Adjusted EBITDA in the 2Q 2015 benefitted from an improved lumber sales mix, led by growth in specialty product shipments, and an increase in export log shipments, but was limited due to lower commodity and Japan lumber pricing and a decline in export log pricing.
Revenue increased 16% to $289.2 million in the 2Q 2015 as compared to revenue of $248.6 million in the 1Q 2015, and decreased by 2% from revenue of $296.2 million in the 2Q 2014.
"The ability to focus our production and sales on higher-margin specialty products limited Western's exposure to the significant 2Q decline in commodity lumber pricing and weak market in Japan. Despite a challenging market environment, we achieved a record average lumber price in the quarter and reported EBITDA consistent with last quarter," said Don Demens, President and CEO. "I am pleased with the recent progress we have achieved on strategic capital projects, including the restart of our second line at Duke Point as part of that mill's ongoing modernization project. We continue to position Western for the future by implementing strategic capital in support of our strategy to sustainably harvest the complete forest profile."
Western is an integrated Canadian forest products company, and is the largest coastal British Columbia woodland operator and lumber producer.