From the Sector

At the Munich Fabric Start in Munich, TINTEX proudly announced its complete switch from the use of conventional cotton and the concomitant launch of a new fabric range that is the highest expression of the new generation of cotton: Naturally Advanced Cotton by TINTEX.

This new range is able to offer an advanced smart choice of 4 different premium and responsible advanced cotton solutions such as BCI Cotton, ECOTEC® by Marchi & Fildi, GOTS certified organic cotton and Supima. These new fabrics maintain and upgrade the transparent, hi-tech and sustainable organics that are at the heart of the TINTEX DNA. They represent better, smarter ecomaterials with new levels of performance and hi-tech smarts, thanks to a first class expertise in specialist dyeing and finishing techniques, coatings and applications that use the latest research, equipment and processes to deliver it. 

This new launch is confirming once more the commitment of TINTEX to its ‘Naturally Advanced’ position meaning “advancing beautiful, organic and natural materials to the next level combined with unique, hybrid ‘nature-tech’ smarts, with added value and creativity, thanks to dedicated investments that serve and secure our customer’s demands both now and in the seasons to come” says CEO Mario Jorge Silva.

The “Naturally Advanced Cotton” on Collection by TINTEX:

BCI cotton: The Better Cotton Initiative has specific aims:

• Reduce the environmental impact of cotton production
• Improve livelihoods and economic development in cotton producing areas
• Improve commitment to and flow of Better Cotton throughout supply chain.

ECOTEC® by Marchi & Fildi: a range of full-colour yarns, a smarter cotton made from pre-consumer clippings that save up to 77,9% water during manufacture. This season TINTEX is also introducing a new, finer ECOTEC® yarn called Phoenix, also GRS certified, being made from 50% ECOTEC® cotton and 50% recycled polyester. Here wellbeing credentials are guaranteed with Tessile e Salute* certification. 

GOTS Organic Cotton: The Global Organic Textile Standard GOTS is the most important standard for sustainable production of garments and natural fiber textile products from organic farming such as organic cotton or organic wool. GOTS criteria measures environmental, technical quality, toxicity and social impacts. GOTS is backed by independent certification for the entire supply chain.

Supima Cotton: Luxury, quality and craftsmanship are the benchmarks of American-grown, extra-long staple cotton. TINTEX offers 100% Supima precious fabrics and blends with tencel.

These special 4 cotton actors are made even more “advanced” by unique smart finishing as Plummy and Naturally Clean, for clean surfaces, bright colours, outstanding touch always with a very careful eye at the responsible values.  

• Revenue up 9.4 percent to EUR 1,726.6 mn
• EBITDA improvement of 23.9 percent to EUR 397.1 mn
• Retail bond of EUR 120 mn redeemed – Lenzing with net liquidity as at end of September
• State-of-the-art application innovation center opened in Hong Kong

Lenzing – The Lenzing Group generated a substantial increase in revenue and earnings in the first nine months of the 2017 financial year compared to the prior-year period. The company is continuing the implementation of its Group strategy sCore TEN in order to further expand the offering of specialty fibers and be even closer to its customers and business partners.

Consolidated revenue climbed 9.4 percent year-on-year to EUR 1,726.6 mn. This increase is mainly attributable to higher prices for all three fiber generations. Consolidated earnings before tax, depreciation and amortization (EBITDA) rose 23.9 percent to EUR 397.1 mn, corresponding to an EBITDA margin of 23 percent, up from 20.3 percent in the prior-year period. Earnings before interest and tax (EBIT) increased by 34.6 percent to EUR 298.4 mn, resulting in a higher EBIT margin of 17.3 percent (Q1-3 2016: 14 percent). The profit for the period improved by 35.3 percent to EUR 219.3 mn, and earnings per share rose 36 percent to EUR 8.12 per share. In September Lenzing redeemed the retail bond of EUR 120 mn. At the end of the reporting period the Group had net liquidity of EUR 16.9 mn.

“In the first three quarters of 2017, we successfully captured value in a very positive market environment and we continue to implement the sCore TEN strategy with great discipline. The opening of our new application innovation center in Hong Kong is an important step to boost our regional innovation capabilities. We were particularly proud to launch TENCELTM Luxe as a sign of Lenzing’s ongoing commitment to innovation and sustainability”, states Stefan Doboczky, Chief Executive Officer of the Lenzing Group. “After three excellent quarters we are confident to deliver substantially better operating results in 2017 compared to 2016, but at the same time we do expect more headwinds in 2018.”

