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Dec 31, 2021
Boise Cascade Q4 2021 Earnings Report
Boise Cascade reported strong Q4 2021 results driven by high demand and effective execution.
Key Takeaways
Boise Cascade reported a net income of $169.1 million, or $4.26 per share, on sales of $1.8 billion for the fourth quarter of 2021. The company benefited from strong demand and supply-side constraints, leading to an unprecedented year. They also returned capital to shareholders and advanced growth strategies.
Net income for Q4 2021 was $169.1 million, or $4.26 per share, compared to $26.0 million, or $0.66 per share, for the same quarter in 2020.
Sales for Q4 2021 increased by 21% to $1.8 billion from $1.5 billion in Q4 2020.
The Wood Products segment saw a 25% increase in sales, driven by higher net sales prices for I-joists and LVL.
The Building Materials Distribution segment experienced a 24% increase in sales, driven by both sales price and sales volume increases.
Boise Cascade
Boise Cascade
Boise Cascade Revenue by Segment
Revenue by Segment
Wood Products Revenue
CapyFin.comBuilding Materials Distribution Revenue
CapyFin.com Forward Guidance
Economic uncertainty due to the ongoing COVID-19 pandemic continues. However, mortgage rate levels, continuation of work-from-home practices by many in the economy, and demographics in the U.S. have created a favorable demand environment for new residential construction, which we expect to continue in 2022.
Positive Outlook
- Mortgage rate levels are favorable for new residential construction.
- Continuation of work-from-home practices supports housing demand.
- U.S. demographics are creating a favorable demand environment.
- Limited new and existing home inventory availability supports residential construction.
- Age of the U.S. housing stock provides a favorable backdrop for repair-and-remodel spending.
Challenges Ahead
- COVID-19 variants continue to spread, causing short-term disruptions.
- Labor shortages may continue to extend build times and limit activity.
- Supply induced constraints on residential construction activity may continue to extend build times and limit activity.
- Pace of residential construction may be affected by the cost of building materials and construction.
- Economic impact of housing affordability may affect residential construction and repair-and-modeling activity.
Revenue & Expenses
Visualization of income flow from segment revenue to net income