Canfor Q3 posts net loss on lower lumber shipment volumes

Overview

• Canada forest products maker's Q3 revenue rose slightly yr/yr to C$1.28 bln

• Company posted C$88 mln net loss and C$77 mln operating loss for Q3 2026

• Adjusted EBITDA fell to C$98 mln from C$120 mln in prior qtr

Outlook

• Company expects challenging market conditions to persist through year-end, with softer lumber demand

• Canfor anticipates North American lumber markets will soften in Q4 2026 due to seasonal slowdown

• Company expects global softwood kraft pulp market to remain subdued through year-end

Result Drivers

• LOWER EUROPEAN SHIPMENTS - Co said lower lumber shipment volumes in Europe, due to regular summer downtime, weighed on results

• HIGHER PULP AND PAPER OUTPUT - Increased pulp and paper production after prior maintenance downtime supported segment results

• PAPER BUSINESS - Strong earnings from paper business contributed positively to pulp and paper segment

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 4 "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 Canfor Corporation is C$17.00, about 13.5% above its November 3 closing price of C$14.98

Reuters Recommended Reads

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• Nov 4 - Canada's Stella-Jones Q3 revenue misses estimates on asset impairment

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(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.)