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Thank you, operator. Good afternoon, everyone. Welcome to Acadian Timber's fourth quarter conference call. With me on the call today is Adam Shipersky, Acadian's President and Chief Executive Officer.

Before discussing Acadian's results, I will first remind everyone that in discussing our fourth quarter and full year financial and operating performance, the outlook for 2025, and responding to your questions we may make forward looking statements. These statements are subject to known and unknown risks, and future results may differ materially. For further information on our known risk factors, I encourage you to review our news release [indiscernible] which are available on SEDAR and on our website at AcadianTimber.com Acadian. I'll begin by outlining the financial and operational highlights for our fourth quarter ended 12/31/2024. Adam will then comment on our results for the year activities undertaken early in 2025 and our outlook for the remainder of the year.

Acadian experienced steady fourth quarter results with overall timber sales volumes excluding biomass consistent with the same period of 2023. However, pricing was impacted by changes in product mix, and weak end use markets resulting in lower sales as compared to the same quarter of 2023. Sales for the fourth quarter were $20,300,000 compared to $23,800,000 in the prior year period. In New Brunswick, a favorable change in customer mix shifted harvesting volumes from Crown licensed timberlands to our freehold timberlands increasing our freehold sales, and decreasing our timber services revenue. New Brunswick experienced improved contractor availability and increased volumes However, contractor availability remained a significant challenge in Maine.

Volumes were also impacted by unfavorable weather conditions stemming from a late start to winter conditions and longer than usual customer shutdowns, due to the timing of holidays Softwood sawlog pricing decreased 5% as compared to the prior year period due to a lower value product mix and weakness in end use markets. Hardwood sawlog pricing decreased 10% primarily due to weakness in Endy's markets. Softwood pulpwood pricing decreased 11% as a result of abundant regional sawmill residuals impacting demand and pricing. Hardwood pulpwood pricing increased 3% as compared to the prior year period due to a favorable customer mix. Biomass sales volumes were relatively consistent Q4 twenty twenty three, however, biomass pricing decreased 63% due to more roadside sales versus the delivered sales compared to the prior year period. Overall, decreased 5% year over year. However, it is also worth noting that the weighted average selling price increased 6% from Q3 twenty twenty four demonstrating recent stability. [indiscernible] expenses were $17,000,000 during the fourth quarter compared to $19,500,000 during the fourth quarter of twenty twenty three. Increased costs related to increased freehold harvesting activity were offset by lower timber services activity and lower land management costs. Weighted average variable costs excluding biomass were flat as compared to the prior year period.

Greater hauling distances and increased contractor rates were offset by a higher proportion of softwood products, which carry lower variable costs as well as lower fuel adjustment costs. Also contributing to our fourth quarter results was the sale of 1,800 acres of Kimberleyans. In October twenty twenty four, Acadian entered into an agreement to sell approximately 2,100 acres of which 1,800 acres closed in November 2024 for gross proceeds of $1,100,000 and a net gain $300,000 The remainder of the transaction is expected to close in the first half of twenty twenty five. Adjusted EBITDA for the fourth quarter was $3,700,000 compared to $4,400,000 in the prior year period and adjusted EBITDA margin for the quarter was 18% compared to 19% in the prior year period. Our net income for the fourth quarter totaled $5,600,000 or $0.32 per share compared to $11,600,000 or $0.68 per share in the same period of 2023. The decrease in net income was largely due to the impact of lower gains on non cash fair value adjustments in 2024 compared to 2023 partially offset by lower income tax expense. Acadian generated free point $1,000,000 of free cash flow and declared dividends of $5,100,000 to our shareholders during the fourth quarter or $0.29 per share.

I'll now move into the fourth quarter results for our New Brunswick operations. Sales for New Brunswick Timberlands were $19,200,000 compared to $19,800,000 during the prior year period. Sales volume excluding biomass increased 7% compared to the prior year period primarily due to increased contractor availability and a favorable change in customer mix which shifted harvesting volumes from Crown license timberlands to our freehold timberlands increasing our freehold sales and decreasing our timber services revenue. Partially offset by unfavorable weather conditions and longer than usual customer shutdowns. Through the timing of holidays. With regard to softwood sawlogs, demand remains steady and volumes increased 21% compared to Q4 twenty twenty three due to the favorable shift in customer mix previously mentioned. Pricing decreased 7% due to a lower value product mix, combined with weakness in end use markets.

