Alzchem Group AG Reports Significant EBITDA Growth and Optimistic 2024 Forecast

Alzchem Group AG, a leader in the specialty chemicals sector, announced a notable 32.4% increase in EBITDA to EUR 81.4 million for the fiscal year 2023, continuing its trajectory of success. The company maintained its sales near the previous year’s level, achieving EUR 540.6 million, despite external challenges. Alzchem attributed its achievement to the strategic shift towards specialty chemicals, including flagship products like Creapure®, Creamino®, and guanidine salts, which bolstered its earnings and sales figures.

The Specialty Chemicals segment, less impacted by electricity prices, witnessed a 10.9% sales growth, counterbalancing a 15.5% decline in the Basics & Intermediates segment. This evolution towards higher-margin products contributed to a substantial improvement in the EBITDA margin from 11.3% to 15.1%. Furthermore, Alzchem plans to increase its dividend to EUR 1.20 per share, reflecting its strong financial performance.

In 2023, Alzchem's net profit rose by 15.1% to EUR 34.8 million, improving the equity ratio to 38.5%. The company also reported a strong operating cash flow of EUR 72.7 million. Looking ahead, Alzchem aims to further its growth with projections for 2024 to increase sales to around EUR 570 million and EBITDA to EUR 90 million, driven by existing and future product potentials in human and animal nutrition.