- Achieved net earnings of $114
million, or $0.16 per diluted
share
- Generated Adjusted EBITDA of $352
million, a 10 percent increase compared with fourth quarter
2023
- Increased quarterly base dividend by 5.3 percent
- Enhanced our carbon capture and sequestration business with
exploration agreement across five potential sites in the U.S.
South
SEATTLE, April 25,
2024 /PRNewswire/ -- Weyerhaeuser
Company (NYSE: WY) today reported first quarter net
earnings of $114 million, or 16 cents per diluted share,
on net sales of $1.8 billion. This
compares with net earnings of $151
million, or 21 cents per diluted share, on net sales of
$1.9 billion for the same period last
year and net earnings of $219 million
for fourth quarter 2023. There were no special items in first
quarter 2024 or the same period last year. Net earnings before
special items was $121 million for
fourth quarter 2023. Adjusted EBITDA for first quarter 2024 was
$352 million, compared with
$395 million for the same period last
year and $321 million for fourth
quarter 2023.
"In the first quarter, we delivered solid results across our
businesses," said Devin W. Stockfish, president and chief executive
officer. "In addition, we continued to make progress toward our
multi-year targets by increasing our base dividend by 5.3 percent
and signing our third carbon capture and sequestration agreement in
the U.S. South. Looking forward, we are encouraged by the strong
underlying fundamentals that will drive long-term growth for
housing and repair and remodel demand, and natural climate
solutions. And given our unmatched portfolio of assets, we are
uniquely positioned to capitalize on these opportunities well into
the future. Our balance sheet is exceptionally strong, and we
remain focused on driving peer-leading performance across our
businesses, serving our customers and delivering superior long-term
value and returns to our shareholders."
WEYERHAEUSER
FINANCIAL HIGHLIGHTS
|
|
2023
|
|
|
2024
|
|
|
2023
|
|
(millions, except
per share data)
|
|
Q4
|
|
|
Q1
|
|
|
Q1
|
|
Net sales
|
|
$
|
1,774
|
|
|
$
|
1,796
|
|
|
$
|
1,881
|
|
Net earnings
|
|
$
|
219
|
|
|
$
|
114
|
|
|
$
|
151
|
|
Net earnings per
diluted share
|
|
$
|
0.30
|
|
|
$
|
0.16
|
|
|
$
|
0.21
|
|
Weighted average shares
outstanding, diluted
|
|
|
731
|
|
|
|
731
|
|
|
|
734
|
|
Net earnings before
special items(1)(2)
|
|
$
|
121
|
|
|
$
|
114
|
|
|
$
|
151
|
|
Net earnings per
diluted share before special items(1)
|
|
$
|
0.16
|
|
|
$
|
0.16
|
|
|
$
|
0.21
|
|
Adjusted
EBITDA(1)
|
|
$
|
321
|
|
|
$
|
352
|
|
|
$
|
395
|
|
Net cash from
operations
|
|
$
|
288
|
|
|
$
|
124
|
|
|
$
|
126
|
|
Adjusted
FAD(3)
|
|
$
|
92
|
|
|
$
|
45
|
|
|
$
|
55
|
|
|
|
(1)
|
Net earnings before
special items is a non-GAAP measure that management believes
provides helpful context in understanding the company's earnings
performance. Additionally, Adjusted EBITDA is a non-GAAP measure
that management uses to evaluate the performance of the company.
Adjusted EBITDA, as we define it, is operating income adjusted for
depreciation, depletion, amortization, basis of real estate sold
and special items. Net earnings before special items and Adjusted
EBITDA should not be considered in isolation from, and are not
intended to represent an alternative to, our GAAP results.
Reconciliations of net earnings before special items and Adjusted
EBITDA to GAAP earnings are included within this
release.
|
(2)
|
Special items for prior
periods presented are included in the reconciliation tables within
this release.
|
(3)
|
Adjusted Funds
Available for Distribution (Adjusted FAD) is a non-GAAP measure
that management uses to evaluate the company's liquidity. Adjusted
FAD, as we define it, is net cash from operations adjusted for
capital expenditures and significant non-recurring items. Adjusted
FAD measures cash generated during the period (net of capital
expenditures and significant non-recurring items) that is available
for dividends, repurchases of common shares, debt reduction,
acquisitions, and other discretionary and nondiscretionary capital
allocation activities. Adjusted FAD should not be considered in
isolation from, and is not intended to represent an alternative to,
our GAAP results. A reconciliation of Adjusted FAD to net cash from
operations is included within this release.
|
TIMBERLANDS
FINANCIAL
HIGHLIGHTS
|
|
2023
|
|
|
2024
|
|
|
|
|
(millions)
|
|
Q4
|
|
|
Q1
|
|
|
Change
|
|
Net sales
|
|
$
|
534
|
|
|
$
|
521
|
|
|
$
|
(13)
|
|
Net contribution to
pretax earnings
|
|
$
|
186
|
|
|
$
|
80
|
|
|
$
|
(106)
|
|
Pretax benefit for
special items
|
|
$
|
(109)
|
|
|
$
|
—
|
|
|
$
|
109
|
|
Net contribution to
pretax earnings before special items
|
|
$
|
77
|
|
|
$
|
80
|
|
|
$
|
3
|
|
Adjusted
EBITDA
|
|
$
|
143
|
|
|
$
|
144
|
|
|
$
|
1
|
|
Q1 2024 Performance – In the West, fee harvest volumes
were moderately higher than the fourth quarter. Domestic sales
volumes were significantly higher and export sales volumes were
significantly lower, primarily for China, as the company flexed volumes to the
domestic market. Domestic sales realizations were slightly lower,
primarily due to mix, while export sales realizations were
comparable. Per unit log and haul costs were significantly lower
due to the seasonal transition to lower elevation harvest activity.
In the South, fee harvest volumes were slightly lower than the
fourth quarter. Sales realizations and per unit log and haul costs
were comparable. Forestry and road costs in the West and South were
seasonally lower.
Q2 2024 Outlook – Weyerhaeuser anticipates second
quarter earnings and Adjusted EBITDA will be slightly higher than
the first quarter. In the West, the company expects moderately
higher fee harvest volumes, comparable sales realizations, and
higher per unit log and haul costs. In the South, the company
expects fee harvest volumes to be moderately higher and sales
realizations and per unit log and haul costs to be comparable.
Forestry and road costs in the West and South are expected to be
seasonally higher.
REAL ESTATE, ENERGY & NATURAL RESOURCES
FINANCIAL
HIGHLIGHTS
|
|
2023
|
|
|
2024
|
|
|
|
|
(millions)
|
|
Q4
|
|
|
Q1
|
|
|
Change
|
|
Net sales
|
|
$
|
77
|
|
|
$
|
107
|
|
|
$
|
30
|
|
Net contribution to
pretax earnings
|
|
$
|
50
|
|
|
$
|
60
|
|
|
$
|
10
|
|
Adjusted
EBITDA
|
|
$
|
67
|
|
|
$
|
94
|
|
|
$
|
27
|
|
Q1 2024 Performance – Earnings and Adjusted EBITDA
increased from the fourth quarter due to higher real estate sales.
