Acadian Timber generated sales of $91 million in 2020, compared to $100 million in the prior year. Sales volume, excluding biomass, decreased 10% mostly due to lower hardwood and softwood pulpwood sales.
Operating costs and expenses were $70.2 million during 2020, compared to $77.8 million in the prior year due to lower harvesting activity and administrative costs. Weighted average variable costs, excluding biomass, were flat year-over-year.
Adjusted EBITDA for the year ended December 31, 2020 was $21.5 million, compared to $23.6 million in the prior year, while Adjusted EBITDA margin remained consistent with the prior year at 24%.
Net Income for the year ended December 31, 2020 totaled $22.1 million, or $1.32 per share, compared to net income of $17.3 million, or $1.04 per share, in 2019.
“Acadian performed well and generated solid results for the year ended December 31, 2020, despite the global pandemic, elevated regional pulpwood inventories and adverse weather events experienced throughout the year. The Company responded to these challenges while protecting margins and growing its customer base,” commented Erika Reilly, CEO. “As we look forward to the year ahead, we are encouraged by the outlook for the end use markets of our key products, and will be focused on continuing to merchandise our products to maximize value while seeking growth and further cost savings opportunities."
Acadian Timber Corp. is a leading supplier of primary forest products in Eastern Canada and the Northeastern U.S.