Sales up, income down at Ainsworth
Canadian OSB producer Ainsworth Lumber reported net sales of C$81.1 million (US$80.5 million) for its third fiscal quarter, a 2.9% increase over sales of C$78.8 million (US$78.3 million) for the same quarter last year. Net income for the quarter, which ended Sept. 30, 2010, was C$10.0 million (US$9.93 million), approximately half of what it was last year in the third quarter of 2009.
Most of the company’s gains can be attributed to sales outside North America, according to the financial results. Ainsworth recorded C$27.8 million in revenues to overseas customers in the third quarter compared with C$9 million a year ago. Sales to North American customers declined 23.6%, from C$69.8 million in the third quarter of 2009 to C$53.3 million during the past third quarter.
In a prepared statement, Ainsworth president and CEO Rick Huff noted the “sharp decline in OSB prices” and said he was pleased with the company’s performance in terms of sales and EBITDA margins.