The number of acres sold increased significantly and the average
price per acre decreased due to the timing and mix of properties
sold.
Q2 2024 Outlook – Weyerhaeuser anticipates second
quarter earnings will be approximately $10
million lower than the first quarter and Adjusted EBITDA
will be comparable to the first quarter due to the timing and mix
of real estate sales.
WOOD PRODUCTS
FINANCIAL
HIGHLIGHTS
|
|
2023
|
|
|
2024
|
|
|
|
|
(millions)
|
|
Q4
|
|
|
Q1
|
|
|
Change
|
|
Net sales
|
|
$
|
1,302
|
|
|
$
|
1,302
|
|
|
$
|
—
|
|
Net contribution to
pretax earnings
|
|
$
|
119
|
|
|
$
|
128
|
|
|
$
|
9
|
|
Pretax benefit for
special items
|
|
$
|
(14)
|
|
|
$
|
—
|
|
|
$
|
14
|
|
Net contribution to
pretax earnings before special items
|
|
$
|
105
|
|
|
$
|
128
|
|
|
$
|
23
|
|
Adjusted
EBITDA
|
|
$
|
159
|
|
|
$
|
184
|
|
|
$
|
25
|
|
Q1 2024 Performance – Sales realizations for both lumber
and oriented strand board increased four percent compared with
fourth quarter averages. Sales volumes for lumber were slightly
lower, partially driven by winter weather disruptions early in the
quarter. Unit manufacturing costs for lumber were slightly higher
and log costs were slightly lower. For oriented strand board, sales
volumes and fiber costs were slightly higher, while unit
manufacturing costs were slightly lower. Sales realizations were
lower for most engineered wood products, while raw material costs
were moderately higher. Unit manufacturing costs were slightly
higher, and sales volumes were comparable for solid section and
lower for I-joist products. Distribution results were higher due to
improved commodity realizations and margins.
Q2 2024 Outlook – Weyerhaeuser anticipates second
quarter earnings and Adjusted EBITDA will be slightly higher than
the first quarter, excluding the effect of changes in average sales
realizations for lumber and oriented strand board. For lumber, the
company expects higher sales volumes, slightly lower log costs, and
moderately lower unit manufacturing costs. For oriented strand
board, the company anticipates moderately higher sales volumes,
slightly higher fiber costs, and comparable unit manufacturing
costs. For engineered wood products, the company expects sales
volumes to be higher, sales realizations to be comparable, and raw
material costs to be higher, primarily for oriented strand board
webstock. For distribution, the company anticipates higher results
compared to the first quarter.
ABOUT WEYERHAEUSER
Weyerhaeuser Company, one of the world's largest private owners
of timberlands, began operations in 1900 and today owns or controls
approximately 10.5 million acres of timberlands in the U.S., as
well as additional public timberlands managed under long-term
licenses in Canada. Weyerhaeuser
has been a global leader in sustainability for more than a century
and manages 100 percent of its timberlands on a
fully sustainable basis in compliance with
internationally recognized sustainable forestry standards.
Weyerhaeuser is also one of the largest manufacturers of wood
products in North America and
operates additional business lines around product distribution,
climate solutions, real estate, and energy and natural resources,
among others. In 2023, the company generated $7.7 billion in net sales and employed
approximately 9,300 people who serve customers worldwide. Operated
as a real estate investment trust, Weyerhaeuser's common stock
trades on the New York Stock Exchange under the symbol WY. Learn
more at www.weyerhaeuser.com.
EARNINGS CALL INFORMATION
Weyerhaeuser will hold a live conference call at 7 a.m. Pacific (10
a.m. Eastern) on April 26,
2024, to discuss first quarter results.
To access the live webcast and presentation online, go to the
Investor Relations section
on www.weyerhaeuser.com on April
26, 2024.
To join the conference call from within North America, dial 1-877-407-0792 (access
code: 13742027) at least 15 minutes prior to the call. Those
calling from outside North America
should dial 201-689-8263 (access code: 13742027). Replays will be
available for two weeks at 1-844-512-2921 (access code: 13742027)
from within North America, and at
1-412-317-6671 (access code: 13742027) from outside North America.
FORWARD-LOOKING STATEMENTS
This news release contains statements concerning the company's
future results and performance that are forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995, including, but not limited to, with respect to our outlook
and expectations concerning the following: long-term growth in
housing, repair and remodel demand and natural climate solutions;
future operating performance, innovation and delivery of long-term
shareholder value and returns; earnings and Adjusted EBITDA for the
company and for each of our businesses; fee harvest volumes, sales
realizations, log and haul costs and forestry and road costs for
our Timberlands business; sales volumes, log costs and unit
manufacturing costs for our lumber business; sales volumes, fiber
costs and unit manufacturing costs for our oriented strand board
business and sales volumes, sales realizations and raw material
costs for our engineered wood products business and results for our
distribution business. Forward-looking statements can be identified
by the fact that they do not relate strictly to historical or
current facts. They often involve use of words and expressions such
as "anticipate," "expect," "future," "growth," "look forward,"
"will," and similar words and expressions. They may use the
positive, negative or another variation of those and similar words
and expressions. These forward-looking statements are based on our
current expectations and assumptions and are not guarantees of
future events or performance. The realization of our expectations
and the accuracy of our assumptions are subject to a number of
risks and uncertainties that could cause actual results to differ
materially from those described in the forward-looking statements.
These risks and uncertainties include, but are not limited to:
- the effect of general economic conditions, including employment
rates, interest rates, inflation rates, housing starts, general
availability and cost of financing for home mortgages and the
relative strength of the U.S. dollar;
- market demand for the company's products, including market
demand for our timberland properties with higher and better uses,
which is related to, among other factors, the strength of the
various U.S. business segments and U.S. and international economic
conditions;
- changes in currency exchange rates, particularly the relative
value of the U.S. dollar to the Japanese yen, the Chinese yuan and
the Canadian dollar, and the relative value of the euro to the
yen;
- restrictions on international trade and tariffs imposed on
imports or exports;
- the availability and cost of shipping and transportation;
- economic activity in Asia,
especially Japan and China;
- performance of our manufacturing operations, including
maintenance and capital requirements;
- potential disruptions in our manufacturing operations;
- the level of competition from domestic and foreign
producers;
- the successful execution of our internal plans and strategic
initiatives, including restructuring and cost reduction
initiatives;
- our ability to hire and retain capable employees;
- the successful and timely execution and integration of our
strategic acquisitions, including our ability to realize expected
benefits and synergies, and the successful and timely execution of
our strategic divestitures, each of which is subject to a number of
risks and conditions beyond our control including, but not limited
to, timing and required regulatory approvals or the occurrence of
any event, change or other circumstances that could give rise to a
termination of any acquisition or divestiture transaction under the
terms of the governing transaction agreements;
- raw material availability and prices;
- the effect of weather;
- changes in global or regional climate conditions and
governmental response to such changes;
- the risk of loss from fires, floods, windstorms, hurricanes,
pest infestation and other natural disasters;
- the effects of significant geopolitical conditions or
developments such as significant international trade disputes or
domestic or foreign terrorist attacks, armed conflict and political
unrest;
- the occurrence of regional or global health epidemics and their
potential effects on our business, results of operations, cash
flows, financial condition and future prospects;
- energy prices;
- transportation and labor availability and costs;
- federal tax policies;
- the effect of forestry, land use, environmental and other
governmental regulations;
- legal proceedings;
- performance of pension fund investments and related
derivatives;
- the effect of timing of employee retirements as it relates to
the cost of pension benefits and changes in the market price of our
common stock on charges for share-based compensation;
- the accuracy of our estimates of costs and expenses related to
contingent liabilities and the accuracy of our estimates of charges
related to casualty losses;
- changes in accounting principles and
- other risks and uncertainties identified in our 2023 Annual
Report on Form 10-K, as well as those set forth from time to time
in our other public statements, reports, registration statements,
prospectuses, information statements and other filings with the
SEC.
