Domtar Corporation reported net earnings of $4 million for the 1Q 2016, compared to net earnings of $57 million for the 4Q 2015 and net earnings of $36 million for the 1Q 2015. Sales for the 1Q 2016 were $1.3 billion.

Tissue Paper

Domtar 1Q net earnings down to $4 million

Apr 29, 2016. /Lesprom Network/. Domtar Corporation reported net earnings of $4 million for the 1Q 2016, compared to net earnings of $57 million for the 4Q 2015 and net earnings of $36 million for the 1Q 2015. Sales for the 1Q 2016 were $1.3 billion, as the company said in the press release received by Lesprom Network.

Operating income was $41 million in the 1Q 2016, compared to an operating income of $115 million in the 4Q 2015. Depreciation and amortization totaled $89 million in the 1Q 2016.

“Although our teams were very agile and executed well on things under our control, our results in pulp and paper were negatively impacted by unexpected costs during the extended maintenance outages,” said John D. Williams, President and CEO. “Given the timing of maintenance activity and costs related to the fluff pulp conversion, our first half results are expected to remain subdued before significantly improving in the second half as the benefits from the Ashdown conversion, lower maintenance and higher prices accrue.”

Domtar is a leading provider of a wide variety of fiber-based products including communication, specialty and packaging papers, market pulp and absorbent hygiene products.