Kruger Products to invest over USD 1 billion in new tissue plant in the United States

Kruger Products announced plans to build a new, state-of-the-art tissue plant in the western United States, featuring the most modern Through-Air-Dried (TAD) machine and related converting lines. This investment is part of the company’s expansion plan exceeding USD 1 billion since 2018, aimed at increasing tissue capacity and accelerating business growth across North America.

The new facility will complement Kruger Products’ existing network, which includes its Memphis plant and nine Canadian operations, further reinforcing its ability to meet growing demand in both the U.S. and Canadian markets.

According to the company’s Q3 2025 financial results, Kruger Products —Canada’s leading manufacturer of quality tissue products for both the Consumer and Away-From-Home markets— reported revenue of USD 561.1 million, up 7.7% from Q3 2024. Adjusted EBITDA reached USD 85.7 million, a 30.4% year-over-year increase.

 

Net income was USD 14.6 million, compared to USD 18 million in the same quarter of 2024, mainly due to higher finance costs, depreciation, and tax expenses. The company declared a quarterly dividend of USD 0.18 per share, payable on January 15, 2026.

KP Tissue CEO Dino Bianco emphasized the company’s profitable sales growth and market share gains in paper towel and facial tissue categories, supported by premium brand innovation. He also highlighted strong performance in the Away-From-Home segment, driven by the success of brands such as Scotties and Cashmere.

Bianco stated that Kruger Products is on track to deliver a third consecutive year of strong financial results and has significantly strengthened its balance sheet to support its next growth phase. Production at the new TAD tissue facility is expected to begin in 2028.