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Interfor Corporation (TSE:IFP)
TSX:IFP
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Interfor (IFP) AI Stock Analysis

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TSE:IFP

Interfor

(TSX:IFP)

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Neutral 45 (OpenAI - 4o)
Rating:45Neutral
Price Target:
C$7.50
▼(-4.94% Downside)
Interfor's overall stock score is primarily impacted by its challenging financial performance and bearish technical indicators. The negative P/E ratio and lack of dividend yield further weigh on its valuation. Although the earnings call highlighted some strategic financial management, significant challenges remain, including increased U.S. duties and lumber price weakness.
Positive Factors
Sustainable Forestry Practices
Sustainable forestry practices ensure long-term resource availability and appeal to environmentally conscious customers, supporting brand strength.
Financial Flexibility
The equity raise enhances liquidity and financial flexibility, allowing Interfor to navigate market challenges and invest in strategic opportunities.
Cash Flow Growth
Strong cash flow growth provides a buffer against market volatility and supports potential reinvestment in growth initiatives.
Negative Factors
Increased U.S. Duties
Higher U.S. duties significantly impact profitability and competitiveness in a key export market, challenging revenue and margin sustainability.
Lumber Price Weakness
Weak lumber prices reduce revenue and profit margins, pressuring financial performance and necessitating strategic cost management.
Production Curtailments
Production cuts reflect demand challenges and can lead to revenue declines, affecting operational efficiency and market share.

Interfor (IFP) vs. iShares MSCI Canada ETF (EWC)

Interfor Business Overview & Revenue Model

Company DescriptionInterfor Corporation, together with its subsidiaries, produces and sells wood products in Canada, the United States, Japan, China, Taiwan, and internationally. The company offers lumber products for decking, fascia and trims, framings, furniture, industrial packaging, Japan Zairai, millworks, paneling, sidings, trusses, and windows and doors. It also provides logs, wood chips, and other residuals. The company was formerly known as International Forest Products Limited and changed its name to Interfor Corporation in May 2014. Interfor Corporation was incorporated in 1963 and is headquartered in Burnaby, Canada.
How the Company Makes MoneyInterfor generates revenue primarily through the sale of lumber and engineered wood products, which are sold to various sectors including residential, commercial, and industrial markets. The company capitalizes on fluctuations in lumber prices and demand, which can significantly impact its earnings. Key revenue streams include sales from its sawmills, value-added products, and exports to international markets. Interfor also benefits from strategic partnerships with suppliers and distributors, enhancing its market reach and efficiency. Additionally, the company's focus on sustainable forestry practices and operational efficiency helps to reduce costs and improve profit margins, contributing to its overall financial performance.

Interfor Earnings Call Summary

Earnings Call Date:Nov 06, 2025
(Q3-2025)
|
Next Earnings Date:Feb 05, 2026
Earnings Call Sentiment Negative
The earnings call highlighted Interfor's strategic financial management and cost discipline but was overshadowed by significant challenges, including increased U.S. duties, substantial lumber price weakness, and production curtailments leading to an EBITDA loss.
Q3-2025 Updates
Positive Updates
Equity Raise and Financial Flexibility
Interfor completed a bought deal equity offering generating $144 million of gross proceeds, increasing financial flexibility with financial leverage at 35.2% and available liquidity of $386 million.
Cost Discipline and Top Quartile EBITDA Margins
Interfor maintained top quartile EBITDA margins and focused on cost discipline, optimizing their portfolio for operations that support industry-leading margins.
Negative Updates
Significant Lumber Price Weakness
Interfor experienced significant lumber price weakness, particularly in Southern Yellow Pine, with a benchmark composite average price fall of nearly 20% quarter-over-quarter.
Increased U.S. Duties on Canadian Lumber
The U.S. increased the combined rate of antidumping and countervailing duties on Canadian lumber shipments from 14.4% to over 35%, impacting about 25% of Interfor’s total lumber shipments.
Adjusted EBITDA Loss
Interfor reported an adjusted EBITDA loss of $36 million, excluding noncash duty-related adjustments, with a total revenue drop of 12% quarter-over-quarter.
Production Curtailments and Revenue Decline
Interfor announced reductions of approximately 250 million board feet of lumber for Q4, representing about 26% compared to Q2 volumes, contributing to a 12% revenue drop.
Company Guidance
During the Interfor analyst conference call for Q3 of Fiscal Year 2025, the company provided guidance on several key metrics amidst a challenging market environment. The company announced a reduction of approximately 250 million board feet of lumber for Q4, representing about 26% compared to Q2 volumes, as a response to the persistently weak price environment caused by economic uncertainty and housing affordability concerns. Interfor reported an adjusted EBITDA loss of $36 million, excluding non-cash duty-related adjustments, on total revenue of $689 million, reflecting a 12% quarter-over-quarter revenue drop. This was driven by a 6% increase in the volume of lumber shipped, a 10% decrease in the average realized lumber price, particularly in Southern Yellow Pine, and slightly weaker U.S. dollar. Production costs per unit of lumber increased by 2% quarter-over-quarter. The company also noted that the combined antidumping and countervailing duties imposed on lumber shipments from Canada rose from 14.4% to over 35%, impacting around 25% of Interfor's total lumber shipments. Despite these challenges, Interfor has strengthened its balance sheet with a recent equity raise generating $144 million of gross proceeds, resulting in financial leverage of 35.2% as measured by net debt to invested capital, and available liquidity of $386 million by the end of Q3. Looking ahead, Interfor anticipates improvements in economic indicators starting in 2026, with continued upward trends in 2027, and remains committed to aligning production with market realities in a disciplined and proactive way.

