West Fraser Timber loss widened to $14 million in 2Q 2007
Jul 27, 2007. West Fraser Timber Co. Ltd. reported on July 26, 2007 a second quarter loss of $14 million compared to earnings of $104 million in the second quarter of last year.
Jul 27, 2007. /Lesprom Network/. West Fraser Timber Co. Ltd. reported on July 26, 2007 a second quarter loss of $14 million or $0.33 per share on sales of $948 million compared to a loss of $5 million or $0.12 per share on sales of $759 million in the first quarter of 2007 and earnings of $104 million or $2.41 per share on sales of $888 million in the second quarter of last year. For the first half of 2007, West Fraser recorded a loss of $19 million or $0.45 per share on sales of $1,707 million. This compares to earnings of $110 million or $2.55 per share on sales of $1.8 billion for the first half of 2006.
EBITDA was $28 million or 3% of sales for the second quarter compared to EBITDA of $87 million or 10% of sales for the comparable period last year. For the first quarter of 2007, EBITDA was $41 million or 5% of sales.
Outlook
West Fraser is expecting difficult market conditions to continue, especially for building products. The strength of the Canadian dollar will continue to negatively impact the company’s results.
West Fraser is an integrated forest products company producing lumber, LVL, MDF, plywood, pulp, linerboard, kraft paper and newsprint. The company has approximately 9 300 employees and operations in British Columbia, Alberta and the southern United States.