It is not possible to predict or identify all risks and
uncertainties that might affect the accuracy of our forward-looking
statements and, consequently, our descriptions of such risks and
uncertainties should not be considered exhaustive. There is no
guarantee that any of the events anticipated by these
forward-looking statements will occur, and if any of the events do
occur, there is no guarantee what effect they will have on the
company's business, results of operations, cash flows, financial
condition and future prospects.
Forward-looking statements speak only as of the date they are
made, and we undertake no obligation to publicly update or revise
any forward-looking statements, whether because of new information,
future events, or otherwise.
RECONCILIATION OF ADJUSTED EBITDA TO NET EARNINGS
We reconcile Adjusted EBITDA to net earnings for the
consolidated company and to operating income (loss) for the
business segments, as those are the most directly comparable U.S.
GAAP measures for each.
The table below reconciles Adjusted EBITDA for the quarter ended
December 31, 2023:
(millions)
|
|
Timberlands
|
|
|
Real Estate
& ENR
|
|
|
Wood
Products
|
|
|
Unallocated
Items
|
|
|
Total
|
|
Adjusted EBITDA by
Segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
219
|
|
Interest expense, net
of capitalized interest
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
72
|
|
Income
taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3)
|
|
Net contribution
(charge) to earnings
|
|
$
|
186
|
|
|
$
|
50
|
|
|
$
|
119
|
|
|
$
|
(67)
|
|
|
$
|
288
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
12
|
|
|
|
12
|
|
Interest income and
other
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(22)
|
|
|
|
(22)
|
|
Operating income
(loss)
|
|
|
186
|
|
|
|
50
|
|
|
|
119
|
|
|
|
(77)
|
|
|
|
278
|
|
Depreciation,
depletion and amortization
|
|
|
66
|
|
|
|
4
|
|
|
|
54
|
|
|
|
2
|
|
|
|
126
|
|
Basis of real estate
sold
|
|
|
—
|
|
|
|
13
|
|
|
|
—
|
|
|
|
—
|
|
|
|
13
|
|
Special items included
in operating income (loss)(1)(2)(3)
|
|
|
(109)
|
|
|
|
—
|
|
|
|
(14)
|
|
|
|
27
|
|
|
|
(96)
|
|
Adjusted
EBITDA
|
|
$
|
143
|
|
|
$
|
67
|
|
|
$
|
159
|
|
|
$
|
(48)
|
|
|
$
|
321
|
|
|
|
(1)
|
Operating income (loss)
for Timberlands includes pretax special items consisting of an $84
million gain on the sale of timberlands and a $25 million legal
benefit.
|
(2)
|
Operating income (loss)
for Wood Products includes a pretax special item consisting of a
$14 million insurance recovery.
|
(3)
|
Operating income (loss)
for Unallocated includes a pretax special item consisting of $27
million of legal expense.
|
The table below reconciles Adjusted EBITDA for the quarter ended
March 31, 2024:
(millions)
|
|
Timberlands
|
|
|
Real Estate
& ENR
|
|
|
Wood
Products
|
|
|
Unallocated
Items
|
|
|
Total
|
|
Adjusted EBITDA by
Segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
114
|
|
Interest expense, net
of capitalized interest
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
67
|
|
Income
taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
20
|
|
Net contribution
(charge) to earnings
|
|
$
|
80
|
|
|
$
|
60
|
|
|
$
|
128
|
|
|
$
|
(67)
|
|
|
$
|
201
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
11
|
|
|
|
11
|
|
Interest income and
other
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(16)
|
|
|
|
(16)
|
|
Operating income
(loss)
|
|
|
80
|
|
|
|
60
|
|
|
|
128
|
|
|
|
(72)
|
|
|
|
196
|
|
Depreciation,
depletion and amortization
|
|
|
64
|
|
|
|
3
|
|
|
|
56
|
|
|
|
2
|
|
|
|
125
|
|
Basis of real estate
sold
|
|
|
—
|
|
|
|
31
|
|
|
|
—
|
|
|
|
—
|
|
|
|
31
|
|
Adjusted
EBITDA
|
|
$
|
144
|
|
|
$
|
94
|
|
|
$
|
184
|
|
|
$
|
(70)
|
|
|
$
|
352
|
|
The table below reconciles Adjusted EBITDA for the quarter ended
March 31, 2023:
(millions)
|
|
Timberlands
|
|
|
Real Estate
& ENR
|
|
|
Wood
Products
|
|
|
Unallocated
Items
|
|
|
Total
|
|
Adjusted EBITDA by
Segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
151
|
|
Interest expense, net
of capitalized interest
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
66
|
|
Income
taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
22
|
|
Net contribution
(charge) to earnings
|
|
$
|
120
|
|
|
$
|
53
|
|
|
$
|
95
|
|
|
$
|
(29)
|
|
|
$
|
239
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
9
|
|
|
|
9
|
|
Interest income and
other
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(12)
|
|
|
|
(12)
|
|
Operating income
(loss)
|
|
|
120
|
|
|
|
53
|
|
|
|
95
|
|
|
|
(32)
|
|
|
|
236
|
|
Depreciation,
depletion and amortization
|
|
|
68
|
|
|
|
3
|
|
|
|
53
|
|
|
|
2
|
|
|
|
126
|
|
Basis of real estate
sold
|
|
|
—
|
|
|
|
33
|
|
|
|
—
|
|
|
|
—
|
|
|
|
33
|
|
Adjusted
EBITDA
|
|
$
|
188
|
|
|
$
|
89
|
|
|
$
|
148
|
|
|
$
|
(30)
|
|
|
$
|
395
|
|
RECONCILIATION OF NET EARNINGS BEFORE SPECIAL ITEMS TO NET
EARNINGS
We reconcile net earnings before special items to net earnings
and net earnings per diluted share before special items to net
earnings per diluted share, as those are the most directly
comparable U.S. GAAP measures. We believe the measures provide
meaningful supplemental information for investors about our
operating performance, better facilitate period to period
comparisons and are widely used by analysts, lenders, rating
agencies and other interested parties.
