Home / Knowledge / News / Textiles / Lenzing unveils new group strategy “sCore TEN“
Lenzing unveils new group strategy “sCore TEN“
17
Nov '15
Textile and nonwovens cellulose fibers major, Austria's Lenzing Group has announced that its business strategy for the coming years will be called “sCore TEN”.

Accordingly, Lenzing's main priorities will be strengthening the company's core business, intensifying cooperation with customers along the value chain, increasing the share of specialty fibres to 50 per cent of total revenue by 2020, expanding its quality and technological leadership for man-made cellulose fibres and opening up new attractive business areas, it said in a press release.

“Our objective is to safeguard and expand Lenzing's leadership role on the dynamic growth market for man-made cellulose fibers“, said Lenzing's Chief Executive Officer Stefan Doboczky. “To achieve this, we will focus more intensively on the most attractive segments in the specialty fibre business. Lenzing will put value before volume in the future. We aim at achieving volume growth.”

Lenzing expects demand for man-made cellulose fibres to increase by 5 to 6 per cent annually until 2020, which is nearly twice as fast as the global fibre market. The primary factors driving demand are the continuing growth of the world's population and rising prosperity in the emerging markets. Forecasts call for a rise in per capita textile consumption in the emerging markets by all in all 50 pe rcent in the period 2010 to 2020. In the industrialized countries the nonwovens industry, an important sales market for Lenzing, will profit from the increased demand for hygiene products. The nonwovens segment is expected to expand twice as fast as the textile market.

The new Lenzing strategy entitled “sCore TEN” was designed to take account of the major megatrends. On the one hand, the name stands for a resolute performance orientation (scoring) and for a strengthening of Lenzing's core business operations (core) and on the other hand, the new strategy reflects the objective of generating sustainable growth with specialty fibers such as Lenzing Modal or TENCEL (TEN).

“Compared to the previous year, we want to continually increase EBITDA by 10% annually and aim to increase the return on capital employed (ROCE) to more than 10 per cent by 2020. At the same time, our objective is to keep net financial debt at a level which is less than 2.5 times EBITDA”, Doboczky explained in reference to the financial performance targets of sCore TEN.

Lenzing plans to finance all necessary investments required to implement this strategy from its own capital resources and simultaneously strive for a dividend payout of up to 50 per cent of the Group net profit. (SH)

Fibre2Fashion News Desk – India

Must ReadView All

Textiles | On 28th Mar 2017

India may impose duty on elastomeric filament yarn

The Government of India is likely to impose anti-dumping duty on...

Courtesy: Lee Cooper

Apparel/Garments | On 28th Mar 2017

CCI clears FLFL proposal to divest Lee Cooper

The Competition Commission (CCI) of India has approved the proposal...

Textiles | On 28th Mar 2017

Bardoli CEFC to benefit south Gujarat MSMEs

India’s first common engineering facility centre (CEFC) at Bardoli,...

Interviews View All

Poojaa Kumar Deepak
Zeven

Zeven's performance sports apparel is designed for the Indian body type,...

Abhishek Samdaria
Reflete

GST will certainly reduce a lot of paperwork in future

Karel Williams
Dow Microbial Control

'Silvadur is most rapidly adopted in areas where hygiene-conscious and...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search