KP Tissue reported CAD 86.9 million in Q1 adjusted EBITDA, up 14.6% year-over-year, driven by cost reductions despite flat revenue.
KP Tissue posted a 14.6% year-over-year increase in Q1 adjusted EBITDA to CAD 86.9 million, despite revenue holding steady at CAD 544.6 million. Lower pulp prices and reduced warehousing costs offset foreign exchange pressures and other headwinds.
In the prior-year period, adjusted EBITDA stood at CAD 75.8 million on revenue of CAD 546.2 million. The Away-From-Home segment saw revenue rise 2.5%, with adjusted EBITDA more than doubling to CAD 6.3 million, driven by U.S. performance.
The company ended the quarter with improved cash levels, lower debt, and a leverage ratio of 2.9x. Management expects Q2 adjusted EBITDA to align with Q1 as it advances capacity expansion projects.