Homann Holzwerkstoffe recorded a sharp deterioration in earnings in the first half of 2026, despite maintaining revenue close to the previous year\u2019s level. Heavy start-up losses at its new Lithuanian plant, rising material costs and weaker demand from furniture manufacturers pushed the wood-based panel producer into negative EBITDA.<\/p>\n
Group revenue reached \u20ac194.4 million in January\u2013June, compared with \u20ac195 million one year earlier. The near-flat figure conceals a decline in sales volumes, partly offset by higher selling prices introduced as production costs rose.<\/p>\n
Homann\u2019s adjusted operating EBITDA dropped from \u20ac22.1 million to a loss of \u20ac1.4 million. Its operating result moved from a \u20ac9.1 million profit to a \u20ac17.5 million loss, while the consolidated net loss widened to \u20ac29.4 million from \u20ac2.7 million in H1 2025.<\/p>\n
Pagiriai plant produces \u20ac15.3 million EBITDA loss<\/strong><\/p>\n The new MDF\/HDF plant in Pagiriai, Lithuania, accounted for a substantial part of the decline. The facility generated a negative EBITDA of \u20ac15.3 million and a loss after tax of \u20ac22.8 million during the first six months of 2026.<\/p>\n In H1 2025, the Lithuanian operation had reported an EBITDA loss of \u20ac4.5 million and a loss after tax of \u20ac9.9 million. However, production began only on May 8, 2025, meaning last year\u2019s figures covered less than two months of industrial operations, compared with the full six-month period in 2026.<\/p>\n Excluding the start-up losses in Lithuania, the group\u2019s currency-adjusted EBITDA amounted to \u20ac13.9 million. This was still almost 48% below the \u20ac26.6 million recorded on the same basis one year earlier. Homann therefore faced weaker profitability across its established business as well, not solely at Pagiriai.<\/p>\n The comparable net result, excluding the Lithuanian start-up burden, was a loss of \u20ac8.2 million, against a profit of \u20ac5.7 million in H1 2025.<\/p>\n Material costs rise by almost \u20ac17 million<\/strong><\/p>\n The pressure was particularly visible in Homann\u2019s input bill. Material costs increased from \u20ac106.5 million to \u20ac123.4 million, an additional \u20ac16.9 million, even though group revenue declined marginally.<\/p>\n Materials absorbed 64.7% of total output, compared with 54.3% one year earlier. The ten-percentage-point increase removed much of the operating margin generated by the company\u2019s existing plants.<\/p>\n Homann attributed the change to the full operation of the Lithuanian facility and higher prices for wood, chemicals, energy and transport. Methanol prices, which influence the cost of resins used in MDF and HDF manufacturing, increased sharply during the period. Higher diesel prices also raised outbound freight expenses by \u20ac1.5 million.<\/p>\n The group began passing more of these costs to customers during the first half, but the increases came too late to protect the six-month result. Higher board prices also prompted customers to reduce order quantities or postpone deliveries.<\/p>\n Personnel expenses increased by 5.9% to \u20ac40 million, mainly following workforce expansion in Lithuania. Depreciation and amortisation rose from \u20ac13 million to \u20ac16.5 million as the Pagiriai plant and other recent investments entered the accounts.<\/p>\n Homann decided in August to suspend production at Pagiriai for between 12 and 21 months. The shutdown is scheduled to be completed by January 1, 2027, at the latest, with a restart dependent on a sustained improvement in market conditions.<\/p>\n The company expects the measure to improve adjusted EBITDA by \u20ac5\u20136 million in the second half of 2026 compared with the first six months. The estimate shows that the suspension will reduce the losses but will not eliminate the full-year cost of the Lithuanian investment.<\/p>\n Homann received \u20ac16.3 million in public subsidies for the construction of the plant. The group currently does not expect the temporary shutdown to trigger a repayment obligation.