UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO ______ COMMISSION FILE NUMBER: 1-4825 WEYERHAEUSER COMPANY (Exact name of registrant as specified in its charter) Washington 91-0470860 (State or other jurisdiction o ...

Employee and Workplace Culture - The company employed a total of 9,264 employees as of December 31, 2022, with 7,906 in the United States, 1,347 in Canada, and 11 in Japan[40]. - In 2022, approximately 275 leaders participated in leadership development programs, and employees logged over 38,400 hours of training in the online learning management system[42]. - 82% of employees agreed that their work environment is inclusive, reflecting the company's commitment to diversity, equity, and inclusion[48]. - The overall employee engagement favorability score was 86% in 2022, with a voluntary turnover rate of 14%[49]. - Weyerhaeuser's Recordable Incident Rate decreased from 10 in 1990 to 1.62 in 2022, indicating a significant improvement in workplace safety[41]. Environmental Sustainability - The company plants an average of 130 to 150 million tree seedlings per year, equating to about 250 trees planted per minute[26]. - In 2021, the company's carbon emissions totaled 7.4 million metric tons of CO2 equivalent, with 0.9 million from scope 1 and 2 emissions and 6.5 million from scope 3 emissions[28]. - The company achieved approximately 35 million metric tons of carbon removals in 2021, with 14 million from U.S. timberlands and 21 million from scope 3 removals across its value chain[29]. - The company has set a target to reduce scope 1 and 2 emissions by 42% and scope 3 emissions by 25% per ton of production by 2030, based on a 2020 baseline[30]. - The company committed to improving energy efficiency at its manufacturing facilities by 10% between 2020 and 2030 as part of the U.S. Department of Energy's Better Plants Program[31]. - The company reuses, recycles, or repurposes 99% of potential waste in its operations, equating to approximately 12 billion pounds of material each year[36]. - The company operates 14 mitigation banks and projects, primarily in the U.S. South, with approximately 4 million acres invested in various conservation programs[34]. - The company is certified to the Sustainable Forestry Initiative (SFI) Forest Management Standard, with its entire timberland portfolio certified[37]. - The company follows sustainable forestry practices, certifying 100% of its North American timberlands under the SFI Forest Management Standard[73]. Financial Performance - Net sales to unaffiliated customers reached $1.9 billion in 2022, up from $1.6 billion in 2021, with total net sales amounting to $2.419 billion in 2022[113][114]. - Net sales for the Wood Products segment were $7.958 billion in 2022, a decrease of 3.2% from $8.221 billion in 2021[142]. - Structural lumber sales amounted to $3.374 billion in 2022, down from $3.721 billion in 2021, reflecting a decline of 9.3%[143]. - The Real Estate & Energy and Natural Resources segment generated net sales of $368 million in 2022, an increase from $344 million in 2021[132]. - Total net sales for Real Estate and Energy and Natural Resources combined reached $368 million in 2022, an increase of 7% from $344 million in 2021[133]. Timberland Management - The Timberlands segment manages 10.6 million acres of private commercial timberlands in the U.S., with 9.8 million acres owned and 14.1 million acres under long-term licenses in Canada[70][76]. - The total timber inventory is approximately 589 million tons, with 188 million tons in the West, 357 million tons in the South, and 44 million tons in the North as of December 31, 2022[84]. - The average age of timber harvested from Western timberlands in 2022 was 48 years, with an annual harvest and replanting rate of 2%[94]. - In the Southern U.S., the standing timber inventory is comprised of 76% Southern yellow pine and 24% hardwoods, with an average harvest age of 29 years and a replanting rate of 3%[95][100]. - The Northern timberlands contain a diverse mix of species, with an average harvest age of 54 years and a replanting rate of 1%[105]. - The company utilizes a proprietary resource inventory system and GIS for timber inventory management, ensuring accurate data collection and verification[81]. Risk Management and Compliance - The company conducts regular internal audits to ensure compliance with various regulations and has a robust risk management program in place[65]. - Cybersecurity is a top risk management priority, with management regularly reporting on cybersecurity matters to the board of directors[66]. - The board composition includes eight independent directors, exceeding the New York Stock Exchange requirements, and four of the board members are women[54]. - The company acknowledges that forward-looking statements regarding future performance are subject to risks and uncertainties that could lead to actual results differing materially from expectations[188]. - Major risks affecting the company include limits on pollutants discharged into water bodies and additional management practices for timberland operations[190]. Market Conditions and Challenges - The company is particularly sensitive to macroeconomic conditions, with demand for products reflecting fluctuations in end-user demand, which is influenced by economic conditions in the U.S. and globally[199]. - The health of the U.S. housing market is critical, with demand for new homes and remodeling being sensitive to employment rates, consumer confidence, and interest rates[201]. - The company faces risks from catastrophic events, including natural disasters and geopolitical conditions, which could adversely affect operations and market demand[202]. - The company has noted that increases in interest rates could negatively impact homebuyers' ability to obtain affordable mortgages, thereby affecting demand for housing and wood products[205]. - The availability and cost of third-party logging and transportation services are crucial, with any disruptions potentially leading to increased operational costs and supply chain issues[213].

