Delignit AG Revises Annual Guidance Amid Market Challenges

Delignit AG, a prominent manufacturer of ecological hardwood-based products, has adjusted its 2024 financial guidance due to challenging market conditions. The company anticipates reduced demand for key OEM series supply contracts, particularly affecting its motor caravan product area. A significant client has temporarily halted production, impacting sales substantially. In the light commercial vehicles sector, expected production volume increases are unlikely, influenced by weak demand for electric models and delays in launching new orders.

Consequently, revenue projections are lowered to €63-€67 million from an initial €75-€80 million. To address this, Delignit's Management Board has intensified its cost optimization strategy, targeting savings in material and personnel costs. Projected EBITDA margin is now 4 to 6%, a decline from the previously expected 6 to 7%.