Strong demand for building products has helped Louisiana-Pacific record net profits of US$421m during 2004.
The company, whose net profits were US$273m in 2003, said the demand led to increased sales activity and higher OSB prices.
But Louisiana-Pacific’s fourth quarter net profits were down to US$16m from US$163m a year earlier, due to higher raw material costs, downtime, the strength of the Canadian dollar and a higher than anticipated effective tax rate.
Potlach Corporation reported a better performance from all its operating divisions during the fourth quarter but a one-off pre-tax cost of US$25.2m resulted in the company recording a US$9.7m loss, compared to net profits of US$2.5m a year ago.
Full year net profits from continuing operations totalled US$15.3m, up from US$3.8m in 2003. The wood products division saw its net profits grow during the fourth quarter to US$6.4m from US$4.8m a year ago.
Canfor Corporation reported record net profits of C$420.9m in 2004, with fourth quarter earnings standing at C$43.7m. Its lumber division earned C$18.2m quarterly operating profits, up from C$1.9m a year ago.
Lumber prices declined in the fourth quarter, with western SPF (spruce, pine, fir) 2×4 No 2 & Better prices averaging some 23% less than the third quarter. The panels division recorded operating profits of C$19.9m, up C$19.4m compared to the fourth quarter of 2003.
