VANCOUVER — Canfor Corp. saw its net income drop by almost 60 per centin the third quarter of 2022, largely due to a one-time inventory writedown from softening lumber prices.

The Vancouver-based company reported $87.4 million net income attributable to shareholders in the third quarter of 2022, or 71 cents per basic and diluted share, down from $210 million the same quarter last year, or $1.68 per share.

Revenues for the three months ended Sept. 30were $1.67 billion, barely changed from $1.68 billion a year earlier.

The company says the decline in income largely reflects a decline in lumber segment earnings, slightly offset by improved pulp and paper segment results.

Canfor says for the three and nine months ended September 30, 2022, an $89.6 million inventory writedown expense was recognized for the lumber segment.

Canfor Pulp Products Inc. saw sales go up to $308.3 million in the quarter, up from $298.9 million a year earlier, while net income was $16.3 million, up from $12.1 million.

This report by The Canadian Press was first published Oct. 27, 2022.

Companies in this story: (TSX:CFP)

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