones making it one of the largest virtual trade shows in the world.

Visitors will be able to visit the new Zaikio underground catacombs that are accessible from several portals around the show. Click on a New York taxi, a London Phone Box or a funky Hot Dog Van and you will be transported into the Zaikio cavern environment where visitors will be able to watch application videos, arrange demos and sign up to this amazing new cloud-based platform.

Another addition to Zone 2 is the new Software Technology Centre (STC). This feature area will grow over time to show a wide range of software solutions that are available on the market.

Joining Printing Expo Online in the STC for the launch is EFI Fiery, who are showing their full portfolio of software solutions.

Design’N’Buy are also a new exhibitor in the STC with their all-In-One Web2Print software solution that helps users leverage technology, people and processes for the multi-fold growth of your printing business.

Also moving into the STC will be PrintIQ who offer the modern print shop a solution for businesses that need to be able to grow and scale as needed without slowing down or sacrificing quality.

Another new addition to the show is the introduction of the Global Print Trade Club. This initiate is free to all Print Service providers around the world and offers the opportunity to network on a global scale.

New to the exhibition is Kornit Digital with their multi storey showroom which will shortly be opening its doors where visitors will be able to view Direct to Garment and Direct to Fabric printing equipment, technical data, case studies, clothing designs and applications as well as visit the Kornit dedicated auditorium where live streaming content will be shown of Kornit Digital’s Fashion weeks as they happen throughout the year.

Another addition is the new application journey added to the Xeikon Innovation Centre at Printing Expo Online. Visitors will now be able to experience a virtual tour of a living room, kitchen, bathroom, and garage where Xeikon will show applications for commercial, label and Wall Deco products that can be produced on their digital print engines.

Printing Expo Online is open 24/7 365 days a year and has now welcomed over 60,000 visitors from all over the world and continues to grow not only its footprint and total visitor numbers, but also its relevance as an important resource tool for Print Service Providers from around the world that, for whatever reason, are unable to attend live events.

Huntsman Textile Effects is bringing its complete end-to-end suite of high-performance solutions for sports apparel to Performance Days Digital Fair from December 1 to 2, 2021 virtually.

Driven by growing consumer interest in active and healthy lifestyles, coupled with the growing number of national sports participation programs that promote healthy living, the global sportwear market shows no signs of slowing. Brands that aim to satisfy this high-growth market need to be able to produce performance apparel that not only delivers sought-after functional capabilities and desirable aesthetics, but also comes with low environmental impact.

Huntsman will introduce the latest addition to the third generation of its revolutionary AVITERA® SE polyreactive dye range at Performance Days. AVITERA® ROSE SE delivers bluish-red shades while reducing the water and energy required for production by up to 50% and increasing mill output by up to 25% or more. It also significantly outperforms available dyeing technologies for cellulosic fibers and blends in terms of value, reducing recipe costs, minimizing processing costs and eliminating reprocessing.

Also in the spotlight are eco-friendly solutions for the challenges of achieving full whites and consistent shades on recycled polyester (rPET) with right-first-time quality. Huntsman’s rPET processing solutions include pre-treatment chemicals, fluorescent whitening agents, state-of-the-art washfast dyes, and finishing solutions for high-performance protection and comfort.

In partnership with Sciessent, Huntsman is also bringing revolutionary antimicrobial and odor-control solutions to Performance Days. These include Sciessent’s Agion Active® X2, a next-generation odor-control solution that combines advanced technologies to both capture and fight odor-causing bacteria for garments that smell fresh for longer and need less frequent washing. The partners are also previewing a new solution: Sciessent’s NOBO™, a cost-effective odor adsorber that provides odor control on virtually any fabric.

Other featured innovations include Teflon Eco Dry with Zelan™ R2 Plus technology. A breakthrough in sustainable water repellency, it contains 30% renewably sourced plant-based raw materials and meets or exceeds performance levels possible with traditional fluorinated technologies. Another exciting Huntsman solution is the new PHOBOL® Extender UXN – a product that optimizes water-repellent finishes for long-lasting fabric protection. It is free from butanone oxime, which has recently been re-classified in Europe and restricted above certain limits in products by bluesign®.

• The nonwoven and technical textiles industry has become the focus of the whole world during the pandemic process.
• Most countries carried out works for these sectors with their investments, production and innovations.

During the pandemic process, a new one is added every day to the works for the nonwoven and technical textiles sector, whose importance is increasing in line with the needs. Turkey has become a center of  technical textiles by showing that its accumulation in these field and power.

In the Turkish technical textiles sector, which has an export market of 107 billion dollars worldwide and continues to break its own export record every month, R&D and innovation investments continue without slowing down. Technical textile exports, which increased by 77 percent in last November compared to the same month of the previous year, increased by 55 percent in January - November period and reached 2.5 billion dollars. Thus, technical and smart textiles and production technologies both attracted more attention and gained more importance in line with the needs of the pandemic process.

HIGHTEX 2021 International Technical Textiles and Nonwoven Fair, which will be held at Tüyap Fair and Congress Center on 22-26 June 2021, will be the exhibition where the latest technologies and products for nonwoven, technical and smart textiles which have become more important during the pandemic period and have become the focus of the whole world. Especially the products and technologies produced for the pandemic will attract more attention at the exhibition. HIGHTEX 2021 Exhibition, which will gather its exhibitors and visitors under one roof, will also allow new collaborations. At the same time, the exhibition, where developing technologies and products are exhibited, will provide a great advantage in terms of the formation of new business ideas.
HIGHTEX 2021, the first and only exhibition in Turkey in its field are expected to sign a new record in terms of number of exhibitors and visitors. You can visit www.hightexfairs.com website for more information about HIGHTEX 2021, which is preparing to attract more attention and host people than ever before.