In the first half of the 2023/2024 financial year, the EGGER Group, based in St. Johann in Tirol, faced a challenging business environment marked by high inflation, interest rates, raw material price volatility, and geopolitical crises. Despite these hurdles, the wood-based material manufacturer achieved consolidated sales of EUR 2.1 billion, a 7.0% decrease from the previous year. The decline in demand, influenced by global uncertainties and weakened consumption, affected sales and earnings in various product areas.
EGGER Group's EBITDA reached EUR 299.2 million, reflecting a 15.4% decrease compared to the previous year, with an EBITDA margin of 14.3% and a shareholder’s equity ratio at 44.9%. The flooring, OSB, and timber product sectors were particularly impacted, while positive contributions came from the inclusion of the Caorso (IT) plant and market expansion in the USA.
Despite the challenging conditions, EGGER maintained its long-term investment strategy, investing EUR 238.6 million in the first half of 2023/2024. The company continues to focus on sustainability, with efforts to promote the circular economy through investments in recycled wood processing facilities and collection sites.
EGGER Group is committed to climate protection, adopting a strategy with the ultimate goal of Net Zero 2050. The plan includes reducing greenhouse gas emissions within the company's value chain, with specific targets set for 2030. The acquisition of the Markt Bibart (DE) chipboard plant marks a significant milestone, bringing the total number of EGGER Group plants to 22.
Looking ahead, EGGER acknowledges the uncertain economic outlook for the second half of the financial year, anticipating a further decline in demand. However, the company remains confident in weathering the downturn with its sustainable business model, financial stability, and advanced production capabilities, supported by over 11,000 dedicated employees.
Source: credit-relations.egger.group
