Canada Stockwatch – Green packaging and paper products manufacturer Cascades, Inc. (TSE:CAS, Mkt cap 673.67M, P/E – , Div/yield 0.04/2.24, EPS -0.64, Shares 94.22M) has reported a $47-million net loss for the fourth quarter, with the figure driven down by a number of expenses such as asset write-downs and a loss on discontinued operations.
As The Canadian Press reports, factoring out those items, Cascades had $8 million of net earnings, which is a drop from $18 million a year earlier.
However, the Quebec-based firm is likely to be buoyed by its sales, which rose to $879 million from $844 million in the fourth quarter of 2013.
Mario Plourde, Cascades’ president and chief executive officer, admitted that the year ended on a “weaker note”, but attributed 2014’s shortcomings to “strategic repositioning,” pointing out a number of initiatives which were completed in the 12 month-period that are expected to drive the company forward.
He added: “These decisions, while having a negative impact on our financial results for the year, are now behind us and we can now expect improved results going forward.”
The fourth quarter alone saw the sale of part of its container business, the startup of a new tissue paper machine in Oregon and the introduction of a new tissue converting line at a plant in North Carolina.
Cascades announced on Friday (March 13) that it will continue to buy back shares from the public market. Since March 1, 2014, it has bought 77,400 common shares at an average cost of $5.93. The new buyback program enables the company to acquire up to 942,194 shares over the next year.
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