Revenue: As of FY2026 Q1, the actual value is USD 360.3 M.

EPS: As of FY2026 Q1, the actual value is USD -0.8.

EBIT: As of FY2026 Q1, the actual value is USD -5.5 M.

Consolidated Performance Overview

Clearwater Paper Corporation reported a net loss of - $12.8 million for the quarter ended March 31, 2026, compared to a net loss of - $6.3 million for the same period in 2025. Loss from continuing operations was - $12.8 million in Q1 2026, an increase from - $5.9 million in Q1 2025. Adjusted EBITDA from continuing operations decreased to $1.9 million in Q1 2026 from $29.8 million in Q1 2025, resulting in an Adjusted EBITDA margin of 1% and 8%, respectively.

Segmented Net Sales

• Food service: Net sales were $153.7 million for the quarter ended March 31, 2026, up from $151.4 million in the prior year period.
• Folding carton: Net sales decreased to $124.9 million in Q1 2026 from $148.4 million in Q1 2025.
• Sheeting and distribution: Net sales remained relatively stable at $38.9 million in Q1 2026 compared to $38.8 million in Q1 2025.
• Pulp and other: Net sales increased to $42.7 million in Q1 2026 from $39.6 million in Q1 2025.
• Total Net Sales: Overall net sales decreased by 5% to $360.3 million in Q1 2026 from $378.2 million in Q1 2025.

Sales Volume and Pricing

• Paperboard shipments: Increased by 4.6% to 302,918 short tons in Q1 2026 from 289,487 short tons in Q1 2025.
• Paperboard sales price: Decreased by 7.3% to $1,101 per short ton in Q1 2026 from $1,188 per short ton in Q1 2025.

Cost of Sales and Operating Expenses

• Cost of Sales: Increased by 6% to $361.2 million in Q1 2026 from $341.5 million in Q1 2025.
  • Input cost (raw materials and energy): Remained relatively flat at $167.6 million in Q1 2026 compared to $168.4 million in Q1 2025.
  • Labor and overhead: Increased to $121.7 million in Q1 2026 from $117.1 million in Q1 2025.
  • Supply chain costs (freight): Increased to $39.6 million in Q1 2026 from $36.3 million in Q1 2025.
  • Depreciation and amortization (within Cost of Sales): Increased to $22.4 million in Q1 2026 from $21.0 million in Q1 2025.
• Selling, General and Administrative Expenses: Decreased by 29% to $20.6 million in Q1 2026 from $28.9 million in Q1 2025.
• Other Operating Charges, Net: Resulted in income of - $11.1 million in Q1 2026, primarily due to $11.9 million in representation and warranty insurance proceeds, contrasting with an expense of $11.8 million in Q1 2025.

Cash Flow

• Net cash flows provided by operating activities: Decreased to $0.5 million in Q1 2026 from $1.5 million in Q1 2025, despite $17.5 million in insurance recoveries and $4 million in income tax refunds.
• Net cash flows used in investing activities: Decreased to - $9.1 million in Q1 2026 from - $32.7 million in Q1 2025, primarily related to capital expenditures.
• Net cash flows provided by (used in) financing activities: Switched to $14.3 million provided in Q1 2026 from - $4.4 million used in Q1 2025, including $15.0 million in borrowings on long-term debt in Q1 2026.

Unique Metrics

• Representation and Warranty Insurance Proceeds: Clearwater Paper Corporation received a partial settlement of $17.5 million in Q1 2026 related to claims on its representation and warranty insurance policy for the Augusta acquisition, with $5.6 million recorded in “Cost of sales” and $11.9 million in “Other operating charges, net.” As of March 31, 2026, $50 million remains under the policy limit.

Future Outlook and Strategy

Clearwater Paper Corporation anticipates higher operating costs in the second quarter of fiscal 2026 due to a planned major maintenance outage at its Lewiston, Idaho facility and expected increases in petroleum-based input costs. The company has announced planned cost reductions and production curtailments at its Cypress Bend, Arkansas facility, projected to yield $8 million to $12 million in annualized cost savings without impacting shipment volumes. Additionally, the ratification of a union agreement at the Lewiston, Idaho facility will result in retroactive wage payments of $2.0 million to $2.5 million, and cash paid for capital expenditures in 2026 is expected to be approximately $65 million to $75 million.