{"id":100513,"date":"2026-11-04T12:51:29","date_gmt":"2026-11-04T12:51:29","guid":{"rendered":"https:\/\/www.timberindustrynews.com\/?p=100513"},"modified":"2026-11-04T21:39:48","modified_gmt":"2026-11-04T21:39:48","slug":"canfors-lumber-ebitda-falls-25-as-european-shipments-decline","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/canfors-lumber-ebitda-falls-25-as-european-shipments-decline\/","title":{"rendered":"Canfor\u2019s lumber EBITDA falls 25% as European shipments decline"},"content":{"rendered":"

Canfor expects lumber demand in North America and parts of Europe to weaken towards the end of 2026, after summer shutdowns at its European operations and lower Canadian output reduced third-quarter earnings. Higher shipments from the US South partly offset the decline, but the company said customers remained cautious and housing affordability would continue to restrict demand into 2027.<\/p>\n

The lumber business generated adjusted EBITDA of C$107.9 million, down 25.4% from C$144.7 million in the second quarter. Sales fell 17.4% to C$1.14 billion. The business nevertheless performed substantially better than a year earlier, when it recorded an adjusted EBITDA loss of C$2 million.<\/p>\n

Reported lumber operating results moved to a C$19.9 million loss from a C$41.2 million profit in the previous quarter. The latest result included a C$31.8 million impairment and C$4.6 million in restructuring costs associated with the permanent closure of the Fox Creek sawmill in Alberta.<\/p>\n

Canfor\u2019s lumber results<\/strong><\/p>\n

C$ million; parentheses indicate losses<\/p>\n

\n
<\/div>\n
\n\n\n\n\n\n\n\n\n
Measure<\/th>\nQ3 2026<\/th>\nQ2 2026<\/th>\nQ3 2025<\/th>\n<\/tr>\n<\/thead>\n
Lumber sales<\/th>\n1,141.9<\/td>\n1,382.3<\/td>\n1,095.2<\/td>\n<\/tr>\n
Lumber adjusted EBITDA<\/th>\n107.9<\/td>\n144.7<\/td>\n(2.0)<\/td>\n<\/tr>\n
Lumber reported operating result<\/th>\n(19.9)<\/td>\n41.2<\/td>\n(182.2)<\/td>\n<\/tr>\n
European operations adjusted EBITDA<\/th>\n19.8<\/td>\n36.9<\/td>\n(1.1)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n
European operations are included in the lumber segment. Adjusted EBITDA is Canfor\u2019s non-IFRS measure.<\/h6>\n

Summer downtime cuts European deliveries<\/strong><\/p>\n<\/div>\n

Four weeks of scheduled summer downtime reduced European planer production to 328 million board feet, down 21% from the second quarter. Shipments fell 22.8% to 400 million board feet, and adjusted EBITDA from European operations declined to C$19.8 million from C$36.9 million.<\/p>\n

The year-on-year comparison was stronger. European shipments rose 13.6%, helped by a full quarter of deliveries from the former AB Karl Hedin S\u00e5gverk mills acquired in late 2025. Lower log costs also supported earnings compared with a year earlier. Canfor owns 77% of Sweden\u2019s Vida.<\/p>\n

European log prices eased modestly during the quarter, helping offset higher processing costs per unit as production fell. Canfor reported slightly firmer selling prices in its European business, although a stronger Canadian dollar against the Swedish krona reduced the benefit in its reported results.<\/p>\n

In the US South, shipments increased 15% from the second quarter to 513 million board feet. Canfor attributed much of the increase to selling down inventories and improved trucking availability after earlier transport constraints. Production edged down to 486 million board feet, partly because of investment-related downtime at the Iron Mountain sawmill in Arkansas.<\/p>\n

Western Canadian shipments fell 4.4% to 371 million board feet. Production dropped 7.4% to 352 million board feet as Fox Creek wound down, with the closure completed in September. Canfor had cited weak markets, US trade charges and pressure on fibre supply when announcing the shutdown in July.<\/p>\n

Lumber shipments by operating region<\/strong><\/p>\n

Million board feet<\/p>\n

\n
<\/div>\n
\n\n\n\n\n\n\n\n\n
Region \/ product<\/th>\nQ3 2026<\/th>\nQ2 2026<\/th>\nQ3 2025<\/th>\nQ\/Q<\/th>\nY\/Y<\/th>\n<\/tr>\n<\/thead>\n
Western Canada \/ SPF<\/th>\n371<\/td>\n388<\/td>\n379<\/td>\n\u22124.4%<\/td>\n\u22122.1%<\/td>\n<\/tr>\n
US South \/ SYP<\/th>\n513<\/td>\n446<\/td>\n488<\/td>\n+15.0%<\/td>\n+5.1%<\/td>\n<\/tr>\n
Europe<\/th>\n400<\/td>\n518<\/td>\n352<\/td>\n\u221222.8%<\/td>\n+13.6%<\/td>\n<\/tr>\n
Total<\/th>\n1,284<\/td>\n1,352<\/td>\n1,219<\/td>\n\u22125.0%<\/td>\n+5.3%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n
SPF: spruce-pine-fir. SYP: southern yellow pine. Shipments include purchased lumber and certain remanufactured and engineered products; PinkWood I-joists are excluded. Q\/Q and Y\/Y changes calculated by GWMI.<\/h6>\n

