By Stephen Nakrosis

West Fraser Timber reported an increase in sales and earnings per share on a sequential basis as the company continued to benefit from the more balanced supply and demand fundamentals seen in recent quarters.

The company reported first quarter sales of $1.46 billion and earnings per share of 46 cents, compared with sales of $1.63 billion and earnings per share of 42 cents for the same period in the prior year.

President and Chief Executive Sean McLaren said the lumber segment posted its best quarter in more than two years, even as it operates below mid-cycle economics. Those results were supported in part by mill curtailments and closures, as well as by the company's portfolio optimization strategy, McLaren said.

However, the lumber segment experienced a slower-than-expected start to the year due to transportation and weather challenges, and uncertainty related shifting tariff policies in the U.S.

West Fraser also said the global pulp market is being disrupted by the affect of U.S. tariffs on demand in Chinese markets.

"Demand uncertainty for wood building products persists more broadly given ongoing housing affordability challenges, and this has only been magnified recently by a U.S. administration that has both threatened and imposed higher lumber duties and punitive tariffs on many of the products we export from Canada to the U.S.," McLaren said.

Write to Stephen Nakrosis at stephen.nakrosis@wsj.com

(END) Dow Jones Newswires

April 22, 2025 18:56 ET (22:56 GMT)

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