Business
Mercer International Inc. Reports Third Quarter and First Nine Months of 2023 Results and Announces Quarterly Cash Dividend of $0.075
Selected Highlights Third quarter Operating EBITDA* of $37.5 million and net loss of $26.0 millionContinued strong growth and integration of our mass timber
About this update from Mercer International Inc.
[{"type":"text","content":"Selected Highlights Third quarter Operating EBITDA* of $37.5 million and net loss of $26.0 millionContinued strong growth and integration of our mass timber businessEnhanced liquidity by completing $200 million 2028 senior note issue and expanding availability under German revolving credit facility by €70 millionQuarterly cash dividend of $0.075 per share NEW YORK, Nov. 02, 2023 (GLOBE NEWSWIRE) -- Mercer International Inc. (Nasdaq: MERC) today reported that Operating EBITDA in the third quarter was $37.5 million compared to $140.9 million in the same quarter of 2022 and improved from negative $68.7 million in the prior quarter of 2023. In the third quarter of 2023, net loss was $26.0 million (or $0.39 per share) compared to net income of $66.7 million (or $1.01 per basic share and $1.00 per diluted share) in the third quarter of 2022 and a net loss of $98.3 million (or $1.48 per share) in the second quarter of 2023. In the nine months ended September 30, 2023, Operating EBITDA was negative $3.7 million compared to positive $440.4 million in the same period of 2022. In the nine months ended September 30, 2023, net loss was $154.8 million (or $2.33 per share) compared to net income of $227.0 million (or $3.43 per basic share and $3.41 per diluted share) in the same period of 2022. Mr. Juan Carlos Bueno, the Chief Executive Officer, stated: “Our third quarter results were significantly better than the second quarter due to lower fiber and other production costs as inflationary pressures eased. Fiber costs for all our mills decreased in the third quarter from the prior quarter driven by the availability of calamity wood in Germany, our renegotiation of fiber costs for Celgar and the ramp up of our wood room at the Peace River mill. During the third quarter of this year, we continued to be negatively impacted by the overall weakness in the pulp and lumber markets. Pulp prices in China showed modest signs of recovery as customers started restocking. At the end of September, softwood pulp prices in China were $67 per tonne higher and hardwood pulp prices were $55 per tonne higher compared to the end of the second quarter. Late in the third quarter we also started to see modest price improvements in Europe and stabilization in North America. In the third quarter we had 39 days of downtime (approximately 48,400 ADMTs) at our pulp mills ...