West Fraser Reports $751 Million Q4 Loss, Western Posts Smaller Loss and Raises Liquidity

Overview

• West Fraser’s Q4 2025 sales were $1.165 billion with a net loss of $751 million, largely driven by $712 million in restructuring and impairment charges, as Adjusted EBITDA fell to negative $79 million.
• West Fraser advanced modernization by starting up its Henderson, Texas lumber mill and ramping Allendale, South Carolina OSB, announced closures or curtailments of uneconomic mills, cut cash to $202 million, declared a $0.32 dividend, and guided 2026 capex to $300–$350 million.
• Western Forest Products posted Q4 Adjusted EBITDA of negative $6.2 million and a net loss of $17.5 million, ended 2025 with $212.2 million in liquidity and 7% net debt to capitalization, and continued shifting toward higher‑value kiln‑dried products.
• Western set near‑term curtailments at Saltair (two weeks) and Ladysmith (at least two weeks) in Q1 2026, kept Chemainus curtailed for 2026, and warned of additional cuts if the LFLP strike—now in mediation—remains unresolved; it also chose not to rebuild the Columbia Vista site and began a sale process.
• The U.S. 10% Section 232 tariff on softwood imports remains in effect, the brief 25% IEEPA tariff event is under Supreme Court review as of Feb. 10, 2026, and duty finalizations contributed to 2025 charges noted by the companies.