Exel Composites completes first strategic factory review; operations and factory role refocused in the United States targeting EUR 3.0 million in annual cost savings

EXEL COMPOSITES PLC          INSIDE INFORMATION          19 OCTOBER 2023 at 09:15 EET

Exel Composites published its new strategy on 2 October 2023 including the plans to conduct a strategic review in three factories to define their role and necessity in the new operating model.

 

The strategic review has now been completed for the first factory.

 

Exel has decided to refocus its operations and factory in the United States to manufacturing of tailored pullwinding tubes and customized pultruded composite profiles for the North American markets. This strategic transformation allows Exel to focus on attractive opportunities in composites tubes, electrical products as well as applications in the building and infrastructure sectors. Simultaneously, part of the demand for wind power products is shifting from the United States to other parts of the world. Exel will serve wind power industry customers to an increasing extent from China and from India, where Exel is building a new facility optimized for serving wind power industry customers in India and globally.  

 

To accelerate this shift Exel has optimized its factory capacity in the United States. Reorganization of the operations in the Unites States is expected to result in annual cost savings of approximately EUR 3.0 million.

 

As a consequence of these changes, Exel will record EUR 4.3 million asset write-down as an item affecting comparability in the fourth quarter 2023 result.

 

 

For further information, please contact:

Sanna Ahvenniemi, Head of Investor Relations, tel. +358 40 864 3000, [email protected]

 

Exel Composites in brief

At Exel Composites, we use over 60 years’ experience to solve challenges and help customers save resources. Our forward-thinking composite solutions made with continuous manufacturing technologies serve customers in a wide range of industries around the world. You can find our products used in applications from wind power and transportation to building and infrastructure.

 

Our collaborative approach and global footprint set us apart from our competition. We use our expertise to help customers reduce weight, improve performance and energy efficiency and decrease total lifetime costs. We want to be the first choice for sustainable composite solutions globally.

 

Headquartered in Finland, Exel Composites employs approximately 650 forward-thinking professionals around the world and is listed on Nasdaq Helsinki. To find out more about our offering and company please visit www.exelcomposites.com.

 

Exel Composites Plc