Western Forest Products (WEF) Investor presentation summary

Strategic direction and priorities

• Accelerating the shift to higher-value wood products through targeted investments in manufacturing, kiln drying, and remanufacturing capacity.

• Expanding through acquisitions and organic growth, leveraging specialty glulam business and skilled workforce.

• Advancing partnerships and reconciliation with First Nations, including major asset sales and joint ventures.

• Commitment to ESG, operational excellence, and continuous improvement in safety, productivity, and cost efficiency.

• Focus on financial flexibility, deleveraging, and prudent capital management to mitigate market and regulatory risks.

Financial and operational performance

• Average annual revenue of $1.12 billion and EBITDA of $93 million since 2015, with 34% of sales to international markets.

• Net debt reduced by 57% in 2025, with $212 million in available liquidity and a $250 million credit facility extended to 2028.

• Specialty lumber comprises 59% of sales, with 76% of lumber revenue from non-commodity products, supporting higher margins.

• Operational improvements include 86% uptime in manufacturing and improved log inventory turnover by 11% since 2023.

• Strategic investments in kiln capacity and automation to support value-added product growth and market responsiveness.

Market positioning and product mix

• Leading supplier of specialty wood products, including cedar, hemlock, balsam, and Douglas fir, serving global markets.

• Diverse end uses: outdoor living, interior and exterior appearance, structural, and industrial applications.

• Flexible manufacturing and sales strategies optimize log allocation and maximize margin across product lines.

• Product market diversity and global exposure provide resilience and margin opportunities.

• Seasonality impacts harvest, inventory, and sales, with peak volumes in Q2 and Q3.