Conifex Timber Inc. (CFXTF) Q3 2023 Earnings Call Transcript

Conifex Timber Inc. (OTCPK:CFXTF) Q3 2023 Results Conference Call November 7, 2023 5:00 PM ET

Company Participants

Ken Shields – CEO and Chairman

Trevor Pruden – CFO

Andrew McLellan – President

Conference Call Participants

Hamir Patel – CIBC Capital Markets

Operator

Good afternoon, ladies and gentlemen. Welcome to the Conifex Timber Inc. Third Quarter 2023 Results Conference Call.

I would now like to turn the meeting over to Mr. Ken Shields, the Chief Executive Officer and Chairman of the company. Please go ahead.

Ken Shields

Well, thank you, Rebecca, and good afternoon, everyone, and welcome to our call covering our third quarter 2023 results. Here with me, I have our CFO, Trevor Pruden; and our President, Andrew McLellan. And we’re going to hear from both of them very shortly after I go through some brief opening remarks.

First, quickly dealing with a housekeeping item. We will be making forward-looking statements and references to non-IFRS measures, and therefore, call your attention to the warning statements set out on Pages 1 and 2 of the MD&A dated November 7 that we released a short while ago.

Turning to our results. In the third quarter, we reported negative EBITDA of $6.7 million, which was similar to what we reported in Q1, but represented an improvement of around $2 million from what we reported for the second quarter. On our previous call, we indicated that we expected improved lumber mill net sales realizations, and that would lead to improved results in Q3. Although we caution that Q3 was expected to have negative EBITDA.

Our Q3 results were favorably impacted by $1.7 million in recoveries of duty deposit overpayment. But this recovery was more than offset by a $2.4 million inventory write-down that was taken in response to the lower lumber prices that came into effect as we

Read the full article here