Focus on customer intimacy

In September 2017, the Lenzing Group opened a new application innovation center (AIC) in Hong Kong, thus setting a further milestone in strengthening its innovation offering to all partners along the value chain. New applications for Lenzing fibers will be developed and tested at the new facility, among them applications for recent innovations such as the TENCELTM Luxe branded lyocell filament, the RefibraTM branded lyocell fiber and the EcoVeroTM branded viscose fiber.

Furthermore, new sales and marketing offices were opened in Turkey and South Korea in the first half of 2017. The direct contact to customers and well-equipped showrooms featuring products made of LenzingTM fibers serve as the basis for providing even better customer support.

Investment program in progress

The Lenzing Group aims to increase the share of specialty fibers as a percentage of revenue to 50 percent by 2020. Following the capacity expansion initiatives in Heiligenkreuz (Austria) and Mobile, Alabama (USA) which are both underway, Lenzing announced its intention to construct the next plant to produce TENCEL® fibers in Thailand.

A new era of sustainable production

In October 2017, the Lenzing Group presented a new product, TENCELTM Luxe, at an exclusive event held in Paris. The TENCELTM Luxe branded filament yarn represents Lenzing’s entry in the filament market. This fiber will support the Lenzing Group’s path towards becoming a true specialty player in the market for botanic materials derived from the sustainable raw material wood.

The launch volumes of TENCELTM Luxe are being produced at the Lenzing site. The basic engineering for a commercial scale plant was commenced.

Outlook
Demand development on the global fiber market remains positive within the context of a generally friendly macroeconomic environment. Lenzing expects wood-based cellulose fibers to grow at an even higher rate than the overall fiber market. After three excellent quarters, the Lenzing Group will achieve an operating result in 2017 that is significantly better than 2016.

For 2018, Lenzing sees a number of somewhat opposing factors that limit visibility regarding fiber price developments. Overall market demand is expected to remain high. However, the Group expects a substantial increase on the supply side, especially for viscose but also for cotton. Price trends for selected key raw materials, especially caustic soda, are difficult to predict. Against this background the Lenzing Group expects a much more challenging market environment for standard viscose during the upcoming quarters.

The above-mentioned development reassures the Lenzing Group in its chosen corporate strategy sCore TEN. The Group initiated its transformation from a volume-oriented viscose player to a value-oriented specialty fiber player at the end of 2015, and will continue the disciplined implementation of its business strategy.

Color Solutions International, a member of the DyStar Group is launching their Color Analysis for Spring/Summer 2019. Color Analysis is CSI’s trend forecasting magazine that provides high-level global color trend information for color managers, directors and designers to support the color palette development process. It contains a forecast of key colors, accents and core neutrals that will be most relevant for the upcoming seasons. The forecast is based on consumer reports, detailed market research, current social trends and generational mindsets. Every issue features an artist who influences and inspires forward thinking.

The magazine includes a seasonal color palette selected from a wide range of approximately 9,000 CSI colors. The color palette is also available as cotton swatches sold on a ring. Part of the CSI service offering is to provide color direction based on a wide scope of palette searches as well as validated color use. Every issue will include an exclusive Relative Color Popularity (RCP) report, which provides color validation based on seasonal color palette usage by comparing similar hues.
CSI and DyStar support brands, retailers and their business partners from development to production. The CSI and DyStar team of experts work together and assist their customers in color development, communication as well as in the dyeing and quality inspection process to achieve best possible results and sustainable fashion. All CSI products are produced with high-quality, eco-friendly DyStar colorants.
“The Color Analysis Magazine is an important feature of our service for designers, offering them competitive color trends for upcoming seasons. At CSI, we are here to assist with color selections and provide all the necessary tools needed for a successful seasonal palette.” -CSI Color and Trend Director.

LINGERIE becomes SMART with ROICA Cosabella premium lingerie brand with almost 2,000 styles of lingerie, daywear, loungewear, sleepwear and activewear sold in more than 100 countries. Cosabella chose Eco-Lace by Tessitura Colombo Antonio, a unique sustainable lace collection whose main premium stretch ingredient is ROICA™ Eco Smart by Asahi Kasei – the first and exclusive premium elastomer, sustainable and GRS certified (Global Recycle Standard by Textile Exchange) at international level.

DIESEL choose CUPRO Diesel presents its SS 2017 preview collection of 5 pure CUPRO pearl, washed finish silhouettes. CUPRO, by Asahi Kasei, is a refined, matchless material with an exquisite silk like touch. CUPRO is a matchless and original, new generation material made from the smart-tech transformation of cotton linter bio-utility waste, converted through a traceable and transparent closed loop process. Innovhub 3rd party lab test proves CUPRO can claim full biodegradability end of life option.