Demand and pricing for hardwood sawlogs was negatively impacted by weakness in end use markets. Sales volumes decreased 23% and pricing decreased 9% as compared to the same period in the prior year.

Abundant regional sawmill residuals impacted demand and pricing for softwood pulpwood with sales volumes 19% lower and pricing 11% lower, than the prior year period Hardwood pulpwood volumes increased 10% as compared to Q4 twenty twenty three and pricing increased 3% due to a favorable customer mix Overall for New Brunswick, the weighted average selling price excluding biomass decreased 6% as compared to Q4 twenty twenty three. Operating costs and expenses were $13,400,000 during the fourth quarter compared to $14,900,000 in the prior year period. Increased freehold harvesting activity and increased weighted average variable cost were offset by lower timber services activity. Weighted average variable cost excluding biomass increased 2% as a result of greater hauling distances for sawlogs and higher contractor rates partially offset by lower fuel adjustment costs. New Brunswick adjusted EBITDA for the quarter was $4,200,000 compared to $4,900,000 in the prior year period. Adjusted EBITDA margin was 24% compared to 25% in the prior year period. Switching over to Maine, Sales during the fourth quarter totaled $3,000,000 compared to $4,000,000 in the same period last year. Sales volume, excluding biomass, decreased 29% compared to the same period of 2023 also being impacted by unfavorable weather conditions stemming from a late start to winter conditions and longer than usual customer shutdowns due to the timing of holidays.

Contractor availability issues persisted through the fourth quarter. Softwood sawlog volumes decreased 5% although pricing increased 2% in U. S. Dollar terms.

Hardwood sawlog volumes were negligible during the fourth quarter of the year. Softwood pulpwood volumes were also negligible in Maine, due to the extended shutdown of a major softwood pulpwood customer. Hardwood pulpwood volumes decreased 51% although pricing also increased 2% in U. S. Dollar terms.

The weighted average selling price excluding biomass in U. S. Dollar terms consistent with the same quarter in the prior year. Operating costs and expenses for the fourth quarter were $3,300,000 compared to $4,200,000 during the same period in 2023 as a result of lower harvesting activity, partially offset by higher variable costs.

Weighted average variable costs excluding biomass, increased 3% primarily as a result of greater hauling distances, and the impacts of foreign exchange. Adjusted EBITDA for the quarter was negative $200,000 consistent with Q4 twenty twenty three an adjusted EBITDA margin was negative 7% compared to negative 4% in the prior year period. With respect to Acadian's financial position at the end of the quarter, it remains strong. Ending with a net liquidity position of $29,300,000 including a cash balance of $15,300,000 and our revolving credit facilities, which remain undrawn. A portion of our long term debt totaled $46,000,000 is scheduled to mature in March of twenty twenty five. In December 2024, we signed signed a term sheet to refinance the maturing debt under essentially the same term as the existing facilities but with higher interest rates stemming from the current interest rate environment. With that, I will now turn the call over to Adam.

Thank you, Susan, and good afternoon, everyone. As Susan mentioned, I will first comment on our 2024 results, then move into discussing some activities we have already undertaken in 2025, and finish by discussing our outlook for the rest of the year. As always, Acadian remains committed to health and safety as our number one priority. During the fourth quarter, There were two recordable safety incidents, among our contractors. These are minor incidents that resulted in minimal lost time. As we have said before, we believe that emphasizing and achieving an excellent safety record is a leading indicator of success in the broader business and incident reduction continues to be a primary focus for Acadian. 2024 was a busy year with several notable achievements. In total, Acadian's 2024 sales were were $116,200,000 compared to $93,500,000 in 2023. Adjusted EBITDA totaled $38,900,000 compared to $20,600,000 in 2023, and adjusted EBITDA margin was 33% compared to 22% in the prior year. We generated record free cash flow of $29,700,000 for 2020 to $15,000,000 last year declared dividends of $20,300,000 to our shareholders. Moving into our timber operations, we achieved solid results in 2024 despite the challenges posed to our customers by weakened end use markets.

