Canfor overcomes Q3 hurdles
Canadian forest company Canfor reported third-quarter sales of $1.32 billion, compared to $1.14 billion in the same quarter last year.
Net income of $125.3 billion is up from $66.2 billion in the third quarter of 2017.
After adjusting for duties, operating income was $244.4 million for the third quarter of 2018, down $89.4 million from similarly adjusted operating income in the second quarter of 2018.
“Despite the significant operational disruptions presented by forest fires and extreme weather, our lumber business generated solid financial results, aided by the dedication and commitment of our employees and contractors who helped to mitigate the impact of the challenging operating conditions.” said Don Kayne, president and CEO.
Lumber segment earnings primarily reflected steep declines in Western Spruce/Pine/Fir (“Western SPF”) and Southern Yellow Pine (“SYP”) benchmark lumber prices, and to a lesser extent, the disruptive impacts of severe forest fires in Western Canada, and Hurricane Florence in the southern United States. All these contributed to significant cost pressures and temporary operational downtime as a result of limited log deliveries and evacuation alerts, the company said.
Net income of $125.3 billion is up from $66.2 billion in the third quarter of 2017.
After adjusting for duties, operating income was $244.4 million for the third quarter of 2018, down $89.4 million from similarly adjusted operating income in the second quarter of 2018.
“Despite the significant operational disruptions presented by forest fires and extreme weather, our lumber business generated solid financial results, aided by the dedication and commitment of our employees and contractors who helped to mitigate the impact of the challenging operating conditions.” said Don Kayne, president and CEO.
Lumber segment earnings primarily reflected steep declines in Western Spruce/Pine/Fir (“Western SPF”) and Southern Yellow Pine (“SYP”) benchmark lumber prices, and to a lesser extent, the disruptive impacts of severe forest fires in Western Canada, and Hurricane Florence in the southern United States. All these contributed to significant cost pressures and temporary operational downtime as a result of limited log deliveries and evacuation alerts, the company said.