Weyerhaeuser Company (NYSE:WY) Q4 2022 Results Conference Call January 27, 2023 10:00 AM ET Company Participants Andy Taylor - VP, IR Devin Stockfish - CEO Davie Wold - CFO Conference Call Participants Susan Maklari - Goldman Sachs George Staphos - Bank of America Anthony Pettinari - Citi Ketan Mamtora - BMO Capital Markets Mark Weintraub - Seaport Research Partners Mike Roxland - Truist Securities Paul Quinn - RBC Capital Markets Kurt Yinger - D.A. Davidson Operator Greetings, and welcome to the Weyerhaeus ...

Financial Data and Key Metrics Changes - Weyerhaeuser reported third quarter GAAP earnings of $310 million or $0.42 per diluted share on net sales of $2.3 billion, with adjusted EBITDA totaling $583 million, approximately 52% lower than the second quarter [4][19] - The company generated approximately $560 million of cash from operations in the third quarter and nearly $2.7 billion year-to-date, ending the quarter with approximately $1.9 billion of cash and cash equivalents and total debt of just over $5 billion [19][20] Business Line Data and Key Metrics Changes - Timberlands contributed $107 million to third quarter earnings with adjusted EBITDA of $168 million, a $3 million increase compared to the year-ago quarter, but a decrease of $51 million compared to the second quarter due to lower sales volumes and realizations [6][12] - Wood Products contributed $344 million to third quarter earnings and $395 million to adjusted EBITDA, with adjusted EBITDA down $517 million from the second quarter, largely driven by decreased lumber and OSB pricing [14][15] Market Data and Key Metrics Changes - In the Western domestic market, log demand remained steady despite lower lumber pricing, with domestic sales realizations comparable to the second quarter [7] - Japanese log sales volumes decreased significantly due to increased European lumber imports and reduced export activity from the work stoppage, while in China, demand softened modestly due to disruptions in the real estate market and pandemic-related lockdowns [8][9] Company Strategy and Development Direction - The company continues to engage with high-quality developers for renewable energy and carbon capture opportunities, encouraged by the Inflation Reduction Act, which is expected to drive demand for Natural Climate Solutions [13] - Weyerhaeuser maintains a positive long-term outlook for housing fundamentals, supported by strong demographic trends and a significantly underbuilt housing stock [30][32] Management's Comments on Operating Environment and Future Outlook - Management noted that the near-term housing outlook remains less favorable due to rising mortgage rates, housing affordability challenges, and high inflation, but homebuilder backlog may support wood products demand [29][30] - The company expects fourth quarter earnings and adjusted EBITDA to be significantly lower than the third quarter due to work stoppage impacts and lower average sales realizations [22][26] Other Important Information - The work stoppage resulted in approximately 360,000 tons of deferred volumes in the third quarter, translating to an EBITDA impact of approximately $25 million, with expectations to recover this volume over the next year [33][34] - The company returned $133 million to shareholders through dividends and $145 million through share repurchases, with a commitment to grow dividends by 5% annually through 2025 [20][21] Q&A Session All Questions and Answers Question: Can you talk about the ability to hold some of the price in your EWP business and its implications for profitability? - Management expects to see some input costs on the wood product side coming down, particularly log costs in the West and OSB web stock, which may provide some relief [38] Question: How are you thinking of valuations in Timberlands going into next year? - Management noted strong interest in Timberland assets, with expectations that prices will remain stable due to ongoing interest in Climate Solutions [40][42] Question: What are your thoughts on continued buybacks given the stock's trading position? - Management views share repurchase as a useful tool for returning cash to shareholders and will evaluate it alongside other options [44] Question: Will the deferred volumes from the strike be recovered in Q3 and Q4 of next year? - Management plans to sprinkle the recovery of deferred volumes across the entire year of 2023 [46][47] Question: What is the outlook for log realizations in the West? - Management indicated that log pricing is primarily driven by domestic lumber prices, which have been declining [54][56] Question: Can you provide insights on export markets and realizations? - Management noted headwinds in Japan due to increased European competition but sees opportunities to move volume to Japan and China despite challenges [59][60] Question: What is the guidance for timber prices in the U.S. South? - Management guides on a delivered basis and noted that stumpage prices have been declining, which could impact delivered pricing in the future [62][63]

Weyerhaeuser Company (NYSE:WY) Q2 2022 Results Conference Call July 29, 2022 10:00 AM ET Company Participants Andy Taylor - Director of Investor Relations Devin Stockfish - Chief Executive Officer David Wold - Chief Financial Officer Conference Call Participants George Staphos - Bank of America Susan Maklari - Goldman Sachs Mark Weintraub - Seaport Research Partners Mike Roxland - Truist Securities Kurt Yinger - D.A. Davidson Paul Quinn - RBC Capital Markets Mark Wilde - Bank of Montreal Buck Horne - Raymon ...

