Resolute Forest Products Q1 Earnings Miss Estimates

Resolute Forest Products RFP RFP reported first-quarter FY22 sales growth of 8.3% year-on-year to $945 million, missing the consensus of $1.27 billion.
Adjusted EPS of $2.26 missed the analyst consensus of $2.48.
Selling, general and administrative expenses fell 21.7% Y/Y to $36 million.
The operating margin was 24.8%, and operating income for the quarter rose 32.7% to $235 million.
Adjusted EBITDA of $270 million increased 22.2% Y/Y.
Cash provided by operating activities in the quarter totaled $147 million. Resolute held $162 million in cash and equivalents as of March 31, 2022.
"The underlying fundamentals for building materials remain positive, but we are mindful of inflationary pressure and rising interest rates, which could affect pricing and margins," said CEO Remi G. Lalonde.
Price Action: RFP shares closed lower by 0.37% at C$19.03 on TSX, and RFP lower by 0.20% at $14.79 on Thursday.