Canfor’s shares jumped 10.0% as lumber pricing and volumes exceeded expectations, driven by supply constraints and operational improvements, offsetting ongoing pulp sector weakness and announced mill closures.
- Lumber adjusted EBITDA reached $145 million in Q2, a $116 million increase from Q1, supported by higher prices and leaner inventories.
- European lumber segment improved with $37 million adjusted EBITDA, reflecting better pricing, shipments, and modest log cost relief.
- North American lumber results were bolstered by cost efficiencies and strong performance in the U.S. South market.
- Pulp operations posted a $12 million adjusted EBITDA loss, impacted by weak global pulp markets and planned downtime.
- The company announced closures of the Northwood pulp mill and three sawmills, reflecting structural pulp market challenges and declining fiber supply, with associated impairment charges expected in Q3.
Community Discussion