MASHINIi

LENZING AG.

LEN.XETRA | Manufacture of man-made fibres

Lenzing AG is an Austrian company that manufactures wood-based cellulose fibers. These fibers are used in the textile industry for clothing, home textiles, and hygiene products. Lenzing transforms wood pulp into various types of fibers, including modal, lyocell (TENCEL™), and viscose fibers. The com...Show More

Ethical Profile

Mixed.

Lenzing AG, a cellulose fiber manufacturer, highlights TENCEL™ Lyocell fibers as hypoallergenic, using 50% less water/carbon than generic lyocell. The company sources 100% certified wood/pulp and reported no forced or child labor in 2024. Lenzing has SBTi-validated targets, achieving a 41% reduction in Scope 1, 2, and 3 emissions since 2017, with over 66% of production energy from renewables. Its fibers are certified fully biodegradable, targeting 50% post-consumer recycled content by 2025. However, 2024 saw an 11% increase in Scope 1 & 2 GHG emissions, and 32.80% of energy still relies on fossil fuels. Critics point to a 2022 environmental pollution fine (1,000 CZK) and gaps in fair trade certification data. Lenzing maintains a whistleblower system and anti-bribery directive.

Value Scores

Better Health for All0
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect0
-100100
Fair Trade & Ethical Sourcing-30
-100100
Honest & Fair Business40
-100100
Kind to Animals10
-100100
No War, No Weapons0
-100100
Planet-Friendly Business-20
-100100
Respect for Cultures & Communities50
-100100
Safe & Smart Tech10
-100100
Zero Waste & Sustainable Products-20
-100100

Better Health for All

0

Lenzing's core fiber products, used in textiles and hygiene, deliver substantial health benefits, evidenced by the EU Ecolabel for lower health impact

1
, the FKT seal "Medically tested - tested for harmful substances,"
2
and certification by Asthma-Allergy Denmark for low risk of skin allergies.
3
Tencel Lyocell fabric is noted for reducing eczema flare-ups.
4
The company has no revenue from products with established negative health outcomes. Lenzing demonstrates industry-leading risk transparency through product certifications
5
and comprehensive sustainability reporting, which adheres to GRI, EU Taxonomy, and ESRS
6
, and is externally audited by KPMG.
7
The company has very limited health-harming externalities with exemplary remediation efforts, including a solvent recovery rate of over 99.8% in lyocell production
8
, a 41% reduction in specific greenhouse gas emissions since 2017
9
, and an expected 80% reduction in wastewater emissions at its Grimsby site.
10
Lenzing supports healthcare workforce capacity by providing employees access to an in-house primary care system
11
, occupational physicians, and trained first aiders at all production sites
12
, and by supporting community health volunteers (posyandu cadres) with workshops.
13
The company also maintains excellent data practices with a "data protection & information security by design & default" approach for health-related data.
14
Lenzing's business operations do not involve pharmaceutical patents, food products, addiction potential, or clinical trials.

Fair Money & Economic Opportunity

0

Lenzing AG is a manufacturer of wood-based cellulose fibers, and its business operations do not involve offering lending, deposit, or other financial services to consumers or businesses. Consequently, all KPIs related to financial services, such as underserved client share, pricing fairness of loans, revenue from high-cost financial products, financial inclusion programs, customer financial data accessibility, fair lending compliance, wealth-building outcomes for financial product users, financial literacy programs, customer debt burden ratios, and product simplicity, are not applicable. Lenzing will use the additional cash inflow for optimizing the company’s current financing portfolio and for strengthening its financial power, for refinancing existing financial liabilities, as well as for financing new projects, such as developing and extending established business activities.

1
While Lenzing operates globally with production sites in Asia, Europe, and the Americas, these are for its fiber products, not financial service access points.
2
The company's stated 'long-term and fair pricing policy' refers to its fiber products, not financial services.
3

Fair Pay & Worker Respect

0

No specific data for LEN.XETRA regarding fair pay and worker respect metrics was found in the provided articles. Article 1 explicitly states that LEN.XETRA is not mentioned in its report

1
, and Articles 0 and 2 also do not contain relevant quantitative data for this company.
2
,
3

Fair Trade & Ethical Sourcing

-30

Lenzing reported zero substantiated forced or child labor incidents in its upstream value chain for both 2023 and 2024.

1
The company also conducted a hotspot analysis for forced and child labor.
2
For its wood suppliers, which numbered over 600 in 2024, Lenzing conducts annual assessments against FSC® Controlled Wood and PEFC Controlled Sources criteria.
3

Honest & Fair Business

40

Lenzing reported no conflicts of interest requiring disclosure, indicating that 100% of its board members are free from reported material conflicts of interest.

