Weyerhaeuser Company (NYSE:WY) Q1 2024 Earnings Conference Call April 26, 2024 10:00 AM ET Company Participants Andy Taylor - VP, IR Devin Stockfish - President and CEO David Wold - SVP and CFO Conference Call Participants George Staphos - Bank of America Susan Maklari - Goldman Sachs Hamir Patel - CIBC Capital Markets Mark Weintraub - Seaport Research Partners Ketan Mamtora - BMO Capital Markets Kurt Yinger - D.A. Davidson Anthony Pettinari - Citibank Matthew McKellar - RBC Capital Markets Mike Roxland - T ...

Financial Performance - Net sales for Q1 2024 were $1,796 million, a 1.2% increase from Q4 2023 and a 4.8% decrease from Q1 2023[1] - Gross margin for Q1 2024 was $355 million, representing a 3.8% increase from Q4 2023 but a 4.5% decrease from Q1 2023[1] - Operating income for Q1 2024 was $196 million, down 29.5% from Q4 2023 and down 16.9% from Q1 2023[1] - Net earnings for Q1 2024 were $114 million, a 47.9% decrease from Q4 2023 and a 24.5% decrease from Q1 2023[1] - Adjusted EBITDA for Q1 2024 was $352 million, a 9.7% increase from Q4 2023 but a 10.9% decrease from Q1 2023[3] - Earnings per share (diluted) for Q1 2024 was $0.16, down from $0.30 in Q4 2023 and $0.21 in Q1 2023[2] Assets and Liabilities - Total current assets decreased to $2,111 million in Q1 2024 from $2,313 million in Q4 2023[8] - Total liabilities decreased to $6,702 million in Q1 2024 from $6,747 million in Q4 2023[8] Cash Flow - Cash flows from operations for Q1 2024 were $124 million, down from $288 million in Q4 2023[9] Segment Performance - Total net sales in the Timberlands segment for Q1 2024 were $521 million, a decrease of 2.4% from Q4 2023 and a decrease of 13.8% from Q1 2023[10] - Net sales in the Real Estate segment for Q1 2024 increased to $83 million, up 113% from Q4 2023's $39 million[19] - Operating income in the Wood Products segment for Q1 2024 was $128 million, representing a 7.6% increase from Q4 2023's $119 million[21] - The gross margin for the Energy and Natural Resources segment in Q1 2024 was $66 million, an increase of 10% from Q1 2023's $60 million[16] Capital Expenditures - Cash spent for capital expenditures in the Wood Products segment was $155 million in Q4 2023, compared to $42 million in Q1 2024[24] Pricing and Sales Metrics - The price per acre in the Real Estate segment increased to $4,202 in Q1 2024, up 15.8% from $3,629 in Q4 2023[19] - Total net sales for the company in Q1 2024 were $1,302 million, unchanged from Q4 2023[21] Special Items and Working Capital - Special items included in net contribution to earnings for Q4 2023 totaled $(109) million, primarily due to a gain on the sale of timberlands[12] - The total decrease in working capital for Q4 2023 was $(45) million, compared to an increase of $8 million in Q1 2024[13]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE FISCAL YEAR ENDED DECEMBER 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 f COMMISSION FILE NUMBER 1-4825 WEYERHAEUSER COMPANY A WASHINGTON CORPORATION 91-0470860 (IRS EMPLOYER IDENTIFICATION NO.) 220 OCCIDENTAL AVENUE SOUTH, SEATTLE, WASHINGTON ...

