Forest Products

Kangxin New Materials announced on the evening of September 4 that the company had received a notice of case filing from the China Securities Regulatory Commission because its periodic reports were suspected of violating information disclosure laws and regulations, and the CSRC decided to place the company under investigation. The company said its operating activities are currently normal, and it will actively cooperate with the investigation and fulfil its information disclosure obligations. The company's previously disclosed 2026 interim report showed that it achieved total operating revenue of 198 million yuan in the first half of the year, up 6.56 percent year on year, while net profit attributable to the parent company was a loss of 136 million yuan, compared with a loss of 134 million yuan in the same period last year. As of September 4, the company's share price stood at 3.17 yuan per share, giving it a total market value of 4.262 billion yuan.

LP Building Solutions announced it will indefinitely curtail oriented strand board production at its Jasper, Texas facility starting in October 2026 due to soft demand. The facility has an annual capacity of approximately 475 million square feet on a 3/8-inch basis. The decision follows a review of production needs across LP's network, considering operating costs, capital requirements, logistics, and long-term asset utilization. CEO Jason Ringblom stated that aligning production with demand is necessary for efficient operation through the cycle, while maintaining flexibility to restart capacity when conditions improve. LP will provide job search and career transition support to affected employees.

Vohringer has released its 2026 interim report. The company's total operating revenue was 96.2976 million yuan, down 30.42% year on year, while net profit attributable to the parent company was a loss of 37.0864 million yuan, with the loss widening compared with the same period last year. Net cash flow from operating activities was a negative 53.939 million yuan. The asset-liability ratio was 26.29%, the gross margin was negative 1.90%, return on equity was negative 4.47%, and diluted earnings per share was negative 0.10 yuan. The company had 7,068 shareholders, and the top ten shareholders held 74.86% of the total share capital.

Yongan Forestry released its 2026 interim report. Total operating revenue was 151 million yuan, up 14.73 percent year on year, but net profit attributable to the parent company was a loss of 19.3362 million yuan, with the loss widening by 1.7186 million yuan compared with the same period last year. Net cash flow from operating activities was a negative 31.3914 million yuan, down 465.08 percent year on year. The company's asset-liability ratio was 36.56 percent, and gross margin was 11.88 percent, marking a second consecutive year of improvement. Diluted earnings per share were a negative 0.06 yuan, total asset turnover was 0.10 times, and inventory turnover was 0.27 times. The number of shareholders was 18,900, and the top ten shareholders held 45.98 percent of total share capital.

Pingtan Development disclosed its 2026 semi-annual report on August 27. In the first half of the year, it achieved total operating revenue of 482 million yuan, down 35.13 percent year on year. Net profit attributable to the parent company was a loss of 69.4698 million yuan, compared with a profit of 15.0856 million yuan in the same period last year. Net profit after deducting non-recurring items was a loss of 152 million yuan, compared with a profit of 12.967 million yuan a year earlier. Net cash flow from operating activities was 36.0178 million yuan, down 57.02 percent year on year. During the reporting period, the company's basic earnings per share was negative 0.0367 yuan, and the weighted average return on net assets was negative 3.99 percent. The company's main businesses are afforestation and forest management, processing and sales of forest products, trading, and businesses related to the opening up and development of the Pingtan Comprehensive Experimental Zone.

Pingtan Development released its 2026 interim report, showing total operating revenue of 482 million yuan, down 35.13% year on year. Net profit attributable to the parent company was a loss of 69.47 million yuan, swinging from profit to loss and down 560.50% year on year. Net cash inflow from operating activities was 36.02 million yuan, down 57.02% year on year. The company's asset-liability ratio was 39.35%, gross margin was 7.89%, return on equity was negative 4.08%, and diluted earnings per share was negative 0.04 yuan.

