Western Forest Products Inc. announced improved Q4 and fiscal 2024 results compared to the same period last year. Adjusted EBITDA was $14.4 million in the Q4 2024, as compared to negative $1.2 million in the Q4 2023, and negative EBITDA of $10.7 million in the Q3 2024. Adjusted EBITDA was $8.9 million for fiscal 2024, as compared to negative $29.9 million in fiscal 2023.
Net loss was $1.2 million in the Q4 2024, as compared to a net loss of $14.3 million in the Q4 2023, and a net loss of $19.6 million in the Q3 2024.
“Despite challenging markets, we were successful in returning our business to positive EBITDA in 2024,” said Steven Hofer, President and CEO of Western Forest Products. “Over the last year, we also demonstrated success in executing on our strategic priorities to support repositioning our business and balance sheet, providing for a strong foundation to continue to build on in 2025.”
Market Outlook
Demand and pricing for our North American Cedar product lines are expected to improve in the Q1 2025, with most of our business already booked with major distributors. The overall North American cedar market is expected to experience shortages in most products in the Q2 2025 which is expected to lead to further price increases.
In Japan, consumption is expected to remain moderate as housing starts and overall construction activities are low. Pricing continues to remain more challenged due to a weaker Japanese yen to USD exchange rate.
Demand for its Industrial lumber products have been strong and is expected to continue to gain momentum in the Q1 2025, with decreased supply across all species. For commodity lumber, North American demand and pricing in the Q1 2025 is anticipated to benefit from industry-wide curtailments experienced late in 2024. In China, despite a continued slowdown in housing and real estate, softwood lumber markets are performing above expectations. Inventories are low and prices have risen as a result. Going forward, volatility is expected as the incremental US tariff threat may impact exports to the US and result in lower demand for lumber.
Western Forest Products Inc. is a premier supplier of high-value, specialty forest products to worldwide markets. Western has a lumber capacity of 780 million board feet from six sawmills, as well as operates four remanufacturing facilities and two glulam manufacturing facilities.