The table below reconciles net earnings before special items to
net earnings:
|
|
2023
|
|
|
2024
|
|
|
2023
|
|
(millions)
|
|
Q4
|
|
|
Q1
|
|
|
Q1
|
|
Net
earnings
|
|
$
|
219
|
|
|
$
|
114
|
|
|
$
|
151
|
|
Gain on sale of
timberlands
|
|
|
(83)
|
|
|
|
—
|
|
|
|
—
|
|
Insurance
recovery
|
|
|
(10)
|
|
|
|
—
|
|
|
|
—
|
|
Legal
benefit
|
|
|
(25)
|
|
|
|
—
|
|
|
|
—
|
|
Legal
expense
|
|
|
20
|
|
|
|
—
|
|
|
|
—
|
|
Net earnings before
special items
|
|
$
|
121
|
|
|
$
|
114
|
|
|
$
|
151
|
|
The table below reconciles net earnings per diluted share before
special items to net earnings per diluted share:
|
|
2023
|
|
|
2024
|
|
|
2023
|
|
|
|
Q4
|
|
|
Q1
|
|
|
Q1
|
|
Net earnings per
diluted share
|
|
$
|
0.30
|
|
|
$
|
0.16
|
|
|
$
|
0.21
|
|
Gain on sale of
timberlands
|
|
|
(0.12)
|
|
|
|
—
|
|
|
|
—
|
|
Insurance
recovery
|
|
|
(0.01)
|
|
|
|
—
|
|
|
|
—
|
|
Legal
benefit
|
|
|
(0.03)
|
|
|
|
—
|
|
|
|
—
|
|
Legal
expense
|
|
|
0.02
|
|
|
|
—
|
|
|
|
—
|
|
Net earnings per
diluted share before special items
|
|
$
|
0.16
|
|
|
$
|
0.16
|
|
|
$
|
0.21
|
|
RECONCILIATION OF ADJUSTED FAD TO NET CASH FROM
OPERATIONS
We reconcile Adjusted FAD to net cash from operations, as that
is the most directly comparable U.S. GAAP measure. We believe the
measure provides meaningful supplemental information for investors
about our liquidity.
The table below reconciles Adjusted FAD to net cash from
operations:
|
|
2023
|
|
|
2024
|
|
|
2023
|
|
(millions)
|
|
Q4
|
|
|
Q1
|
|
|
Q1
|
|
Net cash from
operations
|
|
$
|
288
|
|
|
$
|
124
|
|
|
$
|
126
|
|
Capital
expenditures
|
|
|
(196)
|
|
|
|
(79)
|
|
|
|
(71)
|
|
Adjusted
FAD
|
|
$
|
92
|
|
|
$
|
45
|
|
|
$
|
55
|
|
Weyerhaeuser
Company
|
Exhibit
99.2
|
|
Q1.2024 Analyst
Package
|
|
Preliminary results
(unaudited)
|
|
|
|
Consolidated
Statement of Operations
|
|
|
|
Q4
|
|
|
Q1
|
|
in millions
|
|
Dec 31,
2023
|
|
|
March 31,
2024
|
|
|
March 31,
2023
|
|
Net
sales
|
|
$
|
1,774
|
|
|
$
|
1,796
|
|
|
$
|
1,881
|
|
Costs of
sales
|
|
|
1,432
|
|
|
|
1,441
|
|
|
|
1,512
|
|
Gross
margin
|
|
|
342
|
|
|
|
355
|
|
|
|
369
|
|
Selling
expenses
|
|
|
21
|
|
|
|
22
|
|
|
|
22
|
|
General and
administrative expenses
|
|
|
115
|
|
|
|
120
|
|
|
|
101
|
|
Gain on sale of
timberlands
|
|
|
(84)
|
|
|
|
—
|
|
|
|
—
|
|
Other operating costs,
net
|
|
|
12
|
|
|
|
17
|
|
|
|
10
|
|
Operating
income
|
|
|
278
|
|
|
|
196
|
|
|
|
236
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
(12)
|
|
|
|
(11)
|
|
|
|
(9)
|
|
Interest income and
other
|
|
|
22
|
|
|
|
16
|
|
|
|
12
|
|
Interest expense, net
of capitalized interest
|
|
|
(72)
|
|
|
|
(67)
|
|
|
|
(66)
|
|
Earnings before income
taxes
|
|
|
216
|
|
|
|
134
|
|
|
|
173
|
|
Income taxes
|
|
|
3
|
|
|
|
(20)
|
|
|
|
(22)
|
|
Net
earnings
|
|
$
|
219
|
|
|
$
|
114
|
|
|
$
|
151
|
|
Per Share
Information
|
|
|
|
|
|
Q4
|
|
|
Q1
|
|
|
|
Dec 31,
2023
|
|
|
March 31,
2024
|
|
|
March 31,
2023
|
|
Earnings per share,
basic and diluted
|
|
$
|
0.30
|
|
|
$
|
0.16
|
|
|
$
|
0.21
|
|
Dividends paid per
common share
|
|
$
|
0.19
|
|
|
$
|
0.34
|
|
|
$
|
1.09
|
|
Weighted average shares
outstanding (in thousands):
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
730,422
|
|
|
|
730,043
|
|
|
|
733,163
|
|
Diluted
|
|
|
731,277
|
|
|
|
730,558
|
|
|
|
733,546
|
|
Common shares
outstanding at end of period (in thousands)
|
|
|
729,753
|
|
|
|
729,141
|
|
|
|
732,507
|
|
Adjusted Earnings
before Interest, Tax, Depreciation, Depletion and Amortization
(Adjusted EBITDA)
|
|
|
|
|
|
Q4
|
|
|
Q1
|
|
in millions
|
|
Dec 31,
2023
|
|
|
March 31,
2024
|
|
|
March 31,
2023
|
|
Net
earnings
|
|
$
|
219
|
|
|
$
|
114
|
|
|
$
|
151
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
12
|
|
|
|
11
|
|
|
|
9
|
|
Interest income and
other
|
|
|
(22)
|
|
|
|
(16)
|
|
|
|
(12)
|
|
Interest expense, net
of capitalized interest
|
|
|
72
|
|
|
|
67
|
|
|
|
66
|
|
Income taxes
|
|
|
(3)
|
|
|
|
20
|
|
|
|
22
|
|
Operating
income
|
|
|
278
|
|
|
|
196
|
|
|
|
236
|
|
Depreciation, depletion
and amortization
|
|
|
126
|
|
|
|
125
|
|
|
|
126
|
|
Basis of real estate
sold
|
|
|
13
|
|
|
|
31
|
|
|
|
33
|
|
Special items included
in operating income
|
|
|
(96)
|
|
|
|
—
|
|
|
|
—
|
|
Adjusted
EBITDA(1)
|
|
$
|
321
|
|
|
$
|
352
|
|
|
$
|
395
|
|
|
|
(1)
|
Adjusted EBITDA is a
non-GAAP measure that management uses to evaluate the performance
of the company. Adjusted EBITDA, as we define it, is operating
income adjusted for depreciation, depletion, amortization, basis of
real estate sold and special items. Our definition of Adjusted
EBITDA may be different from similarly titled measures reported by
other companies. Adjusted EBITDA should not be considered in
isolation from, and is not intended to represent an alternative to,
our GAAP results.
