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Sep 30, 2024
PotlatchDeltic Q3 2024 Earnings Report
PotlatchDeltic reported a net income of $3.3 million on revenues of $255.1 million for Q3 2024.
Key Takeaways
PotlatchDeltic Corporation reported net income of $3.3 million, or $0.04 per diluted share, on revenues of $255.1 million for the quarter ended September 30, 2024. The company's businesses delivered solid operational performance while navigating a challenging lumber market and broader economic environment. The Waldo, Arkansas sawmill expansion and modernization project was completed.
Generated Total Adjusted EBITDDA of $45.9 million and Total Adjusted EBITDDA margin of 18%.
Completed construction on the Waldo, Arkansas sawmill expansion and modernization project.
Repurchased 57,000 shares for $2.4 million, or $42 per share.
Maintained strong liquidity of $460 million as of September 30, 2024.
PotlatchDeltic
PotlatchDeltic
PotlatchDeltic Revenue by Segment
Revenue by Segment
Timberlands Revenue
CapyFin.comWood Products Revenue
CapyFin.comReal Estate Revenue
CapyFin.com Forward Guidance
The company believes that lumber markets are stabilizing as supply and demand in the industry continue to align. They are also optimistic that reductions in interest rates will serve as a catalyst, creating positive momentum in the housing and repair and remodel markets, thereby driving demand in their business.
Positive Outlook
- Lumber markets are stabilizing as supply and demand in the industry continue to align.
- Reductions in interest rates will serve as a catalyst, creating positive momentum in the housing and repair and remodel markets.
- Strategic investment positions the Waldo mill to be a top quartile sawmill.
- Waldo mill enabling it to generate an additional $25 million of Adjusted EBITDDA annually under a mid-cycle sales environment once the mill reaches its new capacity output.
- Company will continue to be disciplined stewards of shareholders’ capital and remain focused on returning capital to shareholders while prioritizing the long-term value for shares.
Challenges Ahead
- Challenging lumber market
- Broader economic environment
- Changes in the U.S. housing market
- Changes in timberland values
- Changes in timber prices
Revenue & Expenses
Visualization of income flow from segment revenue to net income