Cascades Reports Results for the Third Quarter of 2020
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Cascades Inc. (TSX: CAS) reported its unaudited financial results for the three-month period ended September 30, 2020.
Mario Plourde, President and CEO, commented: "We are pleased with our consolidated third quarter results. Within an ever-evolving business environment, demand levels for containerboard remained robust. This strength drove higher sequential quarterly sales volume in this business, offsetting higher energy costs and an approximate $3 million impact from unplanned operational shutdowns at our Niagara Falls, New York complex.
"Similarly, our Specialty Products segment generated solid results, benefiting from strong demand for our sustainable food packaging product offerings.
"Results in our Tissue business were mixed. As expected, demand remained strong for consumer tissue, while the reverse was true for Away-from-Home products given the impact that Covid-19 is having on businesses, restaurants, hotels and schools. This segment, which accounts for approximately 40% of our annual tissue sales, experienced sharp decreases in demand for some products. We have taken steps to adjust production capacity by temporarily closing several facilities that serve this market and continue to evaluate opportunities to adapt some capacity for different products.
"Lastly, results in the European Boxboard segment reflected the usual softer seasonal third quarter volumes, the effects of which were partially offset by favorable raw material pricing and lower energy costs."
