Financial Performance - Mercer's Q3 2025 operating EBITDA decreased to $(28) million, a decrease of $(7) million compared to Q2 2025[6] - The net loss for Q3 2025 was $(81) million, compared to a net loss of $(86) million in Q2 2025[26] - Cash flow used in operating activities increased to $(30) million in Q3 2025 from $(5) million in Q2 2025[26] - Capital expenditures increased to $(30) million in Q3 2025 from $(24) million in Q2 2025[26] - Liquidity position decreased to $376 million in Q3 2025 from $438 million in Q2 2025[26] Market Conditions and Pricing - Lower sales realizations led to a non-cash inventory impairment of $20 million in Q3 2025[8] - Lower sales realizations for NBSK and NBHK pulp negatively impacted EBITDA by approximately $15 million[8] - Lumber production decreased by 4% compared to Q2 2025 due to planned maintenance at Friesau[43] Strategic Initiatives - Mercer aims to improve profitability by $100 million by the end of 2026, using 2024 as a baseline[29, 36] - The company anticipates $30 million in cost savings for 2025 and is on track to meet this goal[29, 36] - Mass Timber backlog of projects currently sits at ~$80 million[60]