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Acadian Timber (ADN) investor relations material
Acadian Timber Q2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Q2 2025 sales were $17.1M, down from $41.2M year-over-year, mainly due to no carbon credit sales and lower Maine timber volumes, partially offset by steady New Brunswick performance.
Net income was $2.7M ($0.15/share), compared to $7.9M ($0.46/share) in Q2 2024.
Free cash flow was $0.8M; dividends declared totaled $5.2M ($0.29/share); net liquidity at quarter-end was $15.1M.
Financial highlights
Adjusted EBITDA was $2.4M (14% margin), down from $20.6M (50% margin) in Q2 2024, mainly due to no carbon credit sales.
Timber sales and services revenue was $17.1M, down from $21.5M year-over-year; no carbon credit sales in Q2 2025 versus $19.7M in Q2 2024.
Operating costs and expenses were $15.4M, down from $32.2M, reflecting lower timber volumes and no carbon credit costs.
Payout ratio was 274% for the quarter, reflecting the seasonally weak period and no carbon credit revenue.
Outlook and guidance
Production in Maine expected to ramp up through Q3 and Q4, targeting full capacity by year-end.
Near-term sawlog demand expected to remain stable, but pricing may be challenged; pulpwood demand and pricing expected to stay at reduced levels.
Carbon credit issuance delayed to H2 2025 due to protocol transition; future credits expected to command higher prices.
US housing starts forecasted steady at 1.37M in 2025, supporting long-term demand.
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