Cascades reports Q4 loss in 2018 year-end results
By P&PC Staff
By P&PC Staff
February 28, 2019 – Cascades Inc. has reported its financial results for the fourth quarter and year-end 2018, citing an operating loss in Q4.
The company also simultaneously announced the closure of two of its tissue machines in Ontario.
As reported (including specific items) in Q4 2018, Cascades saw an operating loss of $33 million (compared to operating income of $78 million in Q3 2018, a change of 142 per cent, and $45 million in Q4 2017, a change of 173 per cent.
Net loss per share was $0.69 (compared to net earnings of $0.38 in Q3 2018 and net earnings of $0.60 in Q4 2017).
Sales were up, at $1,196 million in Q4 2018 (compared to $1,175 million in Q3 2018 and $1,082 million in Q4 2017.
Cascades to close two tissue machines in Ontario
For year-end 2018, the company reported sales of $4,649 million (compared to $4,321 million in 2017). As-reported operating income was $230 million (compared to $175 million in 2017, and net earnings per share were $0.62 (compared to net earnings of $5.35 in 2017).
“Containerboard Packaging results point to continued solid fundamentals in the fourth quarter, with sequential performance reflecting customary seasonal changes in sales mix and volumes in the last three months of the year, in addition to scheduled downtime for maintenance and to complete capital projects,” said Mario Plourde, president and chief executive officer of Cascades, in a conference call.
“As previously disclosed, fourth-quarter performance of the Tissue operations were well below expectations. The results of this segment were negatively impacted by the continued challenging industry and operational conditions, in addition to several non-recurring events that led to higher logistics costs within the platform and higher gas costs for operations on the West Coast.”
Read the full Cascades financial report.