Tissue World Magazine
Alexandra Stuthridge, Technical Business Manager, BioProducts Institute (BPI)

Clearwater Paper Corporation has reported net sales of $426.5m for the third quarter of 2018, which was flat with net sales for the third quarter of 2017.

Net earnings were $34.4m compared to $0.9m the same time a year earlier.

The increase in net earnings was primarily due to a $22.9m gain on the sale of the company’s Ladysmith, Wisconsin-based manufacturing facility, along with higher pricing and record shipment volumes in paperboard, improved operating efficiencies and lower selling, general and administrative expenses.

EBITDA was $71.0m for the third quarter compared to $31.3m a year earlier.

Total tissue volumes sold in the third quarter were 88,860 tonnes, a decrease of 1.8% compared to 90,502 tonnes in the third quarter of 2017.

Converted product cases shipped were 11.8m in the third quarter of 2018, 7.4% lower than the 12.7m cases shipped in the third quarter of 2017.

The average tissue net selling prices decreased 7.5%, to $2,381 per tonne in the third quarter of 2018, compared to $2,574 per tonne in the third quarter of 2017, primarily due to the increased volume and percentage of non-retail parent rolls in the product mix.

Linda K. Massman, president and chief executive, said: ā€œWe exceeded our expectations for the third quarter due to record paperboard shipments and strong customer demand for paperboard.

ā€œWe are also seeing positive results from the operating model improvements for our tissue business, resulting in lower transportation and warehousing costs.

ā€œFor the remainder of 2018, we are in the home stretch to complete our new paper machine, converting lines, and warehouse at our Shelby, North Carolina facility.

ā€œWe are also keenly focused on generating cash to pay down debt and optimising our network of tissue assets to streamline costs and better meet the needs of our customers.ā€