Financial Performance & Capital Allocation - Weyerhaeuser returned over $2 billion of cash to shareholders based on 2021 results and increased the share repurchase authorization to $1 billion[5] - The company is targeting $175-250 million of additional OpX margin improvements from 2022-2025[8,81] - Weyerhaeuser is committed to growing the base dividend by 5% annually from 2022-2025[8] - The company targets annually returning 75-80% of Adjusted FAD to shareholders through a combination of base dividend, variable supplemental dividend, and share repurchase[8,88] - Weyerhaeuser reduced debt by $375 million, resulting in a total debt reduction of $1.2 billion since 2020 Q3[5] Strategic Investments & Growth Initiatives - Weyerhaeuser plans to grow its timber portfolio with $1 billion of disciplined investments through 2025[8] - The company aims to grow EBITDA from Natural Climate Solutions to $100 million by 2025[8] - Weyerhaeuser expects lumber production to grow by 5% annually through organic growth through 2025, increasing from 4.8 BBF in 2021 to 5.7 BBF in 2025[8,76] Sustainability & ESG - The company has set a science-based GHG reduction target at the most ambitious level[5] - Weyerhaeuser's forests store billions of tons of carbon, making the company significantly carbon negative[5] - Weyerhaeuser removes the equivalent of 35 million metric tons of CO2 in its forests & wood products annually[30]

Financial Data and Key Metrics Changes - Weyerhaeuser reported Q1 2022 GAAP earnings of $771 million or $1.03 per diluted share on net sales of $3.1 billion, with adjusted earnings of $978 million or $1.31 per diluted share excluding special items [4] - The company achieved its strongest first quarter adjusted EBITDA on record at $1.5 billion, representing a 122% increase over Q4 2021 [4] - Cash from operations reached $957 million, an increase of over $460 million from Q4, marking the highest first quarter operating cash flow on record [20] Business Line Data and Key Metrics Changes - Timberlands contributed $182 million to Q1 earnings, with adjusted EBITDA increasing by $71 million compared to Q4 [5] - Wood Products contributed $1.2 billion to Q1 earnings, with adjusted EBITDA increasing by $716 million, a 138% improvement compared to Q4 [12] - Real Estate, Energy, and Natural Resources contributed $81 million to Q1 earnings, with adjusted EBITDA of $116 million, which was $67 million higher than Q4 due to the timing of real estate transactions [10] Market Data and Key Metrics Changes - In Japan, demand for logs remained strong, with sales realizations significantly increasing compared to Q4 due to high North American lumber prices and global logistics challenges [6] - In China, log inventories at ports remained elevated, leading to lower takeaway, but sales realizations for export logs increased slightly due to supply disruptions [7] - Southern Timberlands saw adjusted EBITDA comparable to Q4, with favorable sawlog markets despite higher per unit log and haul costs [8] Company Strategy and Development Direction - The company announced an agreement to acquire approximately 81,000 acres of high-quality timberlands in North and South Carolina for about $265 million, enhancing its portfolio and operational synergies [18][19] - Weyerhaeuser is pursuing its first carbon capture and storage project in partnership with Oxy Low Carbon Ventures, expected to come online in 2025 or 2026, as part of its strategy to grow its Natural Climate Solutions business [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the housing market, noting strong demand fundamentals despite potential headwinds from rising mortgage rates and inflation [34] - The company anticipates Q2 earnings before special items and adjusted EBITDA to be significantly lower than Q1 but still higher than any quarter since Q4 2018 [24] - Management expects domestic log demand to soften in Q2 due to ample supply and elevated mill inventories, but still anticipates strong demand from homebuilders [25] Other Important Information - The company initiated a series of transactions to refinance $900 million of debt, resulting in a meaningful reduction in the weighted average coupon in its debt portfolio [20][21] - Weyerhaeuser returned $121 million to shareholders through share repurchase activity and increased its quarterly base dividend by 5.9% to $0.18 per share [23] Q&A Session Summary Question: Inventory levels and pricing outlook - Management noted that elevated log inventories in Oregon may put pressure on pricing in the log market, but overall demand remains strong [50] Question: Supplemental dividend prospects - Management clarified that the supplemental dividend is expected to be paid annually in Q1 for the prior fiscal year, with no interim dividend anticipated this year [52] Question: Carbon sequestration project updates - The carbon project in Maine is progressing as planned, with third-party validation ongoing and credits expected to be issued later this year [51] Question: Southern lumber capacity and production rates - Management indicated that COVID-related labor issues have impacted production rates, but expects production to improve year-over-year in 2022 [78]