Education
About Us
Working with TipRanks
Follow Us
KP Tissue Inc. (TSE:KPT)
TSX:KPT
Top Page
KP Tissue
(TSX:KPT)
59Neutral
KP Tissue (KPT) vs. S&P 500 (SPY)
Market Cap
C$79.85M
Dividend Yield8.97%
Average Volume (3M)12.01K
Price to Earnings (P/E)32.8
Beta (1Y)0.19
Revenue GrowthN/A
EPS GrowthN/A
CountryCA
Employees2,700
SectorConsumer Defensive
Sector Strength89
IndustryHousehold & Personal Products
Share Statistics
EPS (TTM)0.24
Shares Outstanding9,994,203
10 Day Avg. Volume14,535
30 Day Avg. Volume12,005
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.00
Price to Cash Flow (P/CF)0.00
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
C$8.50Price Target Upside5.99% Upside
Rating ConsensusHold
Number of Analyst Covering2
KP Tissue Business Overview & Revenue Model
Company DescriptionKP Tissue Inc. (KPT) is a Canadian company that focuses on managing its interest in Kruger Products L.P., a leading manufacturer and distributor of quality tissue products for both consumer and away-from-home markets. The company operates primarily in the consumer goods sector, providing a wide array of products such as bathroom tissue, facial tissue, paper towels, and napkins under popular brands like Cashmere, Purex, Scotties, and SpongeTowels.
How the Company Makes MoneyKP Tissue makes money through its equity interest in Kruger Products L.P., which generates revenue by manufacturing and distributing tissue products across North America. The company earns money by selling these products to major retailers, wholesalers, and commercial clients. Key revenue streams include sales from branded consumer products and private label offerings. Additionally, Kruger Products L.P. engages in strategic partnerships and has a robust distribution network that enhances its market reach, thereby contributing to its earnings.
KP Tissue Financial Statement Overview
Summary
KP Tissue presents a mixed financial picture. The strong balance sheet with zero debt enhances stability and contributes positively. However, challenges in profitability as indicated by the income statement and cash flow volatility offset this strength.Income Statement
The income statement shows consistent challenges with profitability, as evidenced by negative EBIT in most periods. The company managed a positive net income in TTM (Trailing-Twelve-Months) but has faced historical losses. Revenue data is missing, making margin analysis impossible.20
Very Negative
Balance Sheet
The balance sheet is strong with zero debt, reflected in a favorable debt-to-equity ratio. The equity ratio is high, indicating a stable financial structure. The company has maintained healthy stockholders' equity over the years.85
Very Positive
Cash Flow
Cash flow analysis shows variability, with operating cash flow improving in TTM (Trailing-Twelve-Months). Free cash flow was positive in the latest period, but historical fluctuations suggest potential instability in cash management. The operating cash flow to net income ratio indicates some operational efficiency.50
Neutral
| Breakdown | ||||
| Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 | Dec 2019 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | Gross Profit |
| 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | EBIT |
| 0.00 | -12.55M | -321.00K | -634.00K | -574.00K | EBITDA |
| 238.61M | 752.00K | 153.43M | 197.84M | 145.04M | Net Income Common Stockholders |
| -4.94M | -10.25M | 1.24M | -1.95M | -6.53M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | Total Assets |
| 70.61M | 81.71M | 80.72M | 71.31M | 83.03M | Total Debt |
| 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | Net Debt |
| 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | Total Liabilities |
| 2.25M | 7.68M | 4.85M | 4.99M | 5.92M | Stockholders Equity |
| 68.36M | 74.03M | 75.87M | 66.33M | 77.12M |
| Cash Flow | Free Cash Flow | |||
| 6.98M | 6.62M | 1.15M | -2.44M | -6.91M | Operating Cash Flow |
| 6.98M | 6.62M | 1.15M | -2.44M | -6.91M | Investing Cash Flow |
| 6.98M | 6.62M | 5.56M | 5.59M | 4.98M | Financing Cash Flow |
| -6.98M | -6.62M | -5.56M | -5.59M | -4.98M |
KP Tissue Technical Analysis
Positive
8.02
Price Trends
7.85
Positive
7.86
Positive
7.89
Positive
Market Momentum
0.05
Negative
55.74
Neutral
44.14
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:KPT, the sentiment is Positive. The current price of 8.02 is above the 20-day moving average (MA) of 7.92, above the 50-day MA of 7.85, and above the 200-day MA of 7.89, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 55.74 is Neutral, neither overbought nor oversold. The STOCH value of 44.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:KPT.