Kangxin New Materials disclosed its 2026 semi-annual report on August 26. In the first half, total operating revenue reached 198 million yuan, up 6.56% year on year, but net profit attributable to the parent company was a loss of 136 million yuan, slightly wider than the loss of 134 million yuan in the same period last year. Net profit after deducting non-recurring items was a loss of 137 million yuan, and net cash flow from operating activities was negative 80.72 million yuan, a marked deterioration from negative 21.92 million yuan a year earlier. The company mainly engages in container flooring, new wood-based composite materials, and prefabricated timber structural building components. As of the end of the first half, the company's inventory book value was 4.17 billion yuan, accounting for 119.94% of net assets, with an inventory write-down provision ratio of 4.26%.

Kangxin New Materials released its 2026 interim report, showing total operating revenue of 198 million yuan, up 6.56 percent year on year, but net profit attributable to the parent company was a loss of 136 million yuan, with the loss widening compared with the same period last year. Net cash flow from operating activities was negative 80.72 million yuan, a decrease of 58.80 million yuan year on year. The asset-liability ratio rose to 51.05 percent, gross margin was negative 18.21 percent, return on equity was negative 3.90 percent, and diluted earnings per share was negative 0.10 yuan. The company had 47,200 shareholders, and the top ten shareholders held 43.78 percent of total share capital.

Pingtan Development released its 2026 interim report on August 26. Affected by the contraction of its real estate segment and the debt crisis of partner Evergrande, performance fell sharply during the reporting period and swung to a loss, though a large investment gain from disposing of a subsidiary's equity partially offset pressure on the core business. During the reporting period, the company achieved operating revenue of 482 million yuan, down 35.13 percent year on year. Net profit attributable to the parent company was negative 69 million yuan, turning from profit to loss year on year. Net profit after deducting non-recurring items was negative 152 million yuan, down 1,275.61 percent year on year. Forest product processing and sales were the core revenue source, generating revenue of 361 million yuan, accounting for 74.86 percent of total revenue and up 13.58 percent year on year. The real estate business generated revenue of only 52 million yuan, down sharply by 80.80 percent year on year, with its revenue share falling to 10.89 percent. The change in performance was mainly because the controlling subsidiary Zhongfu Strait Pingtan Real Estate entered bankruptcy liquidation proceedings and was no longer included in the consolidated statements, while the company also recognised asset impairment losses of 221 million yuan. The company generated investment income of about 107 million yuan through disposal of long-term equity investments, making the net loss attributable to the parent company smaller than the net profit after deducting non-recurring items, but this gain is not sustainable. Going forward, the company's business focus will return further to its forestry and wood industry core business, but it needs to guard against challenges such as raw material cost fluctuations, stricter environmental standards, and weak downstream demand.

ST Jinggu has released its 2026 interim report. As of June 30, 2026, the company's total operating revenue was 55.93 million yuan, down 54.65 percent from the same period last year, and net profit attributable to the parent company was a loss of 209,300 yuan. Net cash inflow from operating activities was 28.84 million yuan, the asset-liability ratio was 26.65 percent, and the gross margin was 32.90 percent, ranking second among peer companies. The company's latest return on equity was negative 0.06 percent, diluted earnings per share was negative 0.00 yuan, total asset turnover was 0.12 times, and inventory turnover was 0.24 times. The number of shareholders was 4,365, and the top ten shareholders held 91.22 million shares, accounting for 70.28 percent of the total share capital.

Shengda Forestry released its 2026 interim report, with net profit attributable to the parent company of 89.4686 million yuan. The company's total operating revenue was 399 million yuan, down 14.56% year-on-year, and net cash flow from operating activities was negative 13.4953 million yuan. The latest asset-liability ratio was 34.04%, gross margin was 9.98%, ROE was 19.01%, and diluted earnings per share was 0.12 yuan.

Fenglin Group released its 2026 interim report, with net profit attributable to the parent company at negative 108 million yuan, a widening of 61.27 million yuan compared with the same period last year. Total operating revenue was 780 million yuan, down 0.41 percent year-on-year. Net cash outflow from operating activities was 22.34 million yuan, a year-on-year decrease of 175 million yuan. The company's latest asset-liability ratio was 29.28 percent, gross margin was negative 2.49 percent, return on equity was negative 4.61 percent, and diluted earnings per share was negative 0.10 yuan.

