Clearwater Paper reported mixed results for the third quarter of 2025, as modest shipment growth was overshadowed by a significant non-cash goodwill impairment.
The independent North American paperboard producer posted net sales of $399 million, a 1% increase over the same period last year, reflecting a 3% rise in shipment volumes partly offset by lower selling prices.
Despite higher volumes, Clearwater Paper recorded a net loss of $53 million, or $3.30 per diluted share, compared with net income of $6 million a year earlier. The loss was primarily driven by a $45 million goodwill impairment linked to prior acquisitions, triggered by a decline in the company’s market capitalization relative to book value following the late-2024 divestiture of its tissue business.
On an adjusted basis, the company narrowed its loss, reporting an adjusted net loss from continuing operations of $8 million, or $0.51 per diluted share, versus $11 million in the third quarter of 2024. Adjusted EBITDA came to $18 million, down from $21 million a year ago, reflecting the timing of a major maintenance outage at the Lewiston, Idaho mill and reduced pricing, partly offset by stronger volumes and lower input costs.
President and CEO Arsen Kitch highlighted continued progress on operational improvements. “We delivered a strong third quarter that was on the upper end of our expected adjusted EBITDA range, driven by higher shipments, improved production, and continued execution of our fixed cost reduction efforts,” he said.
The company remains on track to achieve nearly $50 million in fixed cost reductions for 2025, exceeding its original $30–$40 million target. The planned Lewiston maintenance outage, completed at a cost of approximately $24 million, was executed successfully.
For the first nine months of 2025, Clearwater Paper reported net sales of $1.2 billion, up from $997 million a year earlier. Adjusted EBITDA from continuing operations rose sharply to $87 million, supported by volume gains and cost savings, though partially offset by weaker selling prices.
Kitch noted that the solid bleached sulfate (SBS) paperboard market remains oversupplied but reiterated confidence in the company’s long-term fundamentals: “We are focused on what we can control—reducing fixed costs and maintaining our market share.”
Clearwater Paper Corporation is a leading independent supplier of bleached paperboard packaging to North American converters. Headquartered in Spokane, Washington, the company produces high-quality paperboard used in consumer goods and food service packaging.