Financial Data and Key Metrics Changes - For the full year 2023, Weyerhaeuser reported GAAP earnings of $839 million or $1.15 per diluted share on net sales of $7.7 billion, with adjusted EBITDA totaling $1.7 billion [4] - In Q4 2023, GAAP earnings were $219 million or $0.30 per diluted share on net sales of $1.8 billion, while adjusted EBITDA was $321 million [4][5] - The company generated $986 million of adjusted funds available for distribution (FAD) in 2023, returning approximately 80% of this to shareholders through dividends and share repurchases [5][6] Business Segment Data and Key Metrics Changes - Timberlands contributed $77 million to Q4 earnings with adjusted EBITDA of $143 million, showing comparable results across all regions [10] - Real Estate, Energy, and Natural Resources generated $320 million of adjusted EBITDA for the full year, with Q4 adjusted EBITDA at $67 million, a decrease driven by timing and mix of properties sold [14] - Wood Products contributed $105 million to earnings before special items in Q4, with adjusted EBITDA down 52% to $159 million due to lower commodity pricing [19] Market Data and Key Metrics Changes - In the Western domestic market, log demand and pricing faced downward pressure, but average domestic sales realizations were slightly higher due to an increased mix of grade logs [10] - The Japanese log market returned to a balanced state, with average sales realizations for export volumes comparable to Q3, despite lower sales volumes [12] - In China, log supply adjusted to lower consumption levels, leading to increased sales volumes into the region [13] Company Strategy and Development Direction - Weyerhaeuser aims to grow its timberlands portfolio through $1 billion of disciplined investments between 2022 and 2025, having deployed approximately $530 million to date [9] - The company is focused on enhancing its Natural Climate Solutions business, targeting $100 million of EBITDA by year-end 2025 [18] - Weyerhaeuser continues to emphasize disciplined capital allocation, increasing its quarterly dividend by over 5% annually and returning nearly $4.6 billion to shareholders since 2021 [41] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the housing market in 2024, particularly in the single-family segment, supported by improving mortgage rates and strong demand [37][38] - The company anticipates steady demand for real estate properties and expects a significant increase in EBITDA from its Natural Climate Solutions business in 2024 [30] - Management acknowledged challenges in the lumber market during Q4 but expects improved performance in 2024 due to capital investments and operational improvements [53] Other Important Information - Weyerhaeuser completed the acquisition of high-quality timberlands in the Carolinas and Mississippi while divesting less strategic acreage, resulting in a net cash inflow of $7 million [8] - The company ended 2023 with approximately $1.2 billion in cash and cash equivalents, with no further debt maturities until 2025 [24] Q&A Session Summary Question: Can you talk about the ability to ramp production across different product categories? - Management indicated that lumber has the most flexibility for production increases, expecting significant production growth in 2024 due to prior capital investments [45] Question: What initiatives will be focused on in 2024 regarding operational excellence? - Management highlighted ongoing initiatives in reliability, recovery, and innovation across Wood Products and Timberlands to improve efficiency and reduce costs [48] Question: Can you discuss the pricing dynamics in the lumber market? - Management noted that Q4 was challenging due to low product pricing, but they expect to ramp up operational excellence and benefit from capital projects in 2024 [52] Question: What are the trends in Timberlands pricing and transaction volumes? - Management reported a typical transaction volume of around $2.5 billion in 2023, with significant appreciation in Southern Timberlands prices, now reaching as high as $4,000 per acre [60] Question: How will new regulations in Oregon impact the market? - Management stated that while new regulations may tighten fiber supply in Oregon, Weyerhaeuser's own timberlands position them favorably without anticipated issues in fiber availability [65] Question: What is the outlook for European lumber imports? - Management observed a decrease in European lumber imports in the latter half of 2023, attributing it to pricing dynamics and the winding down of salvage activities in Central Europe [67]

Weyerhaeuser Company (NYSE:WY) Q3 2023 Earnings Conference Call October 27, 2023 10:00 AM ET Company Participants Andy Taylor - Vice President of Investor Relations Devin Stockfish - President and CEO David Wold - Senior Vice President and Chief Financial Officer Conference Call Participants George Staphos - Bank of America Merrill Lynch Kurt Yinger - D.A. Davidson Anthony Pettinari - Citi Susan Maklari - Goldman Sachs Michael Roxland - Truist Securities Paul Quinn - RBC Capital Markets Mark Weintraub - Sea ...

2023 EARNINGS RESULTS T H I R D Q U A R T E R 2 0 2 3 FORWARD-LOOKING STATEMENTS This presentation 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: future cash dividends, dividend framework and target percentage return to shareholders of Adjusted Funds Available for Distribution (Adjusted FAD) through cash dividends and/or s ...

