Weyerhaeuser Company reported Q2 2024 net earnings of $173 million, or 24 cents per diluted share, on net sales of $1.9 billion. This compares with net earnings of $230 million, or 31 cents per diluted share, on net sales of $2.0 billion for the same period last year and net earnings of $114 million for Q1 2024. Excluding an after-tax benefit of $19 million for special items, the company reported Q2 net earnings of $154 million, or 21 cents per diluted share. This compares with net earnings before special items of $238 million for the same period last year. There were no special items in Q1 2024.
Adjusted EBITDA for Q2 2024 was $410 million, compared with $469 million for the same period last year and $352 million for Q1 2024.
"Our businesses delivered solid operating performance in the Q2,” said Devin W. Stockfish, president and chief executive officer. “Despite ongoing challenges in the lumber market, Adjusted EBITDA improved across each of our business segments compared to Q1 2024. In addition, we continue to make meaningful progress toward our multi-year growth targets with the high-quality timberland acquisitions we announced today. Looking forward, we maintain a constructive outlook for the longer-term demand fundamentals that support our businesses and are uniquely positioned to navigate a range of market conditions given our unmatched portfolio of assets, relentless focus on operational excellence and innovation, and disciplined approach to capital allocation. Our balance sheet is strong, and we remain committed to serving our customers and driving long-term value for our shareholders."
Timberlands
Fee harvest volumes in the West and South were moderately higher than the first quarter, as operating conditions were seasonally favorable. In the West, domestic sales volumes were moderately higher and export sales volumes were significantly higher. Sales realizations were slightly higher overall due to increased export sales volumes. Domestic sales realizations were slightly lower, and per unit log and haul costs were higher. In the South, sales realizations and per unit log and haul costs were comparable. Forestry and road costs in the West and South were seasonally higher.
Wood Products
Sales realizations for lumber decreased 2% while sales realizations for oriented strand board increased 13% compared with first quarter averages. Sales volumes for lumber were moderately higher, partially due to increased production following winter weather disruptions in the first quarter. Unit manufacturing costs were moderately lower and log costs were slightly lower. For oriented strand board, sales volumes and unit manufacturing costs were comparable, while fiber costs were slightly lower. For engineered wood products, sales realizations were comparable for most products. Sales volumes were higher and unit manufacturing costs were slightly lower. Raw material costs were lower for solid section and higher for I-joist products, primarily for oriented strand board webstock.
Q2 pretax special items include a $25 million product remediation recovery.
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.
