Q1 26 EPS
$-0.78
BEAT +1.10%
Est. $-0.79
Q1 26 Revenue
$489.3M
MISS 0.72%
Est. $492.8M
vs S&P Since Q1 26
-51.3%
TRAILING MARKET
MERC -46.5% vs S&P +4.8%
Market Reaction
Did MERC Beat Earnings? Q1 2026 Results
Mercer International posted a bruising first quarter for 2026, reporting a net loss that widened sharply to $52.00 million, or $0.78 per share, even as that figure edged fractionally past the consensus estimate of $0.79 per share by 1.10%; revenue of… Read more Mercer International posted a bruising first quarter for 2026, reporting a net loss that widened sharply to $52.00 million, or $0.78 per share, even as that figure edged fractionally past the consensus estimate of $0.79 per share by 1.10%; revenue of $489.30 million fell 3.5% year-over-year and came in just shy of the $492.83 million analysts had expected. The deepest wound came from the pulp segment, where NBSK pulp realizations dropped roughly 11% year-over-year to $696 per ADMT amid oversupply in China and weak global demand, while per-unit fiber costs surged approximately 22%, forcing a strategic production curtailment at Mercer's German mills and triggering a $22.00 million non-cash inventory impairment charge. Operating EBITDA collapsed to $7.85 million from $47.09 million a year ago, and shareholders' equity turned negative, prompting the board to form a special committee to evaluate strategic alternatives and liquidity options. Management anticipates a more balanced pulp market in the second half of 2026, with softwood prices expected to rise modestly in Q2, and sees its "One Goal One Hundred" cost savings initiative reaching $100 million in cumulative reductions by year-end.
Key Takeaways
- • Lower NBSK pulp sales realizations (down ~11% YoY to $696/ADMT)
- • Per unit fiber costs increased ~22% YoY in pulp segment due to reduced supply in Germany and Canada
- • Non-cash inventory impairment of $22 million against pulp and fiber inventory
- • Negative foreign exchange impact from weaker dollar on euro and Canadian dollar denominated costs
- • Lower maintenance costs partially offset cost pressures
- • Fiber supply constraints in Europe forced ~20,000 tonne production reduction at German mills
- • Lumber per unit fiber costs increased ~36% YoY
MERC YoY Financials
Q1 2026 vs Q1 2025, source: SEC Filings
MERC Revenue by Segment
With YoY comparisons, source: SEC Filings
“Our pulp sales realizations showed resilience this quarter as softwood pulp markets held steady, while hardwood pulp performance trended upward on favorable demand-supply dynamics. However, elevated fiber costs across our supply chain and a slower-than-anticipated recovery in prices continued to weigh on our results.”
— Juan Carlos Bueno, Q1 2026 Earnings Press Release
MERC Earnings Trends
MERC vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
MERC EPS Trend
Earnings per share: estimate vs actual
MERC Revenue Trend
Quarterly revenue: estimate vs actual
MERC Quarterly Results
6 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q2 26 MISS Includes a $29.0 million non-cash inventory impairment primarily against pulp and fiber inventory | $-1.04 | $-1.13 | -8.87% | $460.3M | -3.28% |
| Q1 26 BEAT | $-0.79 | $-0.78 | +1.10% | $489.3M | -0.72% |
| Q4 25 MISS FY | $-0.87 | $-4.61 | -430.62% | $449.5M | -1.57% |
| FY Full Year | $-3.70 | $-7.44 | -101.21% | $1.87B | -0.86% |
| Q3 25 MISS | $-0.92 | $-1.21 | -31.84% | $458.1M | -0.36% |
| Q2 25 MISS | $-0.96 | $-1.29 | -34.85% | $453.5M | -4.86% |
| Q1 25 MISS | $-0.19 | $-0.33 | -78.19% | $507.0M | +0.30% |