KP Tissue Peers Comparison
Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
64 Neutral | $9.24B | 14.61 | 4.31% | 185.59% | 3.94% | 5.78% | |
59 Neutral | C$79.85M | 32.76 | 3.53% | 8.97% | ― | ― | |
51 Neutral | $1.59B | ― | -18.83% | ― | -3.20% | -107.88% | |
49 Neutral | C$45.66M | ― | -63.11% | ― | -8.78% | -68.46% | |
48 Neutral | $705.95M | ― | -18.73% | ― | -8.81% | -13.99% |
* Consumer Defensive Sector Average
Performance Comparison
TSE:KPT
KP Tissue
8.02
0.49
6.51%
TSE:IFP
Interfor
13.62
-3.85
-22.04%
TSE:CFP
Canfor
13.16
-1.35
-9.30%
TSE:CFX
Canfor Pulp Products
0.78
-0.74
-48.68%
KP Tissue Earnings Call Summary
Earnings Call Date:Mar 05, 2025
(Q4-2024)
| % Change Since: 2.43%|
Next Earnings Date:May 14, 2025
Earnings Call Sentiment Positive
The earnings call reflected a positive outlook with record revenue and significant growth in both revenue and EBITDA for fiscal 2024. However, challenges such as a net loss in the fourth quarter, tariff exposure risks, and a decrease in consumer EBITDA margin were notable lowlights. Overall, the strong financial performance and strategic initiatives highlight a resilient and adaptable business, positioning KP Tissue well despite external challenges.Q4-2024 Updates
Positive Updates
Record Revenue in 2024
KP Tissue achieved record revenue of more than $2 billion in fiscal 2024 with strong adjusted EBITDA across all four quarters.
Fourth Quarter Revenue Growth
Revenue growth of 11.9% in Q4 2024, driven by higher sales volume in the U.S., favorable selling prices in Canada, and a positive foreign exchange impact.
Full Year Revenue and EBITDA Growth
KP Tissue reported full-year revenue growth of 9.4% and adjusted EBITDA growth of 11% in fiscal 2024.
Successful Start-up at Sherbrooke
The start-up of a new paper machine and facial tissue line at Sherbrooke exceeded production targets for the year.
Market Share in Facial Tissue
Incremental gains in the Facial Tissue category with total market share reaching 45% by the end of the year.
Marketing Achievements
Kruger Products received several industry awards for marketing excellence including Brand of the Year and a bronze FE Award.
Negative Updates
Net Loss in Fourth Quarter
Net loss of $13.7 million in Q4 2024 compared to a net income of $16.5 million in Q4 2023, attributed to higher foreign exchange losses and greater depreciation and interest expenses.
Impact of Tariff Exposure
Concerns about exposure to tariffs with approximately CAD 600-700 million of revenue at risk, leading to potential pass-through costs to customers.
Challenges in Away-From-Home Segment
A slight decrease in sales volumes year-over-year in the Away-From-Home segment, affected by challenges in paper supply and order fulfillment.
Decline in Consumer EBITDA Margin
Consumer adjusted EBITDA margin decreased to 14.1% in Q4 2024 from 14.9% in Q4 2023.
Company Guidance
During KP Tissue's Fourth Quarter 2024 Results Conference Call, the company reported strong financial performance, achieving record revenue of over $2 billion for the fiscal year and demonstrating a solid adjusted EBITDA across all quarters. In Q4 2024, the company experienced a revenue growth of 11.9% year-over-year, largely driven by a 19.7% increase in U.S. sales and a 6% rise in Canadian revenues. The adjusted EBITDA for the quarter grew by 9.2% to $66.8 million, benefiting from higher sales volumes, increased selling prices, and reduced marketing and SG&A expenses, though offset by higher pulp prices. For the full year 2024, revenue grew by 9.4%, while adjusted EBITDA increased by 11%. The company is closely monitoring the North American trade environment, with 2024 seeing pulp prices rise 32.1% for NBSK and 22.9% for BEK year-over-year. Kruger Products also reported robust operations with their Sherbrooke facility exceeding production targets and plans to evaluate a new state-of-the-art TAD paper machine. The company's strategic initiatives include a focus on their "Made in Canada" marketing campaign and rebranding their Away-From-Home segment to Kruger Pro. Despite the uncertain economic climate, KP Tissue is poised for continued sales growth in 2025, although the company refrained from providing profit guidance for Q1 2025.KP Tissue Corporate Events
DividendsBusiness Operations and Strategy
KP Tissue Declares Quarterly Dividend and Offers Reinvestment Plan
Positive
Mar 5, 2025
KP Tissue Inc. announced a quarterly dividend of $0.18 per common share, payable on April 15, 2025, to shareholders of record as of March 31, 2025. This dividend declaration aligns with a corresponding distribution by Kruger Products Inc., in which KPT holds a limited partnership interest. Additionally, KP Tissue offers a Dividend Reinvestment Plan (DRIP) for Canadian shareholders, allowing them to reinvest cash dividends into additional common shares. This announcement underscores KPT’s commitment to providing shareholder value and maintaining its strategic investment in Kruger Products, a key player in the North American tissue market.
Business Operations and StrategyFinancial Disclosures
KP Tissue Achieves Record Revenue in 2024 Amid Expansion Plans
Positive
Mar 5, 2025
KP Tissue Inc. reported record revenue exceeding $2 billion for 2024, with strong Adjusted EBITDA across all quarters, despite challenges like volatile pulp prices. The company is exploring the construction of a new manufacturing facility to enhance its market share and product offerings in North America. Additionally, KP Tissue is preparing contingency plans to address potential U.S. tariffs and is leveraging patriotic consumer sentiment in Canada through marketing campaigns.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
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.