SPOKANE, Wash. (News release) -- Clearwater Paper Corporation, a premier independent supplier of bleached paperboard to North American converters reported financial results for the second quarter ended June 30, 2025.

SECOND QUARTER HIGHLIGHTS

• Net sales of $392 million, up 14% primarily due to incremental volume from our acquisition of the Augusta, Georgia mill on May 1, 2024
• Net income from continuing operations of $4 million, or $0.22 per diluted share compared net loss of $42 million, or $2.50 per diluted share
• Net income of $3 million, or $0.17 per diluted share compared to net loss of $26 million, or $1.55 per diluted share
• Adjusted EBITDA of $40 million compared to negative $9 million of Adjusted EBITDA in the second quarter last year
• Repurchased $4 million of outstanding shares in the quarter and $15 million of outstanding shares in the first six months of 2025
• Successfully completed the planned major maintenance outage at our Cypress Bend, Arkansas mill
• Continued to capture benefits from fixed cost reduction actions; on track to deliver targeted reductions of $30 to $40 million in 2025

"We delivered a strong second quarter in line with our expectations, with higher shipments, higher production, and lower fixed costs," said Arsen Kitch, president and chief executive officer.

OVERALL RESULTS

For the second quarter of 2025, Clearwater Paper reported net sales of $392 million compared to $344 million for the second quarter of 2024. Clearwater Paper reported net income from continuing operations in the second quarter of 2025 of $4 million, or $0.22 per diluted share compared to net loss from continuing operations of $42 million, or $2.50 per diluted share for the second quarter of 2024. Adjusted EBITDA was $40 million compared to negative $9 million in the second quarter of 2024. The increase in Adjusted EBITDA was primarily driven by higher sales volume due to the inclusion of our Augusta facility, timing on our planned major maintenance outages and benefits from our cost reduction plan, offset by lower sales prices and lack of insurance proceeds realized in the second quarter of 2024 related to a significant weather event which occurred at our Lewiston, Idaho facility in the first quarter of 2024.

For the first six months of 2025, Clearwater Paper reported net sales of $770 million compared to $603 million for the first six months of 2024. Clearwater Paper reported net loss from continuing operations in the first six months of 2025 of $2 million, or $0.14 per diluted share compared to net loss from continuing operations of $44 million, or $2.62 per diluted share for the first six months of 2024. Adjusted EBITDA was $70 million compared to $6 million in the first six months of 2024. The increase in Adjusted EBITDA was primarily driven by higher sales volume due to the inclusion of our Augusta facility, timing on our planned major maintenance outages and benefits from our cost reduction plan, offset by lower sales prices.

Sales volumes and prices:

• Sales volumes were 304,713 tons in the second quarter of 2025, an increase of 12% compared to 272,585 tons in the second quarter of 2024. Sales volumes were 594,200 tons in the six months of 2025, an increase of 29% compared to 459,888 tons in the first six months of 2024.
• Paperboard average net selling price decreased 3% to $1,182 per ton for the second quarter of 2025, compared to $1,216 per ton in the second quarter of 2024. Paperboard average net selling price decreased 5% to 1,185 per ton for the first six months of 2025, compared to $1,244 per ton in the first six months of 2024.

COMPANY OUTLOOK

"As the industry continues to experience an oversupply position, we remain focused on what is within our control, namely strong operational execution, reducing our fixed costs, and maintaining share with our customers. These actions will continue to help us navigate this industry down cycle and position us well for a recovery," concluded Kitch.