From the Sector

For the first time at FILO Milano, Filatura C4 is proud to present, in addition to the already established Re.Verso™ collection for contract, the Blue Drop winning fabric by Audejas, made with Re.Verso™ re-engineered wool. A result born from the shared commitment and vision to integrate a new generation of eco values into their circular economy creations.

Since 1962, Filatura C4 has been known for smart innovation in furnishing contract markets and is now specializing in the recovery of both technical and natural fibers. The company offers a wide range of styles and typologies of yarns for the Technical, Natural and Classic categories. From the choice of raw materials up until the final packaging, Filatura C4 develops and proposes, together with its partners, tailored solutions apt to satisfy a diversified demand. Thanks to its background and its grounding, Filatura C4 is a unique partner for Re.Verso™ in the contract sector.

The collection was planned to satisfy the market’s increasingly more specific needs, which require increased specialization and responsibility in the recovery of textile fabrics. Thanks to the Re.Verso™ system, the company offers quality products with low environmental impact through the use of pre-consumer wool packaging cuts which are collected, selected and processed in an accredited, fully transparent and traceable way. The Re.Verso™ collection is mainly employed in contract and home furnishing.

The Re.Verso™ product is available in a range of counts going from 5,000 to 9,500 Nm and it can be supplied both in singles and in twisted plies.  Re.VersoTM yarns by Filatura C4 are certified by ICEA (Environmental and Ethical Certification Institute) according to GRS (Global Recycled Standard) issued by the international body Textile Exchange and can boast unique savings (in comparison to virgin wool) in terms of energy (-27%), water consumption (-53%), and CO2 emissions (-49%), as certified by the LCA (Life Cycle Assessment) study led by Prima Q.

At Filo, Filatura C4 presents the prizewinning product signed by Audejas, leading Lithuanian producer of upholstery and home textile fabrics since 1946, made for the 75% of wool (55% Re.Verso™ wool) in mix with 20% polyamide and 5% other fibres. This product received the Blue Drop Award on the second day of MoOD 2017. MoOD Brussels is an exhibition dedicated to producers of upholstery, window and wall coverings for the residential and contract market. The Blue Drop exhibition is an inspiring overview of the “best of the best” of what you can find at MoOD selected from creations submitted by exhibitors. Unique in its own way because it is the world’s only quality label of its kind for interior textiles. The “Floris” fabric by Audejas, won the first prize of the Circular Material category, being recognized as a  product that made great effort reducing waste by focusing on eco-centric materials.

• 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.

TINTEX presents a new and fresh campaign with contemporary images that signal the launch of the Autumn Winter 2019 Jersey collections presented by CEO Mario Jorge, who describes the new ‘Naturally Advanced’ position as moving on from making beautiful organics and natural materials to the next level with advanced hybrid nature/hi-tech smarts, with added value creativity, thanks to focused investments that will serve and secure our customer demands both now and in the seasons to come.

THE COLLECTION. Come and see the autumn range of more than 80 new qualities and style and discuss your own tailor made needs designed to fit the Fashion, Sportswear, Athleisure and Underwear sectors. The TINTEX Collection uses at least 60% of more sustainable materials, such as Tencel, Organic cotton, Naturally organic linen, recycled and recovered smart materials including polyesters, nylons and now a new recycled stretch elastane too. Out of preference, and in keeping with its ethos of creating low impact fabrics, the major part of the collection eschews the use of animal based fibers, with the limited exception of some organic wool, silk and cashmere blend qualities.

Schoeller Textil AG announces strategic cooperation at this year’s Outdoor in Friedrichshafen. At fair stand A4-402, visitors will experience the debut of Taurex® technology on Tuesday, 20 June, 2017. Tuesday, 20 June, 2017: Taurex® - a development from Red Bull and Schoeller Textil AG Red Bull and Schoeller are proud to unveil the jointly-developed Taurex®-finishing technology at Outdoor in Friedrichshafen. The Taurex® garment material and fabrics feature different types of fibers that encapsulate the essence of Red Bull into clothing – living up to claims of increased performance. The innovative Taurex® fabrics increase physical and mental performance capacity. Taurex® reflects the body’s energy back to the garment’s wearer. As a result, it provides improved wellbeing, greater concentration, reduced fatigue and speedy regeneration.
For some time now, Taurex® has been featured in the Red Bull clothing brand, AlphaTauri, but can now also be applied to other clothing brands, providing certain criteria are met. On 20 June, 2017, together with Red Bull staff, the Schoeller Competence Team provides detailed information on the Taurex® technology at the Schoeller fair stand A4-402.

Composites use in Building and Construction will be highlighted at JEC newest event dedicated to this specific Composites Industry next month in Chicago, IL, USA. The numerous and diverse benefits that these innovative materials bring to the Building Industry will help overcome the coming challenges such as, urbanization, increase of natural disasters (floods, storms, tsunamis, earthquakes…), along with the decrease of non-renewable raw materials and the high standard levels set by the society in terms of lightness and fluidity. Composites Materials bring answers and opportunities to tackle those issues in sustainable, durable and reliable manners. Solutions like ease of fabrication (Owens Corning), structures durability (Biteam), anti-seismic reinforcement (DowAksa), use of end-of-life products such as recycled bottles of water (Premier Composites Technologies), aerial forms (Optima Projects Ltd) or again energy saving (Armageddon Energy).

Following its strategy to address every Composites End-user, the JEC Innovation Awards will reward these 6 Composites Innovators in Building & Construction that will change the way we build.
If the majority of submissions relied on glass fibers, which is common in the Construction field, we see an increased interest in carbon fibers, especially for structural applications. And similarly to all sectors of the composite industry, thermoplastics are gaining in importance in Construction. Therefore, to promote the growing use of composites as a construction material, 6 categories are awarded, covering a large panel of applications and possibilities.

 PHP Fibers will open a state of the art airbag fabric weaving and finishing plant in its German production site Obernburg, near Aschaffenburg. The new facility will be embedded into the Nylon high-tenacity spinning plant and is based on technology provided by Toyobo Co., Ltd. Toyobo has airbag fabric weaving operations in Asia and the technology is currently used in the USA at PHP Fibers Inc. with great success.
The German weaving operation will have 47 water jet weaving machines and will use Polyamide 6.6 yarn from its own spinning facility. “This strategic investment will drive PHP Fibers closer to the automotive producers in Germany and Europe,” said Jochen Boos, Managing Director of PHP Fibers. “This investment is a clear commitment on the part of our owners to the site in Germany.”

The Business Director Volker Siejak added, “PHP Fibers was the pioneer in the development and production of airbag yarns. With this investment, PHP will be able to complete its portfolio and can offer yarns and fabrics for airbag application which our customers need. By this we will continue to be successful and we can strengthen the position of PHP Fibers as a market leader in the Airbag segment.”