|
Weyerhaeuser
Company
|
Total Company
Statistics
|
|
Q1.2024 Analyst
Package
|
|
Preliminary results
(unaudited)
|
|
|
|
Special Items
Included in Net Earnings (Income Tax Affected)
|
|
|
|
|
|
Q4
|
|
|
Q1
|
|
in millions
|
|
Dec 31,
2023
|
|
|
March 31,
2024
|
|
|
March 31,
2023
|
|
Net
earnings
|
|
$
|
219
|
|
|
$
|
114
|
|
|
$
|
151
|
|
Gain on sale of
timberlands
|
|
|
(83)
|
|
|
|
—
|
|
|
|
—
|
|
Insurance
recovery
|
|
|
(10)
|
|
|
|
—
|
|
|
|
—
|
|
Legal
benefit
|
|
|
(25)
|
|
|
|
—
|
|
|
|
—
|
|
Legal
expense
|
|
|
20
|
|
|
|
—
|
|
|
|
—
|
|
Net earnings before
special items(1)
|
|
$
|
121
|
|
|
$
|
114
|
|
|
$
|
151
|
|
|
|
|
|
|
|
Q4
|
|
|
Q1
|
|
|
|
Dec 31,
2023
|
|
|
March 31,
2024
|
|
|
March 31,
2023
|
|
Net earnings per
diluted share
|
|
$
|
0.30
|
|
|
$
|
0.16
|
|
|
$
|
0.21
|
|
Gain on sale of
timberlands
|
|
|
(0.12)
|
|
|
|
—
|
|
|
|
—
|
|
Insurance
recovery
|
|
|
(0.01)
|
|
|
|
—
|
|
|
|
—
|
|
Legal
benefit
|
|
|
(0.03)
|
|
|
|
—
|
|
|
|
—
|
|
Legal
expense
|
|
|
0.02
|
|
|
|
—
|
|
|
|
—
|
|
Net earnings per
diluted share before special items(1)
|
|
$
|
0.16
|
|
|
$
|
0.16
|
|
|
$
|
0.21
|
|
|
|
(1)
|
Net earnings before
special items is a non-GAAP measure that management believes
provides helpful context in understanding the company's earnings
performance. Net earnings before special items should not be
considered in isolation from, and is not intended to represent an
alternative to, our GAAP results.
|
Selected Total
Company Items
|
|
|
|
|
|
Q4
|
|
|
Q1
|
|
in millions
|
|
Dec 31,
2023
|
|
|
March 31,
2024
|
|
|
March 31,
2023
|
|
Pension and
post-employment costs:
|
|
|
|
|
|
|
|
|
|
Pension and
post-employment service costs
|
|
$
|
6
|
|
|
$
|
5
|
|
|
$
|
6
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
12
|
|
|
|
11
|
|
|
|
9
|
|
Total company
pension and post-employment costs
|
|
$
|
18
|
|
|
$
|
16
|
|
|
$
|
15
|
|
Weyerhaeuser Company
|
|
Q1.2024 Analyst
Package
|
|
Preliminary results
(unaudited)
|
|
|
|
Condensed
Consolidated Balance Sheet
|
|
|
|
in millions
|
|
December 31,
2023
|
|
|
March 31,
2024
|
|
|
March 31,
2023
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
1,164
|
|
|
$
|
871
|
|
|
$
|
797
|
|
Receivables,
net
|
|
|
354
|
|
|
|
405
|
|
|
|
440
|
|
Receivables for
taxes
|
|
|
10
|
|
|
|
13
|
|
|
|
28
|
|
Inventories
|
|
|
566
|
|
|
|
630
|
|
|
|
586
|
|
Prepaid expenses and
other current assets
|
|
|
219
|
|
|
|
192
|
|
|
|
202
|
|
Total current
assets
|
|
|
2,313
|
|
|
|
2,111
|
|
|
|
2,053
|
|
Property and
equipment, net
|
|
|
2,269
|
|
|
|
2,283
|
|
|
|
2,157
|
|
Construction in
progress
|
|
|
270
|
|
|
|
243
|
|
|
|
222
|
|
Timber and timberlands
at cost, less depletion
|
|
|
11,528
|
|
|
|
11,481
|
|
|
|
11,564
|
|
Minerals and mineral
rights, less depletion
|
|
|
200
|
|
|
|
198
|
|
|
|
211
|
|
Deferred tax
assets
|
|
|
15
|
|
|
|
14
|
|
|
|
8
|
|
Other
assets
|
|
|
388
|
|
|
|
426
|
|
|
|
365
|
|
Total
assets
|
|
$
|
16,983
|
|
|
$
|
16,756
|
|
|
$
|
16,580
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
|
Current maturities of
long-term debt
|
|
$
|
—
|
|
|
$
|
210
|
|
|
$
|
981
|
|
Accounts
payable
|
|
|
287
|
|
|
|
310
|
|
|
|
266
|
|
Accrued
liabilities
|
|
|
501
|
|
|
|
424
|
|
|
|
403
|
|
Total current
liabilities
|
|
|
788
|
|
|
|
944
|
|
|
|
1,650
|
|
Long-term debt,
net
|
|
|
5,069
|
|
|
|
4,861
|
|
|
|
4,072
|
|
Deferred tax
liabilities
|
|
|
81
|
|
|
|
84
|
|
|
|
101
|
|
Deferred pension and
other post-employment benefits
|
|
|
461
|
|
|
|
460
|
|
|
|
346
|
|
Other
liabilities
|
|
|
348
|
|
|
|
353
|
|
|
|
335
|
|
Total
liabilities
|
|
|
6,747
|
|
|
|
6,702
|
|
|
|
6,504
|
|
Total
equity
|
|
|
10,236
|
|
|
|
10,054
|
|
|
|
10,076
|
|
Total liabilities
and equity
|
|
$
|
16,983
|
|
|
$
|
16,756
|
|
|
$
|
16,580
|
|
Weyerhaeuser
Company
|
|
Q1.2024 Analyst
Package
|
|
Preliminary results
(unaudited)
|
|
|
|
Consolidated
Statement of Cash Flows
|
|
|
|
|
|
Q4
|
|
|
Q1
|
|
in millions
|
|
December 31,
2023
|
|
|
March 31,
2024
|
|
|
March 31,
2023
|
|