Timber sales and services were $91,600,000 in 2024 compared to $93,500,000 in 2023. Timber sales volumes excluding biomass increased 16% year over year but was offset by a decrease in our weighted average selling price. And lower timber services activity. New Brunswick continued making progress increasing contractor capacity throughout the year However, limited progress was made in May contractor availability elevated costs remained an issue. Although unseasonably warm weather prevented the ground from freezing, and somewhat hindered operations in both the first and fourth quarters, we operating conditions were generally favorable for the rest of the year. Our weighted average selling price for 2024 was 5% lower than 2023 as a result of changes in product mix, and weak end use markets. Softwood sawlog pricing was impacted by changes in product mix and softwood lumber pricing, much of the year. Southwood pulpwood demand started strong early in the year what was curbed in the second half of the year by abundant regional sawmill residuals in pricing remained stable. Weakness in hardwood lumber markets put downward pressure on hardwood sawlog prices, but demand for Acadian's hardwood sawlogs remained stable. Average pulpwood demand was steady through 2024 while pricing decreased as a result of shorter hauling distances, as compared to the prior year.

Greater softwood sawlog hauling distances in higher contractor rates increased variable costs but were partially offset changes in product mix, and lower fuel adjustment costs. This year, we introduced an Environmental Solutions segment which currently consists of our Acadian credit project in May. During 2024, we sold nearly all the first tranche registered voluntary carbon credits related to the project. The sales were comprised of approximately 752,000 voluntary carbon credits an average price of approximately US24 dollars The sale of carbon credits contributed $24,600,000 to total sales. 2024 saw a significant amount of real estate activity for Acadian. In March, we completed the acquisition of approximately 16,000 acres in Timberland in New Brunswick at a price of $9,000,000 The timberlands are close to the proximity to Acadian's existing operations and customer The property is well stocked benefiting from historical silviculture investments, which will allow Acadian to expand its harvesting operations. Property also presents significant potential for revenue diversification through other land use opportunities. During 2025, we expect to begin both harvesting operations and realizing revenue through other land use opportunities which includes residential lot sales on this property. As Susan mentioned, we also entered into an agreement to sell approximately 2,100 acres of timberland, The land included in the disposition is composed of smaller parcels relatively low operational or strategic value to Acadian and and demonstrates our focus on maximizing the value derived from our assets.

As we have discussed previously, we have increased our activities surrounding Upper In February 2024, Acadian executed an agreement for the option to lease approximately 10,000 acres of its main timberlands. The agreement includes multiple leasing terms with escalating fees, progress is made on the project. Incremental cash flows attributable to the initial terms are modest. However, the project reached the construction term, which will take several years, The incremental cash flows may become material Acadian. In November 2024, Acadian installed a meteorological tower to collect wind data on our New Brunswick Timberland. This investment will deepen our understanding of the wind power potential on our land base. Which we already understand to be considerable and enable further exploration of the opportunities available to Acadian to participate in the renewable energy sector in New Brunswick. We've already been busy in 2025. As noted in our press release and annual report, since year end, we've established our own harvesting operation in Maine with the goal of expanding our harvesting capacity reducing operating costs. In January 2025, subsequent to year end, Acadian completed the purchase of several pieces of new harvesting equipment and hired equipment operators. Who have already begun harvesting on our main timberlands And just three days ago, February 10, Acadian signed an agreement to purchase certain logging and related assets of ANA Brochu to further expand its internal harvesting operation.

The assets include harvesting, Trucking road working equipment and related real estate which combined with an established workforce constitute a turnkey lagging operation in Maine. BNA Brochu and its employees have provided contracting services to Acadian for many years The employees are familiar with our land base and we are excited to welcome them to the Acadian team. The transaction is expected to close later in the first quarter. To turn to our outlook for the remainder of 2025, and potential tariffs are causing concern among forest product companies in both The U. S. And Canada. We are evaluating the impacts that could be felt by Acadian and its customers the alternative strategies that may be available should tariffs be imposed. However, with the many dynamics that come into play, including the greater economic outlook, The ultimate impacts cannot be known at this time. North American interest rates and inflation continue to ease. And the consensus forecast for U. S. Housing starts is steady approximately 1,360,000 starts in 2025. As compared to 1,350,000 in 2024. We therefore remain confident that the stability of the Northeastern forestry sector combined with the long term necessity for new homes and repair remodel activity, will support the long term demand as has been demonstrated in recent years.