Tubao released its 2026 interim report, with net profit attributable to the parent company of 247 million yuan, a decrease of 7.67% compared with the same period last year. The company's total operating revenue was 4.267 billion yuan, up 17.40% year-on-year; net cash inflow from operating activities was 213 million yuan, up 98.35% year-on-year. The company's latest asset-liability ratio was 43.13%, gross margin was 16.23%, ROE was 7.52%, and diluted earnings per share was 0.30 yuan.

Fenglin Group announced it has received a Tax Matters Notice issued by the competent tax authority, requiring the company to return tax refunds already received during the period from January 1, 2022 to December 31, 2025 that did not comply with the immediate levy and immediate refund value-added tax preferential policy. The company's preliminary estimate of the tax amount to be returned is approximately 27 million yuan, and the notice does not involve administrative penalties. The company will carry out further accounting work, and the specific amount will be subject to the actual payment situation in the future.

Fenglin Group has been ordered by the competent tax authority to return approximately 27 million yuan in tax refunds that did not qualify for the immediate refund upon collection VAT preferential policy. The company received a Tax Matter Notice issued by the Nanning High-tech Industrial Development Zone Tax Branch of the State Taxation Administration on August 14, involving refunds for the period from January 1, 2022 to December 31, 2025. The matter does not involve administrative penalties, and the related financial impact will be recorded in the current profit and loss for 2026. This is the third time this year that Fenglin Group has faced tax repayment pressure. Previously, its subsidiary Qinzhou Fenglin transferred out input VAT of 37.8114 million yuan, and Baise Fenglin paid back taxes of 26.9054 million yuan. The total amount of the three tax matters has exceeded 91 million yuan. The company has been loss-making for two consecutive years, with net profit attributable to the parent company of minus 120 million yuan in 2024 and minus 128 million yuan in 2025. It expects a loss of 90 million to 130 million yuan in the first half of 2026.

Louisiana-Pacific reported second-quarter net sales of $664 million, down $90 million year over year, while EBITDA dropped $63 million to $79 million, driven by lower oriented strand board prices and volumes. The Siding segment maintained a 26% EBITDA margin despite a 4% sales decline, and the company expects Siding revenue of $460 million to $470 million and EBITDA of $110 million to $120 million in the third quarter. LP cut its 2026 capital-expenditure outlook by $70 million to approximately $320 million, delaying OSB maintenance projects while directing about three-quarters of spending toward Siding capacity expansions. The company expects OSB EBITDA of approximately negative $45 million in the third quarter and negative $120 million for the full year if prices remain flat. CFO Alan Haughie will retire on September 1, with Aaron Howald set to succeed him.

Louisiana-Pacific Corporation reported second-quarter net sales of $664 million, a $90 million decline from the prior year, while adjusted EBITDA fell $63 million to $79 million. The company guided that EBITDA for its OSB segment would fall to approximately negative $45 million in the third quarter and to negative $120 million for the full year, assuming flat prices. Siding revenue increased 4% year over year, and the company expects the siding business to return to year-over-year volume and revenue growth in the third quarter, with revenue guidance of $460 million to $470 million. Capital expenditure guidance was reduced by $70 million to $320 million, with siding projects accounting for roughly three-quarters of the total. CFO Alan Haughie is set to retire on September 1, 2026, with Aaron Howald transitioning to the role.

Boise Cascade Company reported a decline in second-quarter profit. Net income fell to $57.34 million, or $1.63 per share, from $61.99 million, or $1.64 per share, in the same period last year. Revenue rose 5.2% to $1.831 billion from $1.740 billion a year earlier.

Louisiana-Pacific closed at $73.61, down 3.84% from the prior day, underperforming the S&P 500's 1.52% decline. The company is scheduled to report earnings on August 5, 2026, with the Zacks Consensus Estimate projecting earnings per share of $0.61, a 38.38% decrease from the same quarter last year, and net sales of $683 million, down 9.54%. Full-year estimates call for earnings of $1.93 per share and revenue of $2.57 billion, representing year-over-year declines of 27.17% and 5%, respectively. The Zacks Consensus EPS estimate has moved 3.5% lower over the past month, and the stock currently carries a Zacks Rank of #4, or Sell. Louisiana-Pacific trades at a forward price-to-earnings ratio of 39.66, a premium to the industry average of 26.65, and its PEG ratio stands at 2.41 compared to the industry average of 1.5.