Interfor Financial Statement Overview

Summary
Interfor is facing significant financial challenges with declining revenues, negative profitability, and pressured cash flows. While the balance sheet suggests manageable debt, the overall financial health is weakened by consistent operating losses and reduced equity, posing risks to long-term stability.
Income Statement
Interfor's TTM financial performance shows significant challenges, with negative EBIT and net income indicating poor operational efficiency and profitability. Revenue has seen a downward trend from previous years, and margins are under pressure. The industry downturn is reflected in the weak gross profit margin and negative net profit margin.
Balance Sheet
Interfor's balance sheet shows moderate financial leverage with a debt-to-equity ratio suggesting manageable debt levels. However, the declining equity ratio indicates reduced asset backing, potentially increasing financial risk. The company's equity has decreased over the years, reflecting the impact of consistent losses.
Cash Flow
The cash flow statement reveals decreasing free cash flow growth, though operating cash flow remains positive, indicating some ability to generate cash from operations. However, the overall decline in free cash flow reflects the financial strain and capital expenditure commitments.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue2.96B3.02B3.32B4.58B3.29B2.18B
Gross Profit257.00M112.20M156.80M1.20B1.34B600.58M
EBITDA62.70M-62.00M-71.40M1.03B1.23B504.94M
Net Income-179.60M-304.30M-266.80M598.20M819.01M280.30M
Balance Sheet
Total Assets2.89B3.08B3.40B3.62B2.60B1.84B
Cash, Cash Equivalents and Short-Term Investments16.30M43.40M55.00M77.61M538.56M457.39M
Total Debt855.70M950.80M938.00M833.22M414.76M422.25M
Total Liabilities1.45B1.55B1.67B1.59B967.54M762.88M
Stockholders Equity1.45B1.53B1.73B2.03B1.64B1.08B
Cash Flow
Free Cash Flow113.60M70.20M-79.60M426.91M875.61M359.63M
Operating Cash Flow184.60M144.30M119.80M732.36M1.05B526.78M
Investing Cash Flow-28.60M-9.90M-189.80M-1.24B-656.49M-162.62M
Financing Cash Flow-233.50M-149.50M49.70M31.06M-316.25M86.60M

Interfor Technical Analysis

Technical Analysis Sentiment
Negative
Last Price7.89
Price Trends
50DMA
10.35
Negative
100DMA
11.62
Negative
200DMA
13.21
Negative
Market Momentum
MACD
-0.69
Negative
RSI
26.73
Positive
STOCH
35.70
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:IFP, the sentiment is Negative. The current price of 7.89 is below the 20-day moving average (MA) of 8.20, below the 50-day MA of 10.35, and below the 200-day MA of 13.21, indicating a bearish trend. The MACD of -0.69 indicates Negative momentum. The RSI at 26.73 is Positive, neither overbought nor oversold. The STOCH value of 35.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:IFP.

Interfor Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
58
Neutral
C$256.93M16.894.46%9.58%-28.86%-48.20%
48
Neutral
C$6.44B-19.34-3.61%2.17%-6.67%-168.27%
48
Neutral
$1.42B-3.09-15.06%1.76%34.61%
45
Neutral
$404.43M-11.53%-7.60%50.15%
45
Neutral
C$122.05M-5.65-12.20%2.06%-46.23%
42
Neutral
$52.21M-1.69-13.50%-23.09%46.68%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:IFP
Interfor
7.97
-11.30
-58.64%
TSE:GFP
GreenFirst Forest Products
2.32
-3.16
-57.66%
TSE:WFG
West Fraser Timber Co
83.47
-40.06
-32.43%
TSE:ADN
Acadian Timber
14.47
-1.85
-11.34%
TSE:WEF
Western Forest Prod
11.61
-2.04
-14.95%
TSE:CFP
Canfor
12.24
-4.79
-28.13%

Interfor Corporate Events

Interfor Corporation Reports Q3 2025 Financial Results
Nov 8, 2025

Interfor Corporation is a growth-oriented forest products company with operations in Canada and the United States, focusing on lumber production and offering a diverse line of products globally.

Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing
Interfor Faces Financial Challenges Amid Weak Lumber Market
Negative
Nov 6, 2025

Interfor Corporation reported a significant financial downturn in Q3 2025, with an adjusted EBITDA loss of $184 million and a net loss of $216 million, largely impacted by non-cash duty items and weak lumber market conditions. The company has implemented production curtailments to address ongoing market challenges, while also maintaining a stable financial position through strategic financial maneuvers, including a bought deal equity offering and the monetization of certain assets.

The most recent analyst rating on (TSE:IFP) stock is a Hold with a C$8.00 price target. To see the full list of analyst forecasts on Interfor stock, see the TSE:IFP Stock Forecast page.

Business Operations and Strategy
Interfor Announces Further Lumber Production Cuts Amid Weak Market Conditions
Negative
Oct 17, 2025

Interfor Corporation has announced further temporary reductions in lumber production for the fourth quarter of 2025 due to weak market conditions and economic uncertainty. The curtailments, affecting operations in British Columbia, Ontario, the US Pacific Northwest, and the US South, will reduce production by approximately 250 million board feet, or 26%, compared to the second quarter of 2025. This decision reflects Interfor’s strategy to align production with market demand, acknowledging the impact on employees, contractors, suppliers, and communities.

The most recent analyst rating on (TSE:IFP) stock is a Hold with a C$17.00 price target. To see the full list of analyst forecasts on Interfor stock, see the TSE:IFP Stock Forecast page.

Financial Disclosures
Interfor to Release Q3 Financial Results and Host Analyst Call
Neutral
Oct 6, 2025

Interfor Corporation will release its third-quarter financial results on November 6, 2025, followed by an analyst conference call on November 7, 2025. This announcement is crucial for stakeholders as it provides insights into the company’s financial performance and strategic positioning in the forest products industry.

The most recent analyst rating on (TSE:IFP) stock is a Hold with a C$17.00 price target. To see the full list of analyst forecasts on Interfor stock, see the TSE:IFP Stock Forecast page.

Private Placements and Financing
Interfor Closes $144 Million Bought Deal Offering
Positive
Oct 1, 2025

Interfor Corporation has successfully closed a $144 million bought deal offering of common shares, including the full exercise of the over-allotment option. The proceeds from this offering will be used to pay down existing debt and for general corporate purposes, potentially strengthening the company’s financial position and operational flexibility.

The most recent analyst rating on (TSE:IFP) stock is a Hold with a C$12.00 price target. To see the full list of analyst forecasts on Interfor stock, see the TSE:IFP Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Interfor Launches $125 Million Share Offering to Bolster Financial Flexibility
Neutral
Sep 25, 2025

Interfor Corporation has announced a $125 million bought deal offering of common shares, led by RBC Capital Markets and Scotiabank. The proceeds from this offering are intended to reduce existing debt and support general corporate purposes, providing the company with increased flexibility amidst current market challenges, including a significant decline in lumber prices and increased U.S. softwood lumber duties.

The most recent analyst rating on (TSE:IFP) stock is a Hold with a C$13.00 price target. To see the full list of analyst forecasts on Interfor stock, see the TSE:IFP Stock Forecast page.

Business Operations and Strategy
Interfor Announces Temporary Lumber Production Cut Amid Market Uncertainty
Negative
Sep 4, 2025

Interfor Corporation has announced a temporary reduction in lumber production by approximately 145 million board feet, or 12% of its normal capacity, from September to December 2025. This decision, affecting both Canadian and U.S. operations, is a response to weak market conditions and economic uncertainty, with the company planning to adjust production plans as needed.

The most recent analyst rating on (TSE:IFP) stock is a Hold with a C$13.00 price target. To see the full list of analyst forecasts on Interfor stock, see the TSE:IFP Stock Forecast page.

Interfor’s Earnings Call: Mixed Sentiments Amid Growth
Aug 13, 2025

Interfor’s recent earnings call presented a mixed sentiment, highlighting both positive developments and ongoing challenges. While the company showcased growth in revenue and production, it faced hurdles in lumber pricing and trade uncertainties, painting a complex picture for stakeholders.

Interfor Reports Positive Q2 2025 Earnings
Aug 9, 2025

Interfor Corporation is a growth-oriented forest products company with operations in Canada and the United States, specializing in lumber production with a capacity of approximately 4.7 billion board feet annually.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 08, 2025