Canada's Atlas Engineered Products Q1 loss widens on tough weather, market conditions

Atlas Engineered Products

25/05/2026 13:14

Overview

Canada truss and engineered wood maker's Q1 revenue fell 16% yr/yr due to tough market and weather

Company posted negative adjusted EBITDA margin and bigger net loss for the quarter

Atlas secured C$4 mln government grant for robotics manufacturing plant project

Outlook

Atlas Engineered Products expects Clinton, ON robotic facility to be operational in July 2026

Atlas Engineered Products continues to evaluate acquisition opportunities across North America

Result Drivers

MARKET CONDITIONS - Revenue and gross profit declined due to challenging market conditions, especially in Ontario and British Columbia

SEVERE WINTER WEATHER - While order volumes rose, severe winter weather impacted shipping, reducing revenue

HIGHER COSTS - Increased cost of sales, including additional labour and maintenance for automation facility preparation, weighed on profitability

Company press release: ID:nCNWyqz5da

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
C$9.3 mln
Q1 Gross Margin
3%
Q1 Adjusted EBITDA Margin
-9%
Q1 Net Income
-C$1.7 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the forest & wood products peer group is "buy"

Wall Street's median 12-month price target for Atlas Engineered Products Ltd is C$1.13, about 67.9% above its May 21 closing price of C$0.67

The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 15 three months ago

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.)