The sufficient contractor availability achieved in New Brunswick in 2024 through the hard work our team is expected to continue into 2025. Through the establishment of our own harvesting operations in Maine, expect the persistent issue of contractor availability to be addressed and we expect to increase production in Maine in 2025. Production levels are expected to improve throughout the year and we should start to see variable costs improve in the back half of 2025. Term hardwood and salt softwood sawlog demand is expected to remain stable while pricing may remain challenged until end use markets improve. Demand in pricing for softwood pulpwood is expected to remain at reduced levels in the near term, due to abundant regional sawmill residuals. And hardwood pulpwood is expected. With respect to voluntary carbon credits, demand and pricing are expected to remain stable for credits from quality projects. After selling nearly all of our current registered credits in 2024, our inventories are expected to be replenished in the near term. The registration process for the second and third tranches of carbon credits for the ongoing project is expected to result in approximately 350,000 credits in in total and is expected to be completed in the first half of twenty twenty five.

The protocol for developing compliance carbon credits for a managed forest in Canada was finalized during the year. Acadian is evaluating the opportunities to develop eligible carbon credits that the compliance protocol may present in conjunction with the opportunities that exist under the current protocols and is in the process of designing our next projects. We expect to remain busy with real estate throughout 2025, we begin to sell some of our residential lots in continue to focus on further investments and partnerships in renewable energy, in both Maine and New Brunswick. In closing, 2025 is off to a good start. And Mother Nature seems to be cooperating. We are energized by the start up of our new of our own harvesting operation in Maine and look forward to a productive year ahead.

Through 2025, we will remain focused on safety and environmental performance, While obtaining the highest margins available for our products, we and making improvements throughout the business to maximize cash flows. Acadian, we have a remarkable asset base outstanding people. Guided by the principles of sustainable forest management, we will continue to advance opportunities to deliver long term value to our shareholders. With that, we are now available to take your questions. Operator?

Thank you. And our first question will come from Matthew McKehler with RBC. Your line is now open. Thanks very much. Good morning. Thanks for taking my question. First, I'd like to start out just asking about internalizing your harvesting operations in Maine. Between the equipment you purchased in January and then the further acquisition of assets that came with the workforce [indiscernible] Are you now essentially at the scale you expect to be at as sort of your new run rate there? Or are you still sort of scaling up operations? Do you plan acquire further equipments? What are your plans from here?

Yes. We believe that the equipment we purchased either on our own or through the acquisition that's supposed to close will close in Q1. We're at scale. We believe that through that those acquisitions, we're going to be able to harvest volumes that we need to achieve our plans and our expected cuts in the future.

Okay. Thanks.

And is there a way to think about how much of the harvesting maybe in terms of volumes you'll be doing with your own operations maybe by the end of the year?

And then just to confirm, I heard that you're looking to harvest sort of in line with your longer term plans in Maine as you sort of ramp up there. Is that correct?

That's correct on the second part. And I would say most, if not all of the harvesting will be done internally moving forward, Matthew. We may pulse in some contractors if necessary, but with what we've acquired, will be able to do most, if not all of our harvesting most if not all of our road work and we may need to rely on some trucking contractors that hasn't been a significant issue for us in Maine over the last number of years. So we're not too concerned about building up on the trucking side right yet.

Great. That's very helpful. If I could just sneak one last one in. You talked about building out your real estate capabilities. It sounds like you have a fair bit in your pipeline there. Just at a high level, how should we think about what progress you're likely to make on this front in 2025, whether it's across kind of developing those residential lot sales, renewable energy leases or or other opportunities? Yes, it's a great question. Real estate takes certainly done that over the last year or two. Real estate takes some time. To develop out and we've been working very diligently over the last year or two We expect to see some some results as I pointed out on the residential lot side. Certainly expect to see some of that. I would also, if our plans continue on at the current pace, I suspect we'll be in front of you announcing some other plans that we have in the works. Either on the renewable side or on the development real estate development side in both New Brunswick and Maine. Nothing to announce today, but it's really hard to get up in front of it. We need to need to do a little bit more work, but we're making progress on a fairly good pipeline at this Great.

We'll look forward to that. Thanks very much. I'll take it back. Thanks, Matthew.

I show no further questions at this time. I would like to turn the call back over to Adam for any closing remarks.

Great. On behalf of the Board and management of Acadian, I would like to thank all of our shareholders for their ongoing support. Thank you. Stay safe and we look forward to joining Looking forward to you joining us on our virtual Annual General Meeting first quarter twenty twenty five Conference call both on May eight, Goodbye.

This concludes today's conference call Thank you for participating. You may now disconnect.