Canada's Interfor Q2 sales and EBITDA beat estimates on higher lumber prices

Interfor

06/08/2026 22:13

Overview
Canada forest products firm's Q2 sales rose and beat analyst expectations
Adjusted EBITDA for Q2 beat analyst expectations, driven by higher lumber prices and lower costs
Net earnings turned positive from a loss in the prior quarter, but falls year-over year

Outlook
Company expects near-term North American lumber markets to remain volatile due to economic and policy shifts
Benchmark lumber prices rebounded in 2026, with further increases seen in July
Industry-wide curtailments, tariffs and logistics constraints expected to drive ongoing price fluctuations in 2026

Result Drivers
HIGHER LUMBER PRICES - Co said average selling price rose 11% from Q1, driven by industry-wide production curtailments and seasonal demand
INCREASED PRODUCTION - Co attributed higher output to ramp-up of rebuilt Thomaston, GA sawmill and improved operating rates after earlier curtailments
LOWER PRODUCTION COSTS - Co said unit production costs fell for third straight quarter due to productivity and portfolio optimization initiatives

Company press release: ID:nGNX1TDDqy

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Beat
C$804.40 mln
C$767.77 mln (3 Analysts)
Q2 Net Income
 
C$1 mln
 
Q2 Adjusted EBITDA
Beat
C$92.30 mln
C$57.87 mln (6 Analysts)
Q2 Adjusted EBITDA Margin
 
11.50%
 
Q2 Net Debt
 
C$816.70 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 2 "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 Interfor Corporation is C$13.50, about 0.3% above its August 5 closing price of C$13.46

Reuters Recommended Reads
Aug 5 - Canada's Acadian Timber Q2 sales fall as New Brunswick volumes decline
Aug 5 - Canada's Doman Q2 revenue rises but misses estimates
Aug 5 - Rayonier Q2 adjusted net income, EBITDA beat estimates on wood products pricing, strong southern timber volumes

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.)