Cascades Reports Results for the Second Quarter of 2026

KINGSEY FALLS, QC, Aug. 6, 2026 /PRNewswire/ -- Cascades Inc. (TSX: CAS) reports its unaudited financial results for the three-month period ended June 30, 2026.

* Sales of $1,219 million (compared with $1,125 million in Q1 2026 and $1,187 million in Q2 2025); * Operating income of $58 million (compared with $81 million in Q1 2026 and $36 million in Q2 2025); * Net earnings per common share of $0.21 (compared with net earnings per common share of $0.38 in Q1 2026 and a net loss per common share of ($0.03) in Q2 2025); * Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA (A))(1) of $140 million (compared with $118 million in Q1 2026 and $137 million in Q2 2025); * Adjusted net earnings per common share(1) of $0.24 (compared with $0.07 in Q1 2026 and $0.19 in Q2 2025); * Net debt(1) of $1,879 million as of June 30, 2026 (compared with $1,901 million as of March 31, 2026). Net debt to EBITDA (A) ratio(1) remained stable at 3.3x; * Total capital expenditures of $40 million in Q2 2026, compared to $28 million in Q1 2026 and $44 million in Q2 2025. The Corporation's 2026 forecasted capital expenditures before disposals will be in a range of $150 million to $175 million. * The Company generated $5 million in asset sale proceeds during the second quarter, bringing total proceeds to $154 million for the 2025 - 2026 period. The Company's objective of generating $230 million is progressing well and is now expected to be achieved in early 2027. Hugues Simon, President and CEO, commented: "Our second quarter results exceeded expectations, driven by a stronger performance in Packaging, reflecting continued solid production and demand levels across our paper mill network, meaningful progress in onboarding new customers and a more favourable economic environment than initially anticipated. Packaging volumes tracked ahead of our forecasted assumptions, contributing to stronger profitability in the quarter. In Tissue, the results came in slightly ahead of our expected range. Performance benefited from improved productivity and sales volumes and the positive impact of ongoing cost reduction initiatives. The operational improvements achieved over the past several quarters are translating into greater efficiency and a stronger cost structure across the business. Overall, our leverage ratio remained stable during the quarter, while net debt decreased modestly despite unfavourable exchange rate movements."