Canada's Interfornet loss widens in Q1 amid logistics constraints

Interfor

14/05/2026 22:11

Corrects typographical error in headline

Overview

Canada forest products firm's Q1 sales slightly beat analyst expectations

Adjusted EBITDA for Q1 beat analyst estimates, but declined yr/yr

Company's net loss widened, citing logistics constraints and indefinite curtailment of Ontario sawmills

Outlook

Company expects near-term North American lumber markets to remain volatile due to economic and policy factors

Company sees ongoing price fluctuations in 2026 from market curtailments, seasonal demand and logistics constraints

Near-term volatility likely to be amplified by higher U.S. duty rates and potential new trade restrictions

Result Drivers

HIGHER LUMBER PRICES - Average selling price rose C$67 per mfbm from Q4'25, supported by industry-wide production curtailments and seasonal demand

LOGISTICS CONSTRAINTS - Lumber shipments lagged production due to logistics constraints in the U.S., resulting in higher inventory volumes

SAWMILL CURTAILMENTS - Indefinite curtailment of Ontario sawmills due to weak market conditions weighed on results

Company press release: ID:nGNXLvfxZ

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Slight Beat*
C$643.20 mln
C$640.10 mln (3 Analysts)
Q1 Net Income
-C$63.30 mln
Q1 Adjusted EBITDA
Beat
C$30.70 mln
C$29.04 mln (6 Analysts)
Q1 Adjusted EBITDA Margin
4.80%
Q1 Basic EPS
-C$0.96
Q1 Net Debt
C$857.70 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

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 Corp is C$13.50, about 49.3% above its May 13 closing price of C$9.04

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.)