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Jun 30, 2024
Weyerhaeuser Q2 2024 Earnings Report
Weyerhaeuser reported second quarter results with net earnings of $173 million and Adjusted EBITDA of $410 million.
Key Takeaways
Weyerhaeuser reported second quarter net earnings of $173 million, or 24 cents per diluted share, on net sales of $1.9 billion. Adjusted EBITDA for the second quarter was $410 million. The company also completed approximately $100 million of share repurchases in the first half of 2024 and enhanced its Timberlands portfolio with $244 million of strategic acquisitions in Alabama.
Net earnings reached $173 million, or $0.24 per diluted share, and net earnings before special items were $154 million, or $0.21 per diluted share.
Adjusted EBITDA increased by 16 percent to $410 million compared to the first quarter of 2024.
Approximately $100 million of share repurchases were completed in the first half of 2024.
The Timberlands portfolio was enhanced with $244 million of strategic acquisitions in Alabama.
Weyerhaeuser
Weyerhaeuser
Weyerhaeuser Revenue by Segment
Revenue by Segment
Timberlands Revenue
CapyFin.comReal Estate & ENR Revenue
CapyFin.comWood Products Revenue
CapyFin.com Forward Guidance
Weyerhaeuser anticipates third quarter earnings and Adjusted EBITDA will be lower than the second quarter in Timberlands and Real Estate, Energy & Natural Resources segments. For Wood Products, the company expects lower earnings before special items and Adjusted EBITDA than the second quarter, excluding the effect of changes in average sales realizations for lumber and oriented strand board.
Positive Outlook
- In the South Timberlands, the company expects fee harvest volumes to be moderately higher in Q3.
- For engineered wood products, the company expects comparable sales volumes and lower raw material costs in Q3.
- The company now expects full year 2024 Adjusted EBITDA to be approximately $330 million for Real Estate, Energy & Natural Resources segment.
- For oriented strand board, the company anticipates comparable sales volumes in Q3.
- For lumber, the company expects slightly lower log costs in Q3.
Challenges Ahead
- Weyerhaeuser anticipates third quarter earnings and Adjusted EBITDA will be approximately $20-30 million lower than the second quarter for Timberlands.
- Weyerhaeuser anticipates third quarter earnings will be approximately $10 million lower than the second quarter and Adjusted EBITDA will be approximately $30 million lower than the second quarter for Real Estate, Energy & Natural Resources.
- For lumber, the company expects lower sales volumes and higher unit manufacturing costs in Q3.
- For oriented strand board, the company anticipates slightly higher fiber costs and moderately higher unit manufacturing costs in Q3.
- For engineered wood products, the company expects moderately lower sales realizations, primarily for plywood and medium density fiberboard in Q3.
Revenue & Expenses
Visualization of income flow from segment revenue to net income