Canada's Acadian Timber Q2 sales fall as New Brunswick volumes decline
Canada's Acadian Timber Q2 sales fall as New Brunswick volumes decline
Overview
Canada timberland owner's Q2 revenue fell yr/yr due to lower sales volumes
Adjusted EBITDA and net income declined from prior-year period
Company expects Maine operations to improve, New Brunswick volumes to normalize
Outlook
Acadian expects Maine operations to deliver stronger results in 2026 versus last year
Company says New Brunswick harvesting levels are expected to return to normal for the rest of 2026
Demand and pricing for pulpwood expected to remain reduced until customers increase production or new facilities open
Result Drivers
LOWER SALES VOLUMES - Co said Q2 sales volumes in New Brunswick declined due to elevated customer roundwood inventories and weaker softwood pulpwood demand
MAINE OPERATIONS CHANGES - Co scaled back internal harvesting operations in Maine to improve efficiency and reduce operating costs, resulting in lower sales volumes
HIGHER SELLING PRICES - Weighted average selling price rose 19% due to stronger softwood lumber markets, higher fuel surcharges, and longer hauling distances
Company press release: ID:nGNX9cChD4
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Miss | C$14.60 mln | C$18.50 mln (1 Analyst) |
Q2 EPS | Meet | C$0.07 | C$0.07 (1 Analyst) |
Q2 Net Income |
| C$1.30 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
Wall Street's median 12-month price target for Acadian Timber Corp is C$18.25, about 3.5% above its August 4 closing price of C$17.64
The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 22 three months ago
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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
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