VANCOUVER — West Fraser Timber Co. Ltd. beat expectations as it earned $48 million in its latest quarter despite lower revenues.
The Vancouver-based forest products producer says it earned 70 cents per share for the three months ended June 30, compared with a loss of $58 million or 92 cents per share in the second quarter of 2019.
Adjusted profits increased to $79 million or $1.13 per share, from $28 million or 42 cents a year earlier.
Revenues decreased three per cent to $1.28 billion from $1.32 billion in the prior year's quarter.
West Fraser was expected to report 19 cents per share in adjusted earnings on $1.15 billion of revenues, according to financial markets data firm Refinitiv.
The company says it adjusted operations starting in March to address COVID-19 which led to a reduction in production of lumber and pulp. Yet, as the quarter progressed, demand for lumber and plywood was more resilient than expected, resulting in increased pricing.
This report by The Canadian Press was first published July 28, 2020.
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