Mercer International

Mercer International (MERC) Q4 2025 Earnings

Reported Feb 12, 2026 at 4:33 PM ET · SEC Source

Q4 25 EPS

$-4.61

MISS 430.62%

Est. $-0.87

Q4 25 Revenue

$449.5M

MISS 1.57%

Est. $456.7M

vs S&P Since Q4 25

-69.4%

TRAILING MARKET

MERC -60.7% vs S&P +8.7%

Full Year 2025 Results

FY 25 EPS

$-7.44

MISS 101.21%

Est. $-3.70

FY 25 Revenue

$1.87B

MISS 0.86%

Est. $1.88B

Market Reaction

Did MERC Beat Earnings? Q4 2025 Results

Mercer International delivered a deeply bruising fourth quarter, posting a loss of $4.61 per share against a consensus estimate of negative $0.83, a miss of 455.42% that underscored the severity of conditions in global pulp markets. Revenue fell 8.0%… Read more Mercer International delivered a deeply bruising fourth quarter, posting a loss of $4.61 per share against a consensus estimate of negative $0.83, a miss of 455.42% that underscored the severity of conditions in global pulp markets. Revenue fell 8.0% year-over-year to $449.50 million, trailing analyst expectations of $465.64 million by 3.47%, as NBSK pulp realizations slid roughly 12% to $702 per ADMT and NBHK realizations dropped approximately 9% to $528 per ADMT. The headline loss was driven overwhelmingly by $238.70 million in non-cash impairment charges, including a $203.50 million write-down against long-lived assets at the Peace River hardwood pulp mill reflecting the prolonged NBHK down-cycle, a development that also prompted a TD Cowen downgrade citing high leverage and anticipated negative free cash flow. Looking ahead, management expects modest pulp and lumber price increases in Q1 2026 supported by stable demand and tightening supply, while its cost-reduction program targets $100 million in savings by year-end 2026 and a growing mass timber order book of approximately $163 million offers a longer-term growth avenue.

Key Takeaways

  • Lower pulp sales realizations (NBSK down ~12%, NBHK down ~9% YoY)
  • Non-cash impairment charges totaling $238.7 million in Q4 2025
  • Negative foreign exchange impacts from a weaker U.S. dollar
  • Higher per unit fiber costs (up ~13% YoY for pulp, up ~33% YoY for lumber)
  • Scheduled maintenance downtime of 21 days at pulp mills
  • One Goal One Hundred cost savings program delivered ~$30 million in 2025
24/7 Wall St

MERC YoY Financials

Q4 2025 vs Q4 2024, source: SEC Filings

24/7 Wall St

MERC Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“To address the challenging hardwood pulp environment that has weighed on our Peace River mill's results, we have engaged with all stakeholders and several initiatives have been underway. These include shifting production mix at the mill further towards softwood and engaging government on accretive opportunities surrounding energy and carbon capture. We are considering all options in respect of this asset.”

— Juan Carlos Bueno, Q4 2025 Earnings Press Release