Western Forest Products Faces Financial and Operational Challenges in Q2 2025

Western Forest Prod ( (TSE:WEF) ) has provided an announcement.

Western Forest Products Inc. reported a challenging second quarter of 2025, with an adjusted EBITDA of $0.5 million, significantly down from $9.4 million in the same period last year, primarily due to a $3.6 million inventory provision expense. The company faced a net loss of $17.4 million, compared to a net loss of $5.7 million in the previous year, amid declining lumber prices and operational challenges, including a fire at the Columbia Vista Sawmill and a strike at the La-kwa sa muqw Forestry Limited Partnership. Western is focusing on transitioning to higher-value products by advancing construction of continuous dry kilns, although some projects have been deferred to maintain financial stability. The company is also dealing with the impact of the US Department of Commerce’s antidumping rates, which could lead to significant export tax expenses.

The most recent analyst rating on (TSE:WEF) stock is a Hold with a C$15.00 price target. To see the full list of analyst forecasts on Western Forest Prod stock, see the TSE:WEF Stock Forecast page.

Spark’s Take on TSE:WEF Stock

According to Spark, TipRanks’ AI Analyst, TSE:WEF is a Neutral.

Western Forest Products has shown some financial and operational improvements, particularly in reduced debt and strategic initiatives. However, ongoing profitability issues and external challenges, such as potential tariffs and operational disruptions, weigh down the overall score. The technical analysis indicates positive momentum, yet the valuation remains a concern with a negative P/E ratio.

To see Spark’s full report on TSE:WEF stock, click here.

More about Western Forest Prod

Western Forest Products Inc. is a company in the forestry industry, primarily involved in the production and sale of lumber products. The company focuses on producing specialty lumber, including cedar, and operates in markets that are subject to fluctuations in lumber prices.

Average Trading Volume: 17,683

Technical Sentiment Signal: Sell

Current Market Cap: C$137.3M

For an in-depth examination of WEF stock, go to TipRanks’ Overview page.