Alzchem Group AG achieves highest sales in the company’s history in the fiscal year 2022 with EUR 542.2 million (+28.4%)

• EBITDA stable at previous year’s level at EUR 61.4 million
• Annual result increases by 8.9% to EUR 30.2 million
• Dividend to be raised to EUR 1.05 per share
• Further sales and EBITDA growth forecast for 2023

Trostberg, February 28, 2023 – Alzchem Group AG, a vertically integrated specialty chemicals supplier with a leading market position in selected niche markets, recorded a successful year in 2022 despite the difficult economic conditions. Among the biggest challenges were the outbreak of the Ukraine war and the resulting price jumps for energy, raw materials and in logistics. Nevertheless, the Alzchem Group was able to achieve record sales of EUR 542.2 million, an increase of 28.4% compared to the previous year. Sales growth was driven by both Specialty Chemicals (+30.8%) and Basics & Intermediates (+29.1%). Overall, the Alzchem Group benefited not only from the high level of diversification in its product portfolio, but also from its focus on the less electricity-intensive Specialty Chemicals business with strong sales potential and high margins. In this segment, growth in 2022 was based primarily on gains in the areas of plant growth (Dormex^®), automotive (DYHARD^® and nitroguanidine) and nutritional supplements (Creapure^®).

Despite the substantial sales growth, the increase in material prices in particular meant that EBITDA remained roughly at the previous year’s level (EUR 62.0 million) at EUR 61.4 million, equivalent to an EBITDA margin of 11.3% (previous year: 14.7%). Consolidated annual result for the fiscal year 2022 increased by 8.9% from EUR 27.8 million to EUR 30.2 million. In view of the pleasingly robust business performance in 2022, the Management Board and Supervisory Board will propose to the Annual General Meeting that a dividend of EUR 1.05 (previous year: EUR 1.00) per no-par value share entitled to dividend be distributed from the balance sheet profit.

Andreas Niedermaier, CEO of Alzchem Group AG: “We were also unable to escape the extremely challenging environment, but we did our homework and took countermeasures in those areas that we were able to actively influence. As a result, we were also able to achieve an increase in sales in 2022 and meet the forecast adjusted during the year with regard to Group sales, EBITDA, EBITDA margin and equity ratio. A major contribution to this was made by our highly motivated and committed team, which delivered outstanding performance last year despite all the obstacles.”

For the fiscal year 2023, the Alzchem Group expects to continue its solid growth path. The key challenge here remains the ability to pass on the significant increases in procurement and electricity prices to the market. Slightly rising sales (up to EUR 590 million) and a slight increase in EBITDA (up to EUR 70 million) are forecast. The basic growth driver is volume growth, but price effects will also play a role. Volume growth will largely be achieved through the expansion of creatine production and at Creamino^®, but further volume growth is also expected in the multi-purpose plants.

The detailed Annual Report 2022 is available for download on the website www.alzchem.com in the Investors/Publications section.

About Alzchem

 Alzchem is a globally active specialty chemicals company that is one of the market leaders in most of its fields of activity. Alzchem benefits from the three very different global developments climate change, population growth and longer life expectancy in a unique way. Alzchem products can offer attractive solutions for achieving the resulting social goals in a multitude of different applications.

The company sees interesting growth prospects for itself in the areas of human and animal nutrition and agriculture in particular. As a result of population growth, it is necessary to achieve efficient food production. Pharmaceutical raw materials and creatine products can contribute to a healthy old age as life expectancy increases. Alzchem is facing up to the goal of sustainability arising from climate change in the field of renewable energies and across the entire company. The fields of fine chemicals and metallurgy offer just as great a perspective. 

Alzchem Group AG’s broad product range includes dietary supplements, precursors for corona tests and pharmaceutical raw materials. These products are the company's response to global trends and developments. Alzchem is ideally positioned in this respect and considers itself well prepared for an environmental future and global developments.

The company employs around 1,680 people at four production sites in Germany and a plant in Sweden, as well as three sales companies in the USA, China and England. Alzchem generated Group sales of around EUR 542.2 million and EBITDA of around EUR 61.4 million in 2022.