PART I – FINANCIAL INFORMATION [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20FINANCIAL%20STATEMENTS) The company's quarterly and nine-month financial statements show a decline in net sales and earnings year-over-year [Consolidated Statement of Operations](index=3&type=section&id=CONSOLIDATED%20STATEMENT%20OF%20OPERATIONS) Third quarter and year-to-date results show decreased net sales and net earnings compared to the prior year Consolidated Statement of Operations Highlights (in millions, except per-share figures) | Metric | Q3 2023 | Q3 2022 | YTD 2023 | YTD 2022 | | :--- | :--- | :--- | :--- | :--- | | **Net sales** | $2,022 | $2,276 | $5,900 | $8,361 | | **Operating income** | $353 | $457 | $908 | $2,848 | | **Net earnings** | $239 | $310 | $620 | $1,869 | | **Earnings per share, diluted** | $0.33 | $0.42 | $0.85 | $2.51 | [Consolidated Balance Sheet](index=5&type=section&id=CONSOLIDATED%20BALANCE%20SHEET) Total assets slightly increased while total equity decreased, with a notable rise in long-term debt Balance Sheet Summary (in millions) | Account | Sep 30, 2023 | Dec 31, 2022 | | :--- | :--- | :--- | | **Total Current Assets** | $3,016 | $2,746 | | **Total Assets** | $17,550 | $17,340 | | **Total Current Liabilities** | $1,686 | $1,740 | | **Long-term debt, net** | $4,818 | $4,071 | | **Total Liabilities** | $7,322 | $6,591 | | **Total Equity** | $10,228 | $10,749 | [Consolidated Statement of Cash Flows](index=6&type=section&id=CONSOLIDATED%20STATEMENT%20OF%20CASH%20FLOWS) Net cash from operations significantly decreased year-over-year, driven by lower net earnings Year-to-Date Cash Flow Summary (in millions) | Cash Flow Activity | YTD Sep 2023 | YTD Sep 2022 | | :--- | :--- | :--- | | **Net cash from operations** | $1,145 | $2,665 | | **Net cash from investing activities** | $(982) | $(530) | | **Net cash from financing activities** | $(571) | $(2,214) | | **Net change in cash** | $(408) | $(79) | [Notes to Consolidated Financial Statements](index=9&type=section&id=NOTES%20TO%20CONSOLIDATED%20FINANCIAL%20STATEMENTS) Notes detail segment performance, share repurchases, debt issuance, and a recent timberland acquisition - The company's business is organized into three segments: Timberlands, Real Estate & ENR, and Wood Products, with **Wood Products being the largest segment by sales** at **$4.36 billion** YTD 2023[21](index=21&type=chunk) - Year-to-date 2023, the company repurchased **3.56 million common shares for approximately $110 million**, with **$267 million remaining authorized** for future repurchases[30](index=30&type=chunk) - In May 2023, the company issued **$750 million of 4.750% notes** due in 2026 and repaid **$118 million of 7.125% notes** at maturity in July 2023[38](index=38&type=chunk) - On July 19, 2023, the company acquired **22,000 acres of Mississippi timberlands for approximately $60 million**[55](index=55&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=16&type=section&id=Item%202.%20MANAGEMENT'S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS%20(MD&A)) Management discusses declining performance due to the Wood Products segment and maintains a strong liquidity position [Economic and Market Conditions](index=17&type=section&id=ECONOMIC%20AND%20MARKET%20CONDITIONS%20AFFECTING%20OUR%20OPERATIONS) Performance is tied to U.S. housing, which is affected by higher mortgage rates and volatile wood product prices - U.S. housing starts for Q3 2023 averaged **1.36 million units**, a **6.2% decrease from Q2 2023**, though single-family starts increased **3.4%**[62](index=62&type=chunk) - The Random Lengths Framing Lumber Composite price averaged **$438/MBF** in Q3 2023, while the OSB Composite averaged **$540/MSF**[64](index=64&type=chunk) - 30-year mortgage rates increased from **6.7% at the end of Q2 2023 to 7.3% at the end of Q3 2023**, impacting housing affordability[67](index=67&type=chunk) [Consolidated Results](index=18&type=section&id=CONSOLIDATED%20RESULTS) Consolidated net sales and earnings declined in Q3 and year-to-date, driven by the Wood Products segment Consolidated Results Summary (in millions) | Metric | Q3 2023 | Q3 2022 | YTD 2023 | YTD 2022 | | :--- | :--- | :--- | :--- | :--- | | **Net sales** | $2,022 | $2,276 | $5,900 | $8,361 | | **Operating income** | $353 | $457 | $908 | $2,848 | | **Net earnings** | $239 | $310 | $620 | $1,869 | - The Q3 2023 net sales decrease of **$254 million** was primarily due to a **$230 million decrease** in Wood Products sales[73](index=73&type=chunk) - The YTD 2023 net sales decrease of **$2,461 million** was mainly driven by a **$2,272 million decrease** in Wood Products sales and a **$162 million decrease** in Timberlands sales[77](index=77&type=chunk) [Business Segment Results](index=19&type=section&id=BUSINESS%20SEGMENT%20RESULTS) The Wood Products and Timberlands segments saw earnings decline, while the Real Estate & ENR segment improved Net Contribution to Earnings by Segment (in millions) | Segment | Q3 2023 | Q3 2022 | YTD 2023 | YTD 2022 | | :--- | :--- | :--- | :--- | :--- | | **Timberlands** | $78 | $107 | $302 | $442 | | **Real Estate & ENR** | $56 | $48 | $161 | $194 | | **Wood Products** | $277 | $344 | $590 | $2,389 | - **Timberlands:** Q3 net sales to unaffiliated customers **decreased 14% YoY**, primarily due to a **25% decrease** in Western log sales realizations[82](index=82&type=chunk) - **Real Estate & ENR:** Q3 net sales **increased