Western Forest Products Inc. reported adjusted EBITDA of $35.7 million in 3Q/2016, compared to an adjusted EBITDA of $28.7 million reported in the same quarter last year, and $43 million reported in the 2Q/2016.
A significant increase in lumber and export log sales volumes, combined with improved pricing and a strengthening commodity lumber market delivered a 24% increase in adjusted EBITDA in the 3Q/2016, as compared to the same quarter last year. A normal seasonal decline in log and lumber sales mix contributed to reduced adjusted EBITDA as compared to the 2Q/2016.
The company successfully grew revenue to $322.7 million in the 3Q/2016, as compared to $278.5 million in the same quarter last year, and $301.8 million in the 2Q/2016.
“We successfully leveraged the recent investments in our operations to drive increased production and sales volumes,” said Don Demens, president and CEO. “Greater mill utilisation has improved our ability to access logs in the open market, which is a key component of our growth strategy.”
Western is an integrated Canadian forest products company, and is the largest coastal British Columbia woodland operator and lumber producer.