Q3 2025 KP Tissue Inc Earnings Call Transcript

Nov 13, 2025 / 01:30 PM GMT
Release Date Price: $6.76

Key Points

Positve
  • KP Tissue Inc (KPTSF) reported strong adjusted EBITDA of $85.7 million, marking a 30.4% year-over-year increase.
  • Revenue growth of nearly 8% in Q3 2025 was driven by higher sales volume, favorable selling prices, and positive foreign exchange impacts.
  • The company announced the construction of a new state-of-the-art tissue plant in the Western United States, expected to enhance capacity and serve the growing US market.
  • KP Tissue Inc (KPTSF) significantly deleveraged its balance sheet, reducing long-term debt by $42 million and improving its leverage ratio to 3.4 times.
  • The Bonterra brand was named the most sustainable brand in Canada in 2025, highlighting the company's commitment to sustainability.
Negative
  • Net income decreased to $14.6 million in Q3 2025 from $18 million in Q3 2024, impacted by FX loss variation, higher income tax expenses, and increased depreciation.
  • Higher manufacturing overhead costs and elevated warehousing costs partially offset the benefits of increased sales volume and favorable pricing.
  • The company faces potential challenges with rising pulp prices expected in the upcoming year, which could impact profitability.
  • Despite strong performance, the bathroom tissue market share declined slightly due to higher pricing in the Canadian consumer segment.
  • The upcoming construction of the new tissue plant involves significant capital expenditure, with details on financing yet to be finalized.


Refinitiv StreetEvents Event Transcript
E D I T E D V E R S I O N

KPT.TO - KP Tissue Inc
Q3 2025 KP Tissue Inc Earnings Call
Nov 13, 2025 / 01:30PM GMT

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Presentation
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Unidentified_1 [1]
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Good morning and welcome to KP Tissue's 3rd quarter 2025 results conference call. Today's call is being recorded for replay.

All participants are currently in listen-only mode. Following the presentation, we will conduct a question-and-answer session. Instructions will be provided at that time for you to queue up for questions. If at any time you have difficulties hearing the conference, please press star, followed by 0 for operator assistance. I will now turn the call over to Doris Gervick, director of investor relations. You may begin your conference.

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Unidentified_2 [2]
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