The fiscal year 2019 developed very differently in the two business units of SGL Carbon. The record result in the graphite specialities business could not fully compensate for the weak development in the market segments Wind Energy, Textile Fibers and Industrial Applications in the carbon fiber business. Group sales grew by 4 percent to 1.1 billion euros. Recurring Group EBIT declined by 25 percent to 48 million euros. Due to the ongoing weakness in the market segments Textile Fibers and Industrial Applications the business unit CFM recorded a non-cash impairment loss of 75 million euros in the third quarter of 2019.With minus 90 (prior year: plus 41) million euros, consolidated Group result declined significantly compared to last year's good results. The Group confirms its guidance for 2020 published in October 2019.Group sales is expected to decline slightly compared to the prior year level, whereas Group recurring EBIT is expected to reach a result around 10 to 15 percent below the prior year level. Consolidated net result of the Group in 2020 should strongly improve compared to prior year level to a low double digit loss.
The financial development of the fiscal year 2019 conceals the fact that our strategic orientation is correct. This is evident from our growth and the increasing number of contracts and projects we acquired in our strategic core markets. Main drivers were the topics sustainable mobility and energy as well as digitization. Therefore, we expect that we can grow our consolidated revenue by a mid to high single digit percentage per year on average between 2020 and 2024, says Dr. Michael Majerus, Spokesman of the Board of Management of SGL Carbon. Growth drivers in our business unit CFM are the market segments Automotive, especially the e-mobility business, as well as aerospace. In the business unit GMS, we are benefiting from positive market developments in Semiconductors, LEDs, fuel cell components, and sustainable mobility. Based on a Group wide stronger capacity utilization and an improved product mix geared towards applications and solutions with higher margins, we expect to achieve our Group ROCE target of at least 9 to 10 percent.
In fiscal year 2019, sales of SGL Carbon increased by 3.7 percent to reach 1,086.7 million (previous year: 1,047.5 million) euros, mainly attributable to the business unit GMS. Recurring EBIT declined by 25.1 percent to 48.4 (previous year: 64.6) million euros. The weaker performance in the CFM reporting segment could not be compensated by the good performance of GMS. As a consequence, return on capital employed (ROCE) based on recurring EBIT declined from 5.4 percent in the previous year to 3.9 percent.
Non-recurring items totaling minus 82.7 million euros primarily comprise impairment losses of 74.7 million euros in the reporting segment CFM. In addition, in the previous year, the transition of the former joint venture with the BMW Group (SGL ACF) to full consolidation required an adjustment to the fair value of the net assets of the previously proportionally consolidated joint operation on the acquisition date. This resulted in a positive one-time effect in the amount of 28.4 million euros. Group earnings before interest and taxes (EBIT) after non-recurring items decreased to minus 34.3 (previous year: 80.9) million euros. The financial result decreased to minus 38.9 (previous year: minus 29.6) million euros, mainly due to the interest expenses from the corporate bond issued in April 2019 and other financial expenses resulting from the early repayment of the convertible bond 2015/2020 in July 2019. With the issuance of the new corporate bond the refinancing measures are largely completed, and the debt maturity profile of SGL Carbon has considerably improved. Group result from continuing operations before income taxes thus decreased to minus 73.2 (previous year: 51.3) million euros. The tax expense included value adjustments of 7.4 million euros to deferred tax assets in the UK and Germany. Consolidated net income amounted to minus 90.0 (previous year: 41.3) million euros.
Composites - Fibers & Materials (CFM): Sales slighty above prior year, results strongly affected by cyclical and structural declinesSales revenues in the business unit CFM slightly increased by around 2 percent (currency adjusted: unchanged) to 431.6 (previous year: 422.5) million euros. The strongest driver of this development was the market segment Wind Energy, which saw its sales multiply. However, the prior year was still impacted by the sale of the former joint venture with K mpers. Sales in the market segment Aerospace were down on the previous year as well due to the postponement of a major order invoicing to the fiscal year 2020. The market segments Industrial Applications and Textile Fibers also showed declines in sales due to cyclical and structural weaknesses. Sales in the market segment Automotive declined slightly due to significantly lower demand for one car model in the fourth quarter.
Recurring EBIT in the business unit CFM declined to minus 8.3 (previous year: 20.8.) million euros. The main causes are the deteriorations in the market segments Textile Fibers and Wind Energy. The market segment Textile Fibers was impacted by expensive raw material inventories during the first half of the year and by adverse cyclical and structural developments during the second half. The market segments Wind Energy and Automotive were not able to improve their results due to the unfavorable product mix. The earnings decline in the market segment Aerospace is due to the postponement of the invoicing of a major order. Return on capital employed (ROCE) based on recurring EBIT of the business unit CFM thus reached minus 1.3 (previous year: 3.2) percent.
Following the significant deviation from expectations for the market segments Wind Energy, Textile Fibers a