Cash flows from
operations:
|
|
|
|
|
|
|
|
|
|
Net
earnings
|
|
$
|
219
|
|
|
$
|
114
|
|
|
$
|
151
|
|
Noncash charges
(credits) to earnings:
|
|
|
|
|
|
|
|
|
|
Depreciation,
depletion and amortization
|
|
|
126
|
|
|
|
125
|
|
|
|
126
|
|
Basis of real estate
sold
|
|
|
13
|
|
|
|
31
|
|
|
|
33
|
|
Pension and other
post-employment benefits
|
|
|
18
|
|
|
|
16
|
|
|
|
15
|
|
Share-based
compensation expense
|
|
|
10
|
|
|
|
10
|
|
|
|
8
|
|
Net gain on sale of
timberlands
|
|
|
(84)
|
|
|
|
—
|
|
|
|
—
|
|
Other
|
|
|
(2)
|
|
|
|
1
|
|
|
|
3
|
|
Change in:
|
|
|
|
|
|
|
|
|
|
Receivables,
net
|
|
|
81
|
|
|
|
(53)
|
|
|
|
(83)
|
|
Receivables and
payables for taxes
|
|
|
(10)
|
|
|
|
(3)
|
|
|
|
14
|
|
Inventories
|
|
|
(36)
|
|
|
|
(68)
|
|
|
|
(36)
|
|
Prepaid expenses and
other current assets
|
|
|
(8)
|
|
|
|
17
|
|
|
|
(9)
|
|
Accounts payable and
accrued liabilities
|
|
|
(8)
|
|
|
|
(51)
|
|
|
|
(87)
|
|
Pension and
post-employment benefit contributions and payments
|
|
|
(4)
|
|
|
|
(4)
|
|
|
|
(6)
|
|
Other
|
|
|
(27)
|
|
|
|
(11)
|
|
|
|
(3)
|
|
Net cash from
operations
|
|
$
|
288
|
|
|
$
|
124
|
|
|
$
|
126
|
|
Cash flows from
investing activities:
|
|
|
|
|
|
|
|
|
|
Capital expenditures
for property and equipment
|
|
$
|
(181)
|
|
|
$
|
(57)
|
|
|
$
|
(50)
|
|
Capital expenditures
for timberlands reforestation
|
|
|
(15)
|
|
|
|
(22)
|
|
|
|
(21)
|
|
Acquisition of
timberlands
|
|
|
(163)
|
|
|
|
—
|
|
|
|
—
|
|
Proceeds from sale of
timberlands
|
|
|
166
|
|
|
|
—
|
|
|
|
—
|
|
Maturities of
short-term investments
|
|
|
664
|
|
|
|
—
|
|
|
|
—
|
|
Other
|
|
|
3
|
|
|
|
2
|
|
|
|
2
|
|
Net cash from
investing activities
|
|
$
|
474
|
|
|
$
|
(77)
|
|
|
$
|
(69)
|
|
Cash flows from
financing activities:
|
|
|
|
|
|
|
|
|
|
Cash dividends on
common shares
|
|
$
|
(140)
|
|
|
$
|
(248)
|
|
|
$
|
(799)
|
|
Net proceeds from
issuance of long-term debt
|
|
|
249
|
|
|
|
—
|
|
|
|
—
|
|
Payments on long-term
debt
|
|
|
(860)
|
|
|
|
—
|
|
|
|
—
|
|
Repurchases of common
shares
|
|
|
(22)
|
|
|
|
(50)
|
|
|
|
(34)
|
|
Other
|
|
|
2
|
|
|
|
(10)
|
|
|
|
(8)
|
|
Net cash from
financing activities
|
|
$
|
(771)
|
|
|
$
|
(308)
|
|
|
$
|
(841)
|
|
|
|
|
|
|
|
|
|
|
|
Net change in cash,
cash equivalents and restricted cash
|
|
$
|
(9)
|
|
|
$
|
(261)
|
|
|
$
|
(784)
|
|
Cash, cash equivalents
and restricted cash at beginning of period
|
|
|
1,173
|
|
|
|
1,164
|
|
|
|
1,581
|
|
Cash, cash
equivalents and restricted cash at end of period
|
|
$
|
1,164
|
|
|
$
|
903
|
|
|
$
|
797
|
|
|
|
|
|
|
|
|
|
|
|
Cash paid during the
period for:
|
|
|
|
|
|
|
|
|
|
Interest, net of
amounts capitalized
|
|
$
|
93
|
|
|
$
|
57
|
|
|
$
|
57
|
|
Income taxes, net of
refunds
|
|
$
|
23
|
|
|
$
|
23
|
|
|
$
|
6
|
|
Weyerhaeuser Company
|
Timberlands
Segment
|
|
Q1.2024 Analyst
Package
|
|
Preliminary results
(unaudited)
|
|
|
|
Segment Statement of
Operations
|
|
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Sales to unaffiliated
customers
|
|
$
|
395
|
|
|
$
|
387
|
|
|
$
|
462
|
|
Intersegment
sales
|
|
|
139
|
|
|
|
134
|
|
|
|
142
|
|
Total net
sales
|
|
|
534
|
|
|
|
521
|
|
|
|
604
|
|
Costs of
sales
|
|
|
429
|
|
|
|
415
|
|
|
|
461
|
|
Gross
margin
|
|
|
105
|
|
|
|
106
|
|
|
|
143
|
|
General and
administrative expenses
|
|
|
26
|
|
|
|
25
|
|
|
|
25
|
|
Gain on sale of
timberlands
|
|
|
(84)
|
|
|
|
—
|
|
|
|
—
|
|
Other operating
(income) costs, net
|
|
|
(23)
|
|
|
|
1
|
|
|
|
(2)
|
|
Operating income and
Net contribution to earnings
|
|
$
|
186
|
|
|
$
|
80
|
|
|
$
|
120
|
|
Adjusted Earnings
before Interest, Tax, Depreciation, Depletion and
Amortization(1)
|
|
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Operating
income
|
|
$
|
186
|
|
|
$
|
80
|
|
|
$
|
120
|
|
Depreciation, depletion
and amortization
|
|
|
66
|
|
|
|
64
|
|
|
|
68
|
|
Special
items
|
|
|
(109)
|
|
|
|
—
|
|
|
|
—
|
|
Adjusted
EBITDA(1)
|
|
$
|
143
|
|
|
$
|
144
|
|
|
$
|
188
|
|
|
|
(1)
|
See definition of
Adjusted EBITDA (a non-GAAP measure) on page 1.
