VANCOUVER, BC — International Forest Products Ltd. (Interfor) reported a net loss of $6.5 million in the fourth quarter of 2011. Included in the company's accounts in the quarter was the effect of unrecognized tax assets of $3.9 million. The company said excluding the tax allowance and other one-time items, Interfor recorded a net loss of $2.5 million, compared to a net loss of $0.5 million in the immediately preceding quarter, and net earnings of $0.5 million in the fourth quarter of 2010.
Sales revenue in the fourth quarter was $190.0 million, down $10.2 million or 5 percent compared to the third quarter, reflecting lower sales volumes and market prices. EBITDA for the quarter was $8.0 million.
According to Interfor, lumber production in the fourth quarter was 294 million board feet, down 6 percent from the previous quarter. The company reports production rates were adjusted downwards due to log supply issues in the Pacific Northwest and for maintenance at the Hammond and Acorn mills on the BC Coast. Sales volumes, including wholesale activities, fell by 18 million board feet to 318 million board feet versus 336 million board feet in the third quarter. Interfor said it expects to maintain operating rates at current levels or above for the next few quarters.
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