Jewett-Cameron Trading 2025 Q4 Earnings Sharp Revenue Drop and Widened Losses

Jewett-Cameron Trading (JCTC) reported a 14.4% year-over-year revenue decline to $51.67 million in Q4 2025, alongside a 1075% increase in per-share losses to $0.64. The results fell short of expectations, with no guidance adjustments provided.

Revenue

The company’s total revenue of $51.67 million in Q4 2025 marked a 14.4% decrease from $60.36 million in Q4 2024. The Pet, Fencing, and Other segment, its largest, faced challenges due to tariff-driven cost increases and reduced consumer demand. Industrial Wood Products and Seed Processing and Sales also experienced lower sales, while Corporate and Administrative Services saw minimal changes.

Earnings/Net Income

JCTC’s net loss widened to $2.25 million, or $0.64 per share, representing a 1080.4% increase from a $190,504 loss in Q4 2024. The EPS decline reflects a significant deterioration in profitability, driven by operational inefficiencies and external market pressures.

Post-Earnings Price Action Review

The strategy of buying JCTC shares on the date of its Q3 2025 revenue raise and holding for 30 days yielded modest returns but underperformed the market. A 2.22% short-term price jump followed the revenue report, but subsequent volatility and external factors like tariffs and deferred customer purchases eroded gains. The NASDAQ Composite outperformed JCTC during the same period, underscoring the stock’s sensitivity to market dynamics.

CEO Commentary

Chad Summers, CEO emphasized the need for strategic realignment amid challenging market conditions. “We’ve reduced headcount by 27% and prioritized core fencing products to stabilize operations. While tariffs and logistics costs remain hurdles, our focus on margin improvement and asset monetization will drive long-term resilience.”

Guidance

The company plans to cut operating expenses by $1–3 million annually, monetize non-core assets (including $5 million in excess inventory and a $7.2 million seed facility), and seek credit-line adjustments. Management aims to exit fiscal 2026 with a sustainable business model focused on core fencing and operational efficiency.

Additional News

1. Strategic Realignment: JCTC announced a 27% workforce reduction and $1–3 million annual cost cuts to align with its core fencing business.

2. Asset Monetization: The company plans to sell non-core assets, including industrial lumber inventory and real estate, to strengthen liquidity.

3. Credit Line Adjustments: JCTC is in discussions with Northrim Funding Services to expand its $6 million credit facility, aiming to enhance financial flexibility amid tariff uncertainties.

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