Tuesday, September 21, 2021
HomeBusinessSurging lumber prices boost Canfor Q2 profits and revenues to record highs

Surging lumber prices boost Canfor Q2 profits and revenues to record highs

VANCOUVER – Canfor Corp. is reporting a big year-over-year enhance in internet earnings in its newest quarter as surging lumber costs helped its revenues to greater than double to a document excessive.

The Vancouver-based firm says it earned a document $726.9 million or $5.81 per share in its second quarter.

That’s up from $60.7 million or 48 cents per share a yr earlier and $427.8 million or $3.42 per share within the first quarter.

Adjusted revenue development was equally robust, rising to $721.2 million or $5.76 per share, from $68.9 million or 55 cents per share within the second quarter of 2020 and $434.2 million or $3.47 per share within the prior quarter.

Revenues for the three months ended June 30 reached practically $2.5 billion, up from $1.12 billion within the prior yr and $1.94 billion within the first quarter.

Canfor was anticipated to report $5.27 per share in adjusted earnings on $2.28 billion of revenues, in line with monetary knowledge agency Refinitiv.

“International lumber market circumstances remained very robust within the second quarter of 2021, as tight provide coupled with vital demand drove international benchmark lumber costs to new unprecedented highs,” says the corporate.

“This document pricing, mixed with reasonably greater cargo volumes, considerably outweighed the impression of modestly greater log prices in Western Canada.”

Nonetheless, it says market fundamentals ought to be more difficult within the third quarter due to a pointy correction in benchmark lumber costs throughout North America in latest weeks, decreased shopper spending on repairs and moderation in new residence development.

This report by The Canadian Press was first printed July 30, 2021.

Firms on this story: (TSX:CFP)



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