Jun 30, 2022

Weyerhaeuser Q2 2022 Earnings Report

Reported strong second-quarter results with solid performance across all business segments.

Key Takeaways

Weyerhaeuser reported second quarter net earnings of $788 million, or $1.06 per diluted share, on net sales of $3.0 billion. The company's financial position remains exceptionally strong, and they are committed to delivering operational excellence and enhancing shareholder value.

Achieved net earnings of $788 million, or $1.06 per diluted share

Generated record first half Adjusted EBITDA of $2.7 billion

Enhanced portfolio with strategic timberlands acquisition in North and South Carolina

Teams delivered strong results across each of our businesses

Total Revenue
$2.97B
Previous year: $3.14B
-5.4%
EPS
$1.06
Previous year: $1.37
-22.6%
Gross Profit
$1.18B
Previous year: $1.56B
-24.2%
Cash and Equivalents
$1.72B
Previous year: $1.78B
-3.0%
Total Assets
$17.6B
Previous year: $17.8B
-1.4%

Weyerhaeuser

Weyerhaeuser

Weyerhaeuser Revenue by Segment

Forward Guidance

Weyerhaeuser anticipates third quarter earnings before special items and Adjusted EBITDA will be lower than second quarter 2022, but moderately higher than third quarter 2021.

Positive Outlook

  • In the South, the company expects sales realizations and per unit log and haul costs to be comparable and fee harvest volumes to be moderately higher.
  • Raw material costs for engineered wood products are expected to be significantly lower, primarily for oriented strand board webstock.
  • The company expects comparable sales volumes and unit manufacturing costs for lumber, as well as moderately lower log costs.
  • The company expects slightly lower sales volumes, comparable fiber costs
  • The company now expects full year 2022 Adjusted EBITDA for the segment will be approximately $325 million

Challenges Ahead

  • Weyerhaeuser anticipates third quarter earnings before special items and Adjusted EBITDA will be lower than second quarter 2022
  • In the West, the company expects comparable fee harvest volumes and significantly lower sales volumes due to export.
  • Sales realizations are expected to be moderately lower
  • Forestry and road costs in the West and South are expected to be seasonally higher.
  • For oriented strand board, the company expects significantly higher unit manufacturing costs due to planned maintenance outages.

Revenue & Expenses

Visualization of income flow from segment revenue to net income