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Canfor continued to make a loss in third quarter

08.11.2019 − 

At -124.0m CAD, the operating result of Canfor remained in the red in the third quarter. According to the business report published on 24 October, the net result turned out to be negative again for the fourth successive quarter at -48.6 (+169.8m CAD). This amounts to a cumulated net loss of 240m CAD for the past twelve months.

According to corporate information, the losses reflect the continuing difficult conditions for procuring roundwood, particularly in British Columbia, lower sawnwood prices, and the surplus in supply on the sawn softwood markets. The result was further impaired by additional costs incurred by stoppages in the sawmilling sector and the burdens imposed by punitive tariffs on sawnwood deliveries to the USA.

The sawnwood sales opportunities varied from one region to another. Whereas domestic demand in Canada was at a satisfactory level, the rather poor construction figures in the USA led to restraint in purchasing behaviour. Business activity in China also failed to meet the expectations in the third quarter. The sales markets in Europe, too, were negatively affected by a generally high supply and by weak input from the overseas markets.


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