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Canfor Pulp Products Inc T.CFX

Alternate Symbol(s):  CFPUF

Canfor Pulp Products Inc. is a Canada-based global supplier of pulp and paper products with operations in the central interior of British Columbia (BC). The Company operates through two segments: pulp and paper. The pulp segment includes purchase of residual fiber, and production and sale of pulp products, including Northern Bleached Softwood Kraft (NBSK) pulp and Bleached Chemi-Thermo Mechanical Pulp (BCTMP), as well as energy revenues. The paper segment includes production and sale of paper products, including bleached, unbleached, and colored paper. Its products under the solid wood category include dimension lumber, specialty lumber, and engineered wood products. It produces green energy in its lumber and pulp facilities across North America. The Company owns and operates three mills in Prince George, BC with a total capacity of about 780,000 tons of Premium Reinforcing Northern Bleached Softwood Kraft (NBSK) Pulp and 140,000 tons of kraft paper.


TSX:CFX - Post by User

Post by OmahaValueon Nov 06, 2023 11:52am
202 Views
Post# 35719517

Q3 positives

Q3 positivesOverall a challenging quarter for CFX but that was expected (Northwood down and price floor).  Some positives from Q3:

Paper machine continues to do well.  $5.0M EBITDA in Q3.  This is CFX's diamond in the rough.  It is probably worth $75M+ (65%+ of CFX's current market cap).

RB1 inspection was better than expected and management can delay the rebuild a couple years (sometime in 2025).

Management reiterated their reinvestment plan is highly flexible and will be funded by internal cash flow only.  

Q4 should be much better than Q3 but will be impacted by price lag (they need to work through the order file).

We are in a pricing environment where CFX Should be profitable.  Just need the mills to run and chips to flow.  

Kevin should buy some shares.


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