Financial Performance - Conifex Timber Inc. reported a net loss of $8.3 million or ($0.20) per share for Q2 2025, compared to net income of $0.6 million or $0.02 per share in Q1 2025 and a net loss of $9.7 million or ($0.24) per share in Q2 2024 [1][6] - EBITDA for Q2 2025 was negative $3.2 million, a decrease from $4.9 million in Q1 2025 and an improvement from negative $7.1 million in Q2 2024 [1][3] - Revenue from lumber products was $27.4 million in Q2 2025, a decrease of 12% from Q1 2025 but an increase of 10% from Q2 2024 [9] Lumber Operations - Lumber production in Q2 2025 totaled approximately 35.3 million board feet, representing a 24% decrease from 46.3 million board feet in Q1 2025 but a 4% increase from 34 million board feet in Q2 2024 [7] - Shipments of Conifex-produced lumber were 38.9 million board feet in Q2 2025, a 2% increase from Q1 2025 and a 1% increase from Q2 2024 [8] - The average price of WSPF 2x4 2 & Btr lumber was $471 (US$) in Q2 2025, compared to $492 in Q1 2025 and $386 in Q2 2024 [5] Bioenergy Operations - The Power Plant sold 29.6 GWh of electricity in Q2 2025, down from 47.6 GWh in Q1 2025 and 38.0 GWh in Q2 2024, primarily due to an annual maintenance shutdown [13][14] - Revenue from electricity production was $3.6 million in Q2 2025, a decrease from $7.0 million in Q1 2025 and $4.5 million in Q2 2024 [14] Cost Management - Cost of goods sold decreased by 7% from Q1 2025 and by 10% from Q2 2024, driven by lower production volume and lower inventoried unit costs [10] - Selling, general and administrative costs were $1.5 million in Q1 2025, down from $1.8 million in Q1 2025 and $1.9 million in Q2 2024 [15] Financial Position and Liquidity - Overall debt decreased to $81.6 million at June 30, 2025, from $84.2 million at March 31, 2025, and increased from $73.8 million at June 30, 2024 [23] - Available liquidity was $3.0 million at June 30, 2025, down from $4.2 million at March 31, 2025, and $10.9 million at June 30, 2024 [24] Market Outlook - North American lumber markets are expected to experience continued volatility and uncertainty throughout the remainder of 2025, with duty deposit rate increases and potential tariffs posing significant challenges [30]