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Weyerhaeuser Q4 Earnings Beat Estimates, Revenues Lag, Stock Down
WYWeyerhaeuser(WY) ZACKS·2025-01-31 15:06

Core Viewpoint - Weyerhaeuser Company reported mixed results for the fourth quarter of 2024, with earnings exceeding estimates but net sales falling short, leading to a 0.4% drop in shares during after-hours trading [1][4]. Financial Performance - Adjusted earnings were 11 cents per share, surpassing the Zacks Consensus Estimate of 7 cents, but down 31.3% from 16 cents in the previous year [4]. - Net sales for the quarter were 1.71billion,missingtheconsensusmarkof1.71 billion, missing the consensus mark of 1.74 billion by 2.1% and declining 3.7% from 1.77billionyear−over−year[4].−AdjustedEBITDAwas1.77 billion year-over-year [4]. - Adjusted EBITDA was 294 million, down 8.4% from 321millionintheyear−agoperiod[4].SegmentPerformance−∗∗Timberlands∗∗:Netsaleswere321 million in the year-ago period [4]. Segment Performance - **Timberlands**: Net sales were 497 million, down from 534millionyear−over−year,withadjustedEBITDAat534 million year-over-year, with adjusted EBITDA at 126 million, down from 143million[5].−∗∗RealEstate,EnergyandNaturalResources∗∗:Netsalesincreasedto143 million [5]. - **Real Estate, Energy and Natural Resources**: Net sales increased to 86 million from 77millionayearago,withadjustedEBITDArisingto77 million a year ago, with adjusted EBITDA rising to 76 million from 67million[6].−∗∗WoodProducts∗∗:Salestotaled67 million [6]. - **Wood Products**: Sales totaled 1.26 billion, down from 1.30billionyear−over−year,whileadjustedEBITDAincreasedto1.30 billion year-over-year, while adjusted EBITDA increased to 161 million from 159million[7].AnnualHighlights−Forthefullyear2024,adjustedearningswere53centspershare,adecreaseof48159 million [7]. Annual Highlights - For the full year 2024, adjusted earnings were 53 cents per share, a decrease of 48% from 1.02 in 2023. Revenues were 7.12billion,down7.27.12 billion, down 7.2% from 7.67 billion [8]. - Adjusted EBITDA for the year was 1.29billion,anincreaseof23.71.29 billion, an increase of 23.7% from 2023 [8]. Cash and Debt Position - As of December 31, 2024, cash and cash equivalents were 684 million, down from 1.16billionattheendof2023.Long−termdebtwas1.16 billion at the end of 2023. Long-term debt was 4.87 billion, reduced from 5.07billion[9].OperationalCashFlow−Netcashfromoperationsforthefourthquarterwas5.07 billion [9]. Operational Cash Flow - Net cash from operations for the fourth quarter was 218 million, and for the full year 2024, it was 1,008million,comparedto1,008 million, compared to 288 million and 1,433millionintherespectiveyear−agoperiods[10].Q12025Outlook−ForQ12025,WeyerhaeuserexpectsTimberlandearningsandadjustedEBITDAtobeapproximately1,433 million in the respective year-ago periods [10]. Q1 2025 Outlook - For Q1 2025, Weyerhaeuser expects Timberland earnings and adjusted EBITDA to be approximately 20 million higher than Q4 2024, with slightly higher fee harvest volumes anticipated [11]. - In the Real Estate, Energy and Natural Resources segment, earnings and adjusted EBITDA are expected to be comparable sequentially [12]. - Within the Wood Products segment, earnings and adjusted EBITDA are expected to slightly exceed Q4 levels, with higher sales volumes anticipated [13].