Conifex Timber Inc. reported results for the 1Q ended March 31, 2016. Adjusted EBITDA in the 1Q 2016 was $6.8 million, compared to $7.3 million in the 4Q 2015 and $5.7 million in the 1Q 2015, as the company said in the press release received by Lesprom Network.
In the 1Q 2016, adjusted EBITDA was negatively affected by a foreign exchange translation loss of $1.1 million compared to foreign exchange translation gains of $0.4 million in the previous quarter and $1.9 million in the 1Q 2015.
In the 1Q 2016, Conifex Timber recorded a net gain on sale of assets of approximately $29 million resulting from the conversion of a $30 million payment-in-kind note.
Net income for the 1Q 2016 was $28.5 million, or $1.35 per basic and $1.24 per diluted share, compared to net loss of $0.3 million or $0.01 per share in the previous quarter and net income of $1.6 million or $0.08 per basic and diluted share in the 1Q 2015.
Revenues totalling $99.5 million in the 1Q 2016 were generally consistent with the previous quarter and an improvement of 17% over the same quarter last year. The revenue growth over the 1Q 2015 was attributable to an 8% increase in lumber segment revenues and the contribution from electricity sales which commenced in May 2015.
Operating income improved to $3 million compared to $1.6 million in the previous quarter and $1.1 million in the same quarter last year. The bioenergy segment contributed operating earnings of $2.6 million in the current quarter and $2.4 million in the previous quarter.
Conifex and its subsidiaries' primary business currently includes timber harvesting, reforestation, forest management, sawmilling logs into lumber and wood chips, and value added lumber finishing and distribution.
