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WFG

West Fraser Timber Co. Ltd.

WFG

West Fraser Timber Co. Ltd. • NYSE
$61.50 ▲ 0.59% (+0.36)
Market Cap $4.68 B
52w High $98.65
52w Low $57.34
Dividend Yield 1.28%
P/E -18.64
Volume 135.11K
Outstanding Shares 76.07M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $1.293B ▼ $63.29M ▼ $-201.738M ▼ -15.608% ▼ $-2.56 ▼ $17.8M ▼
Q2-2025 $1.557B ▲ $86.401M ▼ $-24.395M ▼ -1.567% ▼ $-0.31 ▼ $96.565M ▼
Q1-2025 $1.459B ▲ $414M ▼ $42M ▲ 2.879% ▲ $0.53 ▲ $203.384M ▲
Q4-2024 $1.405B ▼ $459M ▼ $-62M ▲ -4.413% ▲ $-0.78 ▲ $100M ▲
Q3-2024 $1.437B $473M $-83M -5.776% $-1.03 $34M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $545.468M ▼ $8.578B ▼ $1.961B ▲ $6.616B ▼
Q2-2025 $647.438M ▲ $8.787B ▲ $1.874B ▲ $6.912B ▼
Q1-2025 $390M ▼ $8.77B ▲ $1.831B ▲ $6.939B ▼
Q4-2024 $641M ▼ $8.76B ▼ $1.806B ▼ $6.954B ▼
Q3-2024 $997M $9.243B $2.125B $7.118B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $-201.738M ▼ $55.641M ▼ $-86.011M ▼ $-69.008M ▼ $-101.97M ▼ $-34.394M ▼
Q2-2025 $-24M ▼ $285M ▲ $-70M ▲ $32M ▲ $256M ▲ $207M ▲
Q1-2025 $41.873M ▲ $-75M ▼ $-99M ▲ $-80M ▲ $-251M ▲ $-179M ▼
Q4-2024 $-62M ▲ $173M ▲ $-144M ▼ $-365M ▼ $-356M ▼ $17M ▼
Q3-2024 $-83M $150M $-95M $-70M $-7M $43M

Five-Year Company Overview

Income Statement

Income Statement West Fraser’s results over the past several years show a classic commodity cycle. Earnings were exceptionally strong during the housing and lumber boom, then fell sharply as prices normalized and costs stayed sticky. Revenue has stepped down from the peak but remains solid, suggesting the core business is intact while profit margins are simply much thinner now. Recent years look more like “break-even to modest profit” rather than “windfall,” reflecting weaker market conditions and softer pricing. The company is still generating operating profit and cash, but with far less cushion than in the peak years, so short‑term performance is highly sensitive to lumber and panel prices as well as housing demand.

Balance Sheet

Balance Sheet The balance sheet looks conservative and resilient for a cyclical materials company. Assets and equity have grown meaningfully over time, helped by prior acquisitions, while debt has stayed relatively low. Cash levels are healthy and provide flexibility to manage through downturns. Overall, the company appears to be financed mainly with shareholders’ equity rather than heavy borrowing, which reduces financial risk and gives it more room to ride out weak markets and invest when conditions improve.

Cash Flow

Cash Flow Cash generation has been consistently positive, even as profits have come down from earlier highs. Operating cash flow swelled in the boom years and has since normalized but remains solidly positive. After funding a steady level of capital spending to maintain and upgrade mills, the business still tends to produce free cash flow, albeit at much slimmer levels in softer markets. This pattern suggests a business that can generally fund its own investments and maintain financial stability without relying heavily on new debt, provided industry conditions do not deteriorate dramatically for a prolonged period.

Competitive Edge

Competitive Edge West Fraser benefits from significant scale, a broad product lineup, and tight control over its supply chain, from forests to finished products. Being one of the largest players in lumber and engineered panels helps it keep unit costs low and service large customers reliably. Vertical integration and full use of wood residuals add further cost and margin advantages. Diversification across lumber, oriented strand board, plywood, fibreboard, and other products helps soften the impact of swings in any single market, though the company remains heavily exposed to housing, repair and remodeling cycles, and regional wood supply and regulatory risks. Its strong cost position and disciplined balance sheet provide a meaningful edge in a volatile, commodity‑driven industry.

Innovation and R&D

Innovation and R&D Innovation at West Fraser is less about flashy patents and more about continuous improvements in efficiency, sustainability, and product mix. The company has leaned heavily into renewable energy at its mills, especially biomass and selected solar projects, cutting both emissions and energy costs. Its “use every part of the log” approach turns by‑products into pulp, panels, and bioenergy, improving economics and reducing waste. The acquisition of a major oriented strand board producer expanded its engineered wood capabilities, and the company is moving further into higher‑value, lower‑emission building solutions such as formaldehyde‑free panels and products that can support mass timber construction. It is also investing in mill automation and digitalization, and exploring longer‑term opportunities in bio‑based materials, which could diversify earnings beyond traditional lumber over time.

Summary

Overall, West Fraser looks like a well‑run, cyclical wood products company that rode a historic upcycle and is now navigating a more normal, less profitable environment. Earnings have compressed sharply from prior peaks, but the company has preserved a strong balance sheet, kept debt low, and continued to generate positive cash flow. Its scale, cost discipline, and integrated operations provide a durable competitive foundation, while its focus on engineered wood, sustainability, and manufacturing technology points to sensible long‑term directions. The key uncertainties remain largely external: housing activity, lumber and panel pricing, input costs, and regulatory and environmental constraints. How effectively management uses its financial strength to invest through the cycle will be critical to future value creation.

NEWS

November 6, 2025 · 5:01 PM UTC

West Fraser Reduces Lumber Capacity

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October 22, 2025 · 5:01 PM UTC

West Fraser Announces Third Quarter 2025 Results

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October 2, 2025 · 5:01 PM UTC

Notice of Third Quarter Results Conference Call

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September 10, 2025 · 5:01 PM UTC

West Fraser Declares Dividend

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