1
The company operates a global, online, anonymous whistleblower system established in 2017, accessible in multiple languages, with its anonymity protection certified by an independent body.
2
A Whistleblower Directive, revised in 2024, explicitly protects good-faith reporters from retaliation, and the system's effectiveness is evaluated through an Integrity Survey, with 4,510 employees participating in 2023.
3
Lenzing maintains an Anti-Bribery and Corruption Directive, aligned with the UN Convention against Corruption, which applies across the entire group and includes specific guidance on gifts and hospitality.
4
In 2024, 97% of white-collar employees, the Managing Board, and the Supervisory Board completed mandatory annual ABC Directive training.
5
The company also introduced Know-Your-Counterparty (KYC) processes in 2022 and conducts risk surveys.
6
For third-party verification, Lenzing's 2024 Sustainability Report was audited by KPMG and complies with ESRS, EU Taxonomy, and GRI guidelines.
7
Its climate targets were reviewed and confirmed by SBTi.
8
In 2024, approximately 60% of Global Procurement spend was covered by EcoVadis, Together for Sustainability, or internal audits, and 99% of wood and pulp suppliers were assessed.
9

Kind to Animals

10

Lenzing has achieved conservation targets of 20 ha in Albania

1
and 20,000 ha at its Brazilian pulp mill in 2024.
2
The company manages 93,908 hectares of plantations in Brazil,
3
with 22,980 hectares designated as protected areas.
4
It monitors approximately 200 species of flora
5
and 450 species of fauna annually.
6
Over 99% of Lenzing's wood sources are certified or controlled (FSC® and PEFC),
7
and the company supports the preservation of ancient and endangered forests,
8
avoiding procurement from primeval or endangered rainforests.
9
Lenzing's animal testing policy avoids animal tests of products or ingredients unless legally required or if no alternative exists,
10
minimizing testing by following the 3Rs principles (Replacement, Reduction, and Refinement).
11
As a manufacturer of wood-based cellulose fibers, Lenzing does not engage in animal husbandry, captive operations, or source animal products, making several animal welfare KPIs not applicable to its core business.

No War, No Weapons

0

No information regarding Lenzing AG's involvement in arms manufacturing, military contracts, dual-use technologies, sales to sanctioned regimes, peacebuilding investments, or any other defense-related activities was found in the provided articles. The articles primarily discuss financial performance, sustainability reports, and brand protection for Lenzing AG, or refer to other companies entirely.

Planet-Friendly Business

-20

Lenzing's climate targets for 2030 and 2050 are validated by the Science Based Targets initiative (SBTi) and aligned with a 1.5°C pathway

1
, aiming for a 42% reduction in Scope 1 & 2
2
and 25% in Scope 3 by 2030
3
, and a 90% reduction across all scopes by 2050
4
. In 2024, 67.20% of total energy consumption was sourced from renewable sources
5
. Water intensity in 2024 was 5,076 m³ per EUR 1 million revenue
6
, and 1.05% of water withdrawal was from water-stressed basins
7
. The company diverted 78.76% of its total waste from disposal in 2024
8
and reported no environmental non-compliance cases
9
. Lenzing has a robust zero-deforestation policy, with all wood/pulp suppliers assessed and certified according to FSC® or PEFC standards
10
. TCFD disclosures include climate scenario analysis performed in 2020 and 2024, covering 1.5°C, 2°C, and 3°C+ pathways
11
, along with climate risks and opportunities
12
.

Respect for Cultures & Communities

50

Lenzing AG demonstrates a high proportion of local procurement for its primary raw material. In 2021, 95.3% of the wood supply for its Lenzing site was regional

1
, and 100% of the wood supply for its Paskov site has been regional since 2019.
2
Over 99% of all wood and dissolving wood pulp used by the company is FSC® or PEFC certified or inspected to these standards.
3

Safe & Smart Tech

10

Lenzing has successfully averted cyber-attacks and rapidly mitigated zero-day incidents, indicating no documented data breaches in the past three years.

1
The company also reports no documented incidents of unauthorized data use, supported by technical and organizational preventative measures.
2
Lenzing provides comprehensive security training, including regular awareness initiatives, e-learning for all IT users, and tailored training for specific staff, which has led to over 400 reports of potential threats in 2023
3
and over 230 in 2022.
4
The company has implemented a vulnerability management process, resulting in increased vulnerability closure and visibility.
5
and performs annual penetration tests.
6
Lenzing conducts annual penetration tests and uses external security scorecards.
7

Zero Waste & Sustainable Products

-20

Lenzing AG achieved a waste diversion rate of 78.76% in 2024, diverting 129,153 tons out of 163,983 tons of total waste from disposal.

1
The company's products and materials contained 48% secondary reused or recycled components in 2024.
2
Circular design principles are embedded in Lenzing's sustainability strategy, evidenced by the development of an industry guide for fiber recyclability
3
and the REFIBRA™ technology.
4
Key waste reduction initiatives include the EU LIFE TREATS project, aiming to process 50,000 tonnes of textile waste annually by 2027,
5
and the company received the Swiss BIO TOP Award 2023 for its glacier protection fleece innovation.
6
For hazardous waste, Lenzing demonstrated strong management with an 88.08% diversion rate in 2024, diverting 29,838 tons out of 33,873 tons.
7
No waste disposal violations or citations were reported in 2024.
8
Lenzing has quantitative waste reduction targets, including increasing recycled content in viscose and lyocell fibers to a minimum of 30% from post-consumer waste by 2030
9
and innovating at least 5 alternative feedstocks by 2030.
10

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AI-generated analysis based on publicly available data. Not financial advice. Ratings are expressions of opinion derived from automated models and may contain inaccuracies. See our Risk Disclosure for full details.