SGL Carbon Hits 2023 Targets and Amplifies Focus on Growth Markets

SGL Carbon reached its annual sales and earnings targets for 2023 amidst a challenging economic landscape and a decline in demand from the critical wind market. The company reported group sales of €1,089.1 million, a decrease of 4.1%, and an adjusted EBITDA of €168.4 million, down by 2.5% from the previous year. Notably, three out of its four business units recorded historic sales and results.

While Graphite Solutions, Process Technology, and Composite Solutions units experienced positive sales growth, the Carbon Fibers unit faced a significant downturn, impacting the group's overall profitability. CEO Dr. Torsten Derr highlighted the dramatic fall in demand for carbon fibers, particularly from the wind industry, as a major challenge. Despite this, the remarkable performance of the other units nearly compensated for the downturn, allowing SGL Carbon to meet its 2023 objectives.

The company also reported on its financial health, noting a decrease in net financial debt to €115.8 million, down 32.2% from the previous year, and an increase in equity to €605.3 million. Notably, investments surged by 64.7% to €87.1 million in 2023, underscoring a strategic emphasis on expanding capacities, especially for graphite solutions catering to the semiconductor, LED, and solar industries.

Looking ahead, SGL Carbon anticipates continued high interest rates and subdued global economic growth in 2024. However, the company remains optimistic about its robust business model and long-term growth trends. A key focus will be on specialty graphite components for the semiconductor industry. Despite expecting ongoing challenges in the carbon fibers sector, SGL Carbon projects a stable outlook for group sales and a strategic review of the Carbon Fibers unit, considering all options, including a potential sale.