Lumber benchmarks weaken as buyers keep stocks low<\/strong><\/p>\n<\/div>\n

North American lumber prices weakened during the quarter, although product mix helped Canfor achieve higher average selling prices across its operating regions. Wider-width products performed better than several of the commonly quoted benchmarks.<\/p>\n

Western SPF 2x4 averaged US$487 per thousand board feet, almost unchanged from the second quarter, but ended September at US$460 after reaching US$516 in July. Southern yellow pine 2x4 averaged US$495, down 4.3%, while the 2x6 benchmark fell 9.2% to US$415. Both SYP benchmarks remained more than 30% above their year-earlier averages.<\/p>\n

North American lumber benchmarks<\/strong><\/p>\n

Quarterly averages, US$ per thousand board feet<\/p>\n

\n
<\/div>\n
\n\n\n\n\n\n\n\n
Benchmark<\/th>\nQ3 2026<\/th>\nQ2 2026<\/th>\nQ3 2025<\/th>\nQ\/Q<\/th>\nY\/Y<\/th>\n<\/tr>\n<\/thead>\n
Western SPF 2x4 #2 & better<\/th>\n487<\/td>\n488<\/td>\n477<\/td>\n\u22120.2%<\/td>\n+2.1%<\/td>\n<\/tr>\n
SYP Eastside 2x4 #2<\/th>\n495<\/td>\n517<\/td>\n373<\/td>\n\u22124.3%<\/td>\n+32.7%<\/td>\n<\/tr>\n
SYP Eastside 2x6 #2<\/th>\n415<\/td>\n457<\/td>\n315<\/td>\n\u22129.2%<\/td>\n+31.7%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n

\n<\/div>\n

US housing starts averaged an annualised 1.293 million units during the quarter, down about 4% from the previous three months, according to the figures cited by Canfor. High mortgage rates and weak affordability continued to limit construction demand, while repair and remodelling activity was broadly steady. Buyers kept inventories low.<\/p>\n

\n

Lower US duties offer some relief<\/strong><\/p>\n

For the fourth quarter, Canfor expects seasonal construction weakness and softer underlying demand to weigh on North American prices. Lower US duty deposit rates should provide some relief for its Canadian exports: the company\u2019s combined anti-dumping and countervailing cash deposit rate fell to 31.11% in mid-October from 47.59%. The separate 10% Section 232 tariff remains an additional charge.<\/p>\n

The reduction in the current deposit rate will also coincide with a C$45.9 million accounting charge in the fourth quarter, following the finalisation of duties covering 2024. That charge relates to an earlier review period and does not reverse the reduction in the rate applied to current shipments.<\/p>\n

In Europe, Canfor expects pricing pressure in the UK to continue and spread into Central Europe. Northern European markets and the Middle East and North Africa are expected to remain relatively stable. During the third quarter, weak UK construction and plentiful supply weighed on prices, while Northern Europe benefited from better demand and favourable weather.<\/p>\n

Japan offered a mixed picture: prices were broadly stable, but softwood lumber imports declined as demand weakened and buyers continued shifting towards domestic species. Canfor expects some improvement in Japanese demand and pricing as delayed projects proceed in the fourth quarter. It forecasts continued weak demand in China because of the property and residential construction downturn.<\/p>\n

Engineered wood expands as mill closures continue<\/strong><\/p>\n

Canfor also expanded its engineered wood business with the July acquisition of Calgary-based PinkWood. The operation shipped 5.5 million linear feet of I-joists in the quarter; these volumes are excluded from its lumber shipment figures. Investment continued at Iron Mountain and across the company\u2019s existing mills.<\/p>\n

At group level, Canfor reported a shareholder net loss of C$88.2 million on sales of C$1.285 billion. Adjusted EBITDA was C$98.1 million, compared with C$119.6 million in the second quarter. Pulp and paper returned to positive adjusted EBITDA of C$1.5 million, but the Northwood pulp mill in British Columbia is still scheduled to close by the end of 2026.<\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"

Canfor expects lumber demand in North America and parts of Europe to weaken towards the end of 2026, after summer shutdowns at its European operations and lower Canadian output reduced third-quarter earnings. Higher shipments from the US South partly offset … Continue reading →<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":100514,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"Default","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[5204],"tags":[],"class_list":["post-100513","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-news"],"acf":[],"yoast_head":"\nCanfor\u2019s lumber EBITDA falls 25% as European shipments decline - Timber Industry News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.timberindustrynews.com\/ro\/canfors-lumber-ebitda-falls-25-as-european-shipments-decline\/\" \/>\n<meta property=\"og:locale\" content=\"ro_RO\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Canfor\u2019s lumber EBITDA falls 25% as European shipments decline - Timber Industry News\" \/>\n<meta property=\"og:description\" content=\"Canfor expects lumber demand in North America and parts of Europe to weaken towards the end of 2026, after summer shutdowns at its European operations and lower Canadian output reduced third-quarter earnings. 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