For the 1Q 2016, Acadian Timber Corp. generated net sales of C$21.4 million ($16.5 million), a 13% decrease year-over-year, as an earlier start to mud season and weaker softwood markets in Maine led to a 13% decrease in log sales volumes.
Adjusted EBITDA for the 1Q was C$7 million ($5.4 million), down C$1.7 million ($1.3 million) from the comparable period in 2015 primarily due to lower sales volumes.
Adjusted EBITDA margin of 33% in the 1Q 2016 was slightly lower than the same period in 2015 with the benefit of improved overall average pricing offset by increased costs due to longer average haul distances for hardwood.
“Acadian continues to benefit from strong hardwood markets and high operating rates among our softwood sawmilling customers supported by the steady recovery in the US housing market”, commented Mark Bishop, CEO of Acadian. “Our business continues to perform well with key market trends that remain supportive”.
Acadian Timber Corp. is a leading supplier of primary forest products in Eastern Canada and the Northeastern U.S. With a total of 2.4 million acres of land under management, Acadian is the second largest timberland operator in New Brunswick and Maine.
