Cascades' Q2 2024 sales of $1,180 million increased by $12 million compared with the same period last year. This was driven by a combined favourable sales mix impact of $30 million in Tissue Papers and Containerboard and a $14 million favourable impact from foreign exchange. These were largely offset by net negative impacts of $25 million due to lower selling prices in Tissue and Containerboard and $12 million related to lower volumes primarily in the Tissue Papers business following operational platform changes in this business completed in the past year.
The Q2 EBITDA totaled $112 million, a decrease of $29 million, or 21%, from the $141 million generated in the same period last year. This was largely driven by lower selling prices in the Containerboard and Tissue Papers segments, and higher raw material costs in our packaging businesses. The Q2 results also include a $5 million one-time compensation expense consisting of an 18-month consulting agreement with Mr. Mario Plourde, commencing January 1, 2025, and deferred share units granted to Mr. Hugues Simon following his appointment as President and CEO effective June 17, 2024.
For the three-month period ended June 30, 2024, the Corporation posted net earnings of $1 million, or $0.01 per common share, compared to net earnings of $22 million, or $0.22 per common share, in the same period of 2023. On an adjusted basis, the Corporation posted net earnings of $8 million in the second quarter of 2024, or $0.08 per common share, compared to net earnings of $26 million, or $0.27 per common share, in the same period of 2023.
Discussing near-term outlook, Mr. Hugues Simon, President and CEO, commented, "In my first eight weeks at Cascades, I have been inspired by the Company-wide drive to create meaningful value for our customers and shareholders. We expect consolidated third quarter results to be stronger sequentially, driven by improved Containerboard results as price increases are implemented and production efficiency levels are normalized following planned maintenance in the Q2, and the unplanned extended downtime at Bear Island and Greenpac. Consolidated results are also expected to benefit from stable results in the Specialty Packaging business. At the same time, higher pulp prices and softer pricing due largely to a less favourable sales mix are expected to translate into lower results from the Tissue Papers segment. More broadly, the ongoing Bear Island facility ramp-up remains a priority, as is the roll-out of announced price increases in Containerboard and continued focus on profitability, efficiency and productivity initiatives throughout our operations."
Founded in 1964, Cascades offers sustainable, innovative and value-added packaging, hygiene and recovery solutions.
