- Sales increased 23% to a first quarter record of $623 million
- EBITDA rose 57% to $99 million, or a margin of 15.9%
- Net income doubled to reach $56 million or $0.85 per share
- Solid financial position with a net debt-to-EBITDA ratio of 2.2x
- Annual 2021 EBITDA guidance raised to $450 to $480 million
- Entered into a new senior unsecured credit agreement of up to US$350 million, subsequent to quarter-end
MONTREAL, May 03, 2021 -- Stella-Jones Inc. (TSX: SJ) (“Stella-Jones” or the “Company”) today announced financial results for its first quarter ended March 31, 2021.
“We had an exceptionally robust start to the year, continuing our momentum of growth. Our first quarter performance was fueled by record pricing and volume gains in the residential lumber product category, solid utility poles results, and strong railway ties demand tempered by pricing pressures in certain markets. EBITDA grew by 57% to an all-time first quarter high of $99 million and net income doubled to $56 million compared to the same period last year,” stated Éric Vachon, President and CEO of Stella-Jones.
“In anticipation of continued strong market conditions for residential lumber and solid demand in the other core product categories, we leveraged our healthy balance sheet this quarter to increase working capital and invest in our network. In April, we increased our available liquidity with a new senior unsecured credit facility, further enhancing our financial flexibility. Together with our resilient business model and solid competitive position, we are well positioned to take advantage of the momentum in demand, create opportunities to grow our core businesses and deliver EBITDA in the mid-to-high $400 million range in 2021,” concluded Mr. Vachon.
Legal Notice: Paper Advance is not responsible for the accuracy or availability of content on external websites.