|
Segment Special
Items Included in Net Contribution to Earnings
(Pretax)
|
|
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Gain on sale of
timberlands
|
|
$
|
(84)
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Legal
benefit
|
|
$
|
(25)
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Selected Segment
Items
|
|
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Total (increase)
decrease in working capital(2)
|
|
$
|
(45)
|
|
|
$
|
8
|
|
|
$
|
(24)
|
|
Cash spent for capital
expenditures(3)
|
|
$
|
(37)
|
|
|
$
|
(31)
|
|
|
$
|
(26)
|
|
|
|
(2)
|
Represents the change
in prepaid assets, accounts receivable, accounts payable, accrued
liabilities and log inventory for the Timberlands and Real Estate
& ENR segments combined.
|
(3)
|
Does not include cash
spent for the acquisition of timberlands.
|
Segment
Statistics(4)
|
|
|
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Third Party
|
|
Delivered
logs:
|
|
|
|
|
|
|
|
|
Net Sales
|
|
West
|
$
|
183
|
|
|
$
|
176
|
|
|
$
|
229
|
|
(millions)
|
|
South
|
|
158
|
|
|
|
151
|
|
|
|
168
|
|
|
|
North
|
|
13
|
|
|
|
13
|
|
|
|
17
|
|
|
|
Total delivered
logs
|
|
354
|
|
|
|
340
|
|
|
|
414
|
|
|
|
Stumpage and pay-as-cut
timber
|
|
13
|
|
|
|
11
|
|
|
|
16
|
|
|
|
Recreational and other
lease revenue
|
|
20
|
|
|
|
19
|
|
|
|
18
|
|
|
|
Other
revenue
|
|
8
|
|
|
|
17
|
|
|
|
14
|
|
|
|
Total
|
$
|
395
|
|
|
$
|
387
|
|
|
$
|
462
|
|
Delivered
Logs
|
|
West
|
$
|
126.58
|
|
|
$
|
121.06
|
|
|
$
|
137.10
|
|
Third Party
Sales
|
|
South
|
$
|
37.15
|
|
|
$
|
36.93
|
|
|
$
|
38.23
|
|
Realizations (per
ton)
|
|
North
|
$
|
69.92
|
|
|
$
|
73.58
|
|
|
$
|
81.71
|
|
Delivered
Logs
|
|
West
|
|
1,445
|
|
|
|
1,452
|
|
|
|
1,674
|
|
Third Party
Sales
|
|
South
|
|
4,266
|
|
|
|
4,089
|
|
|
|
4,386
|
|
Volumes (tons,
thousands)
|
|
North
|
|
179
|
|
|
|
175
|
|
|
|
204
|
|
Fee Harvest
Volumes
|
|
West
|
|
2,079
|
|
|
|
2,214
|
|
|
|
2,245
|
|
(tons,
thousands)
|
|
South
|
|
6,169
|
|
|
|
5,990
|
|
|
|
6,432
|
|
|
|
North
|
|
259
|
|
|
|
239
|
|
|
|
285
|
|
|
|
(4)
|
Western logs are
primarily transacted in MBF but are converted to ton equivalents
for external reporting purposes.
|
Weyerhaeuser
Company
|
Real Estate, Energy
& Natural Resources Segment
|
|
Q1.2024 Analyst
Package
|
|
Preliminary results
(unaudited)
|
|
|
|
Segment Statement of
Operations
|
|
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Net
sales
|
|
$
|
77
|
|
|
$
|
107
|
|
|
$
|
101
|
|
Costs of
sales
|
|
|
21
|
|
|
|
41
|
|
|
|
41
|
|
Gross
margin
|
|
|
56
|
|
|
|
66
|
|
|
|
60
|
|
General and
administrative expenses
|
|
|
6
|
|
|
|
6
|
|
|
|
7
|
|
Operating income and
Net contribution to earnings
|
|
$
|
50
|
|
|
$
|
60
|
|
|
$
|
53
|
|
Adjusted Earnings
before Interest, Tax, Depreciation, Depletion and
Amortization(1)
|
|
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Operating
income
|
|
$
|
50
|
|
|
$
|
60
|
|
|
$
|
53
|
|
Depreciation, depletion
and amortization
|
|
|
4
|
|
|
|
3
|
|
|
|
3
|
|
Basis of real estate
sold
|
|
|
13
|
|
|
|
31
|
|
|
|
33
|
|
Adjusted
EBITDA(1)
|
|
$
|
67
|
|
|
$
|
94
|
|
|
$
|
89
|
|
|
|
(1)
|
See definition of
Adjusted EBITDA (a non-GAAP measure) on page 1.
|
Selected Segment
Items
|
|
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Cash spent for capital
expenditures
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Segment
Statistics
|
|
|
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Net Sales
|
Real Estate
|
|
$
|
39
|
|
|
$
|
83
|
|
|
$
|
72
|
|
(millions)
|
Energy and Natural
Resources
|
|
|
38
|
|
|
|
24
|
|
|
|
29
|
|
|
Total
|
|
$
|
77
|
|
|
$
|
107
|
|
|
$
|
101
|
|
Acres Sold
|
Real Estate
|
|
|
7,187
|
|
|
|
19,774
|
|
|
|
20,753
|
|
Price per
Acre
|
Real Estate
|
|
$
|
4,202
|
|
|
$
|
3,629
|
|
|
$
|
3,241
|
|
Basis as a Percent
of
Real Estate Net Sales
|
Real Estate
|
|
|
33
|
%
|
|
|
37
|
%
|
|
|
46
|
%
|
Weyerhaeuser
Company
|
Wood Products
Segment
|
Q1.2024 Analyst
Package
|
Preliminary results
(unaudited)
|
|
Segment Statement of
Operations
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Net
sales
|
|
$
|
1,302
|
|
|
$
|
1,302
|
|
|
$
|
1,318
|
|
Costs of
sales
|
|
|
1,127
|
|
|
|
1,107
|
|
|
|
1,159
|
|
Gross
margin
|
|
|
175
|
|
|
|
195
|
|
|
|
159
|
|
Selling
expenses
|
|
|
21
|
|
|
|
21
|
|
|
|
22
|
|
General and
administrative expenses
|
|
|
38
|
|
|
|
40
|
|
|
|
36
|
|
Other operating
(income) costs, net
|
|
|
(3)
|
|
|
|
6
|
|
|
|
6
|
|
Operating income and
Net contribution to earnings
|
|
$
|
119
|
|
|
$
|
128
|
|
|
$
|
95
|
|
Adjusted Earnings
before Interest, Tax, Depreciation, Depletion and
Amortization(1)
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Operating
income
|
|
$
|
119
|
|
|
$
|
128
|
|
|
$
|
95
|
|
Depreciation, depletion
and amortization
|
|
|
54
|
|
|
|
56
|
|
|
|
53
|
|
Special
items
|
|
|
(14)
|
|
|
|
—
|
|
|
|
—
|
|
Adjusted
EBITDA(1)
|
|
$
|
159
|
|
|
$
|
184
|
|
|
$
|
148
|
|
|
|
(1)
|
See definition of
Adjusted EBITDA (a non-GAAP measure) on page 1.
