#Composites

2022-09-08

SGL Carbon SE increases sales and earnings guidance again for the current fiscal year 2022

Due to the continued good business development, especially in the Carbon Fibers Business Unit, SGL Carbon SE is increasing its Group sales and earnings guidance for the current fiscal year and now expects Group sales of approximately €1.2 billion (previously: approximately €1.1 billion). The company expects to achieve adjusted EBITDA (EBITDA pre = earnings before interest, taxes, depreciation and amortization before one-off effects and non-recurring items) of €170 - €190 million (previously: €130 - €150 million) in 2022.

Based on lower prices for acrylonitrile as main raw material of the Business Unit Carbon Fibers as well as higher than expected customer demand for acrylic and carbon fibers combined with consistently good production capacity utilization and capability, the management of SGL Carbon SE assumes an improved earnings development of this Business Unit.

SGL Carbon assumes that the factors mentioned will continue at least until the end of the year and that the earnings situation of the Business Unit Carbon Fibers will exceed previous expectations. Combined with the continued good business development of the other three Business Units (Graphite Solutions, Process Technology and Composite Solutions), an improvement in the sales and earnings situation at Group level is expected.

In line with the forecast increase for adjusted EBITDA (EBITDA pre) to between €170 and €190 million (previously: €130 - €150 million), the company is forecasting adjusted EBIT (earnings before interest and taxes and before one-off effects and non-recurring items) of between €110 and €130 million (previously: €70 - €90 million). The forecast for return on capital employed (ROCE) of originally 7% - 9% has been raised to 10% to 12% corresponding to the development of earnings. The expectations for free cash flow (significantly below previous year's level of €111.5 million) remain unaffected by the expected improvement in sales and earnings.

The updated forecast for fiscal 2022 has been prepared on the basis of the currently prevailing market environment and assumes no deterioration in the general conditions, in particular due to the war in Ukraine and its consequences for the global economy.

The definition of key figures used in this release is aligned to the Annual Report 2021. There were no changes in the scope of consolidation or accounting methods compared with the previous guidance.

SGL Carbon decides to restructure its Carbon Fibers business unit

The Board of Management of SGL Carbon SE today decided, with the approval of the Supervisory Board, to restructure the loss-making Carbon Fibers business unit. SGL Carbon will significantly reduce the business activities of Carbon Fibers and focus on a profitable core. Individual solutions are being developed for all Carbon Fibers sites, including the closure of unprofitable sites.

SGL Carbon evaluates strategic options for the carbon fibers and appoints Dr. Denis Hinz as new head of the business unit

SGL Carbon SE is currently evaluating various strategic options for the Business Unit Carbon Fibers (CF). These include a possible partial or complete divestment of the Business Unit. In a first step, potential interested parties shall be approached promptly with the general data of the Business Unit to determine their interest in an acquisition. If there is sufficient interest, a structured transaction process will be carried out in a second step.

Two new logistics halls at the SGL sites in Innkreis, Austria

On July 21, 2023, a 500 m² logistics hall was inaugurated at SGL Carbon's Austrian site in Ort im Innkreis, including an adjoining hall of approximately 150 m² for the storage of tools. Prior to this, a similarly sized logistics hall had already been completed at the Ried im Innkreis site in the spring of last year.

SGL Carbon with solid business performance

Despite the increasingly difficult economic environment, SGL Carbon was able to increase sales in H1 2023 from €549.8 million in the previous year to €560.5 million. Adjusted EBITDA (EBITDApre) remained almost unchanged at €88.0 million (H1 2022: €87.9 million). The expected good business performance of the Graphite Solutions business unit and the better-than-expected sales and earnings development of Process Technology and Composite Solutions compensated the drop in demand in Carbon Fibers.

JEC World 2026 reveals the list of finalists for the Innovation Awards

Each year, the JEC Composites Innovation Awards recognize collaborative, innovative, and ambitious projects that illustrate the potential of composite materials. Created in 1998, this benchmark program aims to identify, promote, and reward the most innovative composite solutions worldwide. In 28 years, the JEC Composites Innovation Awards have attracted more than 2,200 participating companies from around the world. A total of 269 companies and 811 associated partners have been recognized for the excellence of their innovations.

MEL Composites and Carrocerías Ayats collaborate on lightweight composite window frames

MEL Composites is proud to announce its ongoing collaboration with Spanish bus and coach manufacturer Carrocerías Ayats, showcasing the benefits of advanced composite technologies and scalable manufacturing processes originally developed for the sporting goods sector. The joint development of lightweight composite window frame covers demonstrates how MEL’s process innovation can be successfully transferred to the transportation industry to meet new regulatory and performance goals.

SHIMA SEIKI returns to ShanghaiTex

Leading flat knitting solutions provider SHIMA SEIKI MFG., LTD. of Wakayama, Japan, together with its Hong Kong and Chinese market subsidiary SHIMA SEIKI (HONG KONG) LTD., will exhibit at the ShanghaiTex 2025 exhibition (Booth No.: Hall N3, Booth A20) held in Shanghai, China this month. This marks the return of SHIMA SEIKI to ShanghaiTex after a 14-year hiatus, its last exhibit at the show having been in 2011.

Fraunhofer CCPE presents the “Monomaterial Design Set” – Innovative solutions for circular product design

Composite materials made from different types of plastic often extend the lifetime of products but make recycling more difficult in the circular economy. That is why Fraunhofer CCPE has developed the “Monomaterial Design Set”. This new approach helps to reduce the variety of plastics used in durable products and offers circular solutions for designers and product developers.

arena introduces renewable LYCRA® EcoMade fiber in its latest swimwear collection

Italian swimwear specialist arena has unveiled a new collection that brings sustainability and performance even closer together. Launched on December 4, the line features swimsuits made from recycled nylon and renewable LYCRA® EcoMade fiber — the first time the bio-based spandex has been used commercially in swimwear.