Accessibility/Mobile Features
Skip Navigation
Skip to Content
Editorial News
Business
Classified Sites

The Canadian Press - ONLINE EDITION

West Fraser Timber reports lower Q2 earnings despite increase in revenue

VANCOUVER - West Fraser Timber Co. Ltd. (TSX:WTF) has reported lower year-over-year earnings in the second quarter despite an increase in sales revenue.

The Vancouver-based softwood lumber producer says net income in the quarter was $74 million or 87 cents per share, compared with $109 million or $1.27 per share in the comparable 2013 period.

Revenue rose to $1.05 million from $900 million in the second quarter of 2013 and from $809 million in the first quarter of this year as increased shipments in its lumber operations were offset by lower prices.

Ex-items, earnings came in at $66 million or 77 cents per share in the second quarter, compared with adjusted earnings of $107 million of $1.25 per share in the year-earlier period.

The company said shipments of lumber increased sharply in the second quarter after the settlement of a 28-day strike at the Port of Vancouver in March, but that both SPF (spruce, pine, fir) and SYP (southern yellow pine) prices declined.

"As the strike-related lumber inventory backlog continues to clear and U.S. housing continues to gradually recover, lumber prices have stabilized and shown some improvement in early July," the company said in announcing its results Wednesday after markets closed. "However, we expect them to remain fairly volatile.

Meanwhile, log costs are expected to trend higher in B.C. as competition for purchased wood increases but lumber productivity and cost reductions throughout the company's sawmills are expected to continue to improve over the next few quarters, it said.

On the Toronto Stock Exchange, shares in West Fraser Timber closed up 99 cents or 1.97 per cent at $51.29 on Wednesday.

  • Rate this Rate This Star Icon
  • This article has not yet been rated.
  • We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high. If you thought it was well written, do the same. If it doesn’t meet your standards, mark it accordingly.

    You can also register and/or login to the site and join the conversation by leaving a comment.

    Rate it yourself by rolling over the stars and clicking when you reach your desired rating. We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high.

Sort by: Newest to Oldest | Oldest to Newest | Most Popular 0 Commentscomment icon

You can comment on most stories on brandonsun.com. You can also agree or disagree with other comments. All you need to do is register and/or login and you can join the conversation and give your feedback.

There are no comments at the moment. Be the first to post a comment below.

Post Your Commentcomment icon

Comment
  • You have characters left

The Brandon Sun does not necessarily endorse any of the views posted. Comments are moderated before publication. By submitting your comment, you agree to our Terms and Conditions. New to commenting? Check out our Frequently Asked Questions.

letters

Make text: Larger | Smaller

Brandon Sun Business Directory
The First World War at 100
Why Not Minot?
Welcome to Winnipeg

Social Media

Canadian Mortgage Rates