<\/p>\n Cash position falls sharply<\/strong><\/p>\n Operating cash flow deteriorated from a positive \u20ac8.4 million to negative \u20ac14.2 million. Homann responded by postponing planned investment projects, reducing expenditure on fixed assets from \u20ac17.7 million to \u20ac9.2 million.<\/p>\n Cash and unencumbered securities fell from \u20ac61 million at the end of 2025 to \u20ac16.7 million on June 30. Available but undrawn credit lines stood at \u20ac17.8 million.<\/p>\n Group equity declined by \u20ac32.4 million over six months, from \u20ac186.3 million to \u20ac153.9 million. The equity ratio consequently fell to 26.8%. In addition to the half-year loss, negative currency-translation movements reduced the equity position.<\/p>\n Homann had \u20ac219.7 million in liabilities to financial institutions and \u20ac120 million in outstanding bonds at the reporting date. A \u20ac30 million short-term bridge facility was converted into an amortising loan running until 2031.<\/p>\n The company acknowledged that weaker earnings and higher indebtedness have increased its financing risk. It expects future borrowing to become more expensive and access to debt capital potentially more difficult, although management stated that the identified risks do not threaten the group\u2019s ability to continue operating.<\/p>\n Full-year EBITDA forecast cut to \u20ac10\u201315 million<\/strong><\/p>\n Homann now expects 2026 revenue to remain close to the 2025 level of \u20ac383.1 million. Its previous guidance had called for moderate revenue growth.<\/p>\n The forecast for currency-adjusted EBITDA has been cut to \u20ac10\u201315 million. Excluding the Lithuanian start-up losses, Homann expects adjusted EBITDA of \u20ac34\u201339 million, still well below the \u20ac54 million recorded in 2025.<\/p>\n The second half should benefit from the price increases already introduced, lower losses following the Pagiriai suspension and the postponement of non-essential investments. Yet the H1 figures show that the group\u2019s difficulties extend beyond a single new plant. Even after removing the Lithuanian losses, comparable EBITDA fell by \u20ac12.7 million and the adjusted net result moved into negative territory.<\/p>\n Homann enters the second half with stable revenue but substantially lower margins, reduced liquidity and less room for additional investment. The pace at which the company can restore profitability will depend on whether higher MDF\/HDF prices hold without causing another decline in volumes\u2014and whether the established German and Polish plants can generate enough cash while the Lithuanian facility remains idle.<\/p>","protected":false},"excerpt":{"rendered":" Homann Holzwerkstoffe recorded a sharp deterioration in earnings in the first half of 2026, despite maintaining revenue close to the previous year\u2019s level. Heavy start-up losses at its new Lithuanian plant, rising material costs and weaker demand from furniture manufacturers … Continue reading \n\n
\n \nIndicator<\/th>\n H1 2026<\/th>\n H1 2025<\/th>\n Development<\/th>\n<\/tr>\n<\/thead>\n \n Revenue<\/td>\n \u20ac194.4m<\/td>\n \u20ac195.0m<\/td>\n Volumes down, prices higher<\/td>\n<\/tr>\n \n Adjusted EBITDA<\/td>\n \u2212\u20ac1.4m<\/td>\n \u20ac22.1m<\/td>\n \u2212\u20ac23.5m<\/td>\n<\/tr>\n \n Net result<\/td>\n \u2212\u20ac29.4m<\/td>\n \u2212\u20ac2.7m<\/td>\n Loss widened by \u20ac26.7m<\/td>\n<\/tr>\n \n Pagiriai plant EBITDA<\/td>\n \u2212\u20ac15.3m<\/td>\n \u2212\u20ac4.5m<\/td>\n Production to be suspended<\/td>\n<\/tr>\n \n Material costs<\/td>\n \u20ac123.4m<\/td>\n \u20ac106.5m<\/td>\n +15.8%<\/td>\n<\/tr>\n \n Operating cash flow<\/td>\n \u2212\u20ac14.2m<\/td>\n \u20ac8.4m<\/td>\n \u2212\u20ac22.6m swing<\/td>\n<\/tr>\n \n Equity<\/td>\n \u20ac153.9m<\/td>\n \u20ac186.3m*<\/td>\n Equity ratio: 26.8%<\/td>\n<\/tr>\n \n 2026 forecast<\/td>\n \u20ac10\u201315m EBITDA<\/td>\n \u20ac54m in 2025<\/td>\n Revenue expected near \u20ac383.1m<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n