Canfor Corporation has reported a net loss of C$9.6m for the third quarter (2010: C$26.2m profit).
The company’s lumber division saw an operating loss of C$11.7m for the period from sales of C$331.4m.
Canfor said the US housing market showed modest improvement, though still remained at historically depressed levels, with housing starts averaging 615,000 units, an increase of 8% from the previous quarter and 5% higher than a year ago.
In Canada lumber consumption increased following an improvement in housing activity.
Offshore lumber shipments increased by 5% over the previous quarter and were up significantly from the same quarter in 2010, supported by continued strength from the China market and steady lumber consumption from Japan and Korea.
Canfor said US lumber consumption is projected to slow in the fourth quarter of 2011 with lower seasonal activity and continued high volume of home inventories.