Kangxin New Materials has replied to the Shanghai Stock Exchange's annual report inquiry, addressing issues concerning forestland assets, container flooring business, and going concern capability. As of the end of 2025, the company's consumable biological assets had a book balance of 3.467 billion yuan, and forestland use rights assets had a book value of 1.333 billion yuan, together accounting for about 72 percent of total assets. No inventory write-down provision was made, and the annual auditor considered the net realizable value to be higher than the book value, with sufficient judgment basis. In 2025, container flooring business revenue was 289 million yuan, down 41.33 percent year-on-year, with a gross margin of negative 27.50 percent, mainly due to a significant drop in market selling prices. Although self-produced output increased substantially, the economic benefits have not yet been fully realized. The company's 2025 revenue was 377 million yuan, down 37.24 percent year-on-year, with losses for multiple consecutive years and an expanding loss amount. Net cash flow from operating activities was negative 119 million yuan, the asset-liability ratio rose to 44.90 percent, and interest-bearing liabilities were about 1.693 billion yuan. However, the company stated that there is no risk of mandatory repayment in the next 12 months, and there is no material uncertainty regarding its going concern capability. In addition, the company expects a net loss attributable to the parent company of about 132 million yuan for the first half of 2026, mainly affected by rising costs, declining gross margins, and impairment provisions.

Svenska Cellulosa Aktiebolaget reported a decline in second-quarter 2026 earnings. Net profit attributable to owners of the parent fell to SEK 523 million from SEK 1.09 billion a year earlier, while earnings per share dropped to SEK 0.74 from SEK 1.55. Operating profit slid 52% to SEK 724 million, EBITDA decreased 36% to SEK 1.30 billion, and net sales declined 4% to SEK 5.15 billion. The company attributed the decrease mainly to lower selling prices and negative exchange rate effects, partly offset by higher delivery volumes.

STEICO SE released its Half-Year Report 2026, showing turnover of EUR 200.3 million, a 0.6% increase from EUR 199.1 million a year earlier, as a catch-up in the second quarter offset a weak first quarter. However, massive cost increases driven by the US–Iran conflict and supply chain disruptions pushed EBITDA down 22.1% to EUR 29.0 million, while EBIT fell 30.8% to EUR 14.7 million, yielding an EBIT margin of 7.5%. The Executive Board confirmed its full-year 2026 forecast, expecting revenue between EUR 375 million and EUR 398 million and EBIT between EUR 30 million and EUR 38 million, provided the economic outlook does not deteriorate further.

Fenglin Group disclosed its earnings forecast, expecting a net loss attributable to shareholders of 90 million to 130 million yuan in the first half of 2026, compared with a loss of 46.6002 million yuan in the same period last year. The net loss after deducting non-recurring items is expected to be 50 million to 80 million yuan, compared with a loss of 53.5636 million yuan in the same period last year. The company is mainly engaged in the production and sale of particleboard and medium-density fiberboard, as well as afforestation. The change in performance is mainly due to differences in the understanding and application of tax policies between the company and its subsidiaries and the tax authorities. Tax treatment in accordance with relevant requirements reduced the current period's profit by a total of 64.7168 million yuan.

StockStory recommends buying Mastercard while advising investors to avoid Boise Cascade and Weatherford. Mastercard, trading at $522.80 per share, is highlighted for its 17% annual revenue growth over five years and 23.1% annual earnings per share growth, with a consensus price target of $644.89 implying a 23.4% return. Boise Cascade, at $71.35, faces annual sales declines of 4.2% and eroding returns on capital, with a $92 target. Weatherford, at $83.93, saw sales tumble 5.1% annually over ten years and has a 31.7% gross margin, with a $120.67 target.