|
Segment Special
Items Included in Net Contribution to Earnings
(Pretax)
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Insurance
recovery
|
|
$
|
(14)
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Selected Segment
Items
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Total decrease
(increase) in working capital(2)
|
|
$
|
61
|
|
|
$
|
(174)
|
|
|
$
|
(127)
|
|
Cash spent for capital
expenditures
|
|
$
|
(155)
|
|
|
$
|
(42)
|
|
|
$
|
(43)
|
|
|
|
(2)
|
Represents the change
in prepaid assets, accounts receivable, accounts payable, accrued
liabilities and inventory for the Wood Products segment.
|
Segment
Statistics
|
|
in millions, except for
third party sales realizations
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Structural Lumber
|
Third party net
sales
|
|
$
|
465
|
|
|
$
|
464
|
|
|
$
|
515
|
|
(volumes
presented
|
Third party sales
realizations
|
|
$
|
413
|
|
|
$
|
429
|
|
|
$
|
450
|
|
in board
feet)
|
Third party sales
volumes(3)
|
|
|
1,125
|
|
|
|
1,080
|
|
|
|
1,144
|
|
|
Production
volumes
|
|
|
1,091
|
|
|
|
1,085
|
|
|
|
1,143
|
|
Oriented
Strand
|
Third party net
sales
|
|
$
|
237
|
|
|
$
|
255
|
|
|
$
|
208
|
|
Board
|
Third party sales
realizations
|
|
$
|
344
|
|
|
$
|
359
|
|
|
$
|
269
|
|
(volumes
presented
|
Third party sales
volumes(3)
|
|
|
688
|
|
|
|
710
|
|
|
|
773
|
|
in square feet
3/8")
|
Production
volumes
|
|
|
721
|
|
|
|
735
|
|
|
|
761
|
|
Engineered
Solid
|
Third party net
sales
|
|
$
|
183
|
|
|
$
|
177
|
|
|
$
|
169
|
|
Section
|
Third party sales
realizations
|
|
$
|
3,385
|
|
|
$
|
3,212
|
|
|
$
|
3,643
|
|
(volumes
presented
|
Third party sales
volumes(3)
|
|
|
5.4
|
|
|
|
5.4
|
|
|
|
4.7
|
|
in cubic
feet)
|
Production
volumes
|
|
|
5.8
|
|
|
|
5.7
|
|
|
|
4.6
|
|
Engineered
|
Third party net
sales
|
|
$
|
112
|
|
|
$
|
99
|
|
|
$
|
87
|
|
I-joists
|
Third party sales
realizations
|
|
$
|
2,766
|
|
|
$
|
2,648
|
|
|
$
|
3,171
|
|
(volumes
presented
|
Third party sales
volumes(3)
|
|
|
41
|
|
|
|
37
|
|
|
|
27
|
|
in lineal
feet)
|
Production
volumes
|
|
|
42
|
|
|
|
43
|
|
|
|
25
|
|
Softwood Plywood
|
Third party net
sales
|
|
$
|
39
|
|
|
$
|
41
|
|
|
$
|
41
|
|
(volumes
presented
|
Third party sales
realizations
|
|
$
|
495
|
|
|
$
|
508
|
|
|
$
|
490
|
|
in square feet
3/8")
|
Third party sales
volumes(3)
|
|
|
79
|
|
|
|
81
|
|
|
|
83
|
|
|
Production
volumes
|
|
|
75
|
|
|
|
72
|
|
|
|
74
|
|
Medium
Density
|
Third party net
sales
|
|
$
|
35
|
|
|
$
|
39
|
|
|
$
|
38
|
|
Fiberboard
|
Third party sales
realizations
|
|
$
|
1,191
|
|
|
$
|
1,183
|
|
|
$
|
1,314
|
|
(volumes
presented
|
Third party sales
volumes(3)
|
|
|
29
|
|
|
|
33
|
|
|
|
29
|
|
in square feet
3/4")
|
Production
volumes
|
|
|
31
|
|
|
|
34
|
|
|
|
34
|
|
|
|
(3)
|
Volumes include sales
of internally produced products and products purchased for resale
primarily through our distribution business.
|
Weyerhaeuser
Company
|
Unallocated
Items
|
Q1.2024 Analyst
Package
|
Preliminary results
(unaudited)
|
|
Unallocated items are
gains or charges not related to, or allocated to, an individual
operating segment. They include all or a portion of items such as
share-based compensation,
pension and
post-employment costs, elimination of intersegment profit in
inventory and LIFO, foreign exchange transaction gains and losses
and interest income and other.
|
|
Net Charge to
Earnings
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Unallocated corporate
function and variable compensation expense
|
|
$
|
(35)
|
|
|
$
|
(38)
|
|
|
$
|
(27)
|
|
Liability classified
share-based compensation
|
|
|
(2)
|
|
|
|
(1)
|
|
|
|
—
|
|
Foreign exchange
loss
|
|
|
—
|
|
|
|
(1)
|
|
|
|
(1)
|
|
Elimination of
intersegment profit in inventory and LIFO
|
|
|
3
|
|
|
|
(6)
|
|
|
|
9
|
|
Other, net
|
|
|
(43)
|
|
|
|
(26)
|
|
|
|
(13)
|
|
Operating
loss
|
|
|
(77)
|
|
|
|
(72)
|
|
|
|
(32)
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
(12)
|
|
|
|
(11)
|
|
|
|
(9)
|
|
Interest income and
other
|
|
|
22
|
|
|
|
16
|
|
|
|
12
|
|
Net charge to
earnings
|
|
$
|
(67)
|
|
|
$
|
(67)
|
|
|
$
|
(29)
|
|
Adjusted Earnings
before Interest, Tax, Depreciation, Depletion and
Amortization(1)
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Operating
loss
|
|
$
|
(77)
|
|
|
$
|
(72)
|
|
|
$
|
(32)
|
|
Depreciation, depletion
and amortization
|
|
|
2
|
|
|
|
2
|
|
|
|
2
|
|
Special
items
|
|
|
27
|
|
|
|
—
|
|
|
|
—
|
|
Adjusted
EBITDA(1)
|
|
$
|
(48)
|
|
|
$
|
(70)
|
|
|
$
|
(30)
|
|
|
|
(1)
|
See definition of
Adjusted EBITDA (a non-GAAP measure) on page 1.
|
Unallocated Special
Items Included in Net Charge to Earnings (Pretax)
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
|
Legal
expense
|
|
|
27
|
|
|
|
—
|
|
|
|
—
|
|
|
Special items
included in operating loss and net charge to
earnings
|
|
$
|
27
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
Unallocated Selected
Items
|
|
in millions
|
|
Q4.2023
|
|
|
Q1.2024
|
|
|
Q1.2023
|
|
Cash spent for capital
expenditures
|
|
$
|
(4)
|
|
|
$
|
(6)
|
|
|
$
|
(2)
|
|
Analysts – Andy
Taylor (206) 539-3907
Media – Nancy
Thompson (919) 861-0342
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SOURCE Weyerhaeuser Company