Acadian Timber Corp. Reports First Quarter Results

• Acadian Timber Corp. reported Q1 2026 financial results with sales of $23.4 million and Adjusted EBITDA of $4.8 million.
• Revenue decreased slightly compared to Q1 2025 ($24.8M), but Adjusted EBITDA margin improved to 20% from 19%.
• The company declared a quarterly dividend of $0.29 per share ($5.3 million total) payable on July 15, 2026.
• Net liquidity stands at $15.0 million as of March 28, 2026.
• New Brunswick Timberlands reported Freehold sales of $17.8 million and Adjusted EBITDA of $5.8 million.
• Maine Timberlands turned profitable with Adjusted EBITDA of $0.4 million compared to a loss of $0.7 million in Q1 2025.
• Carbon credit registration for additional credits is expected in the second half of 2026, following zero sales in 2025.
• Operating costs decreased $1.3 million year-over-year due to lower timber services activity in New Brunswick.

• The news confirms operational stability and a strategic turnaround in Maine, moving from loss to profit, which is positive for long-term asset valuation.
• However, revenue decline indicates soft demand or pricing pressure in the core timber sales segment.
• The dividend declaration maintains shareholder income but raises concerns regarding Free Cash Flow coverage given Q1 FCF of $2.473 million against a quarterly payout of $5.3 million.
• Debt levels have increased significantly from $68.9M (Q3 2025) to $110.0M (Dec 2025), increasing financial risk in a rising interest rate environment.
• The delay in carbon credit revenue registration to H2 2026 removes a previously significant income stream ($24.6M in 2024), creating uncertainty for full-year earnings guidance.
• Overall, the news is stabilizing but does not fundamentally alter the risk profile regarding debt and cash flow coverage.

• Acadian Timber Corp. operates timberlands in New Brunswick, Canada, and Maine, USA.
• Flagship projects include the New Brunswick Timberlands (core revenue generator) and Maine Timberlands (strategic growth area).
• Environmental Solutions segment focuses on carbon credit generation, though this has been volatile with zero sales in 2025 after $24.6M in 2024.
• The company transitioned to internal logging operations in Maine during 2025 via acquisition of A&A Brochu assets ($6.9M) and equipment purchases ($2.4M).
• Business model relies on timber sales, services, and environmental solutions (carbon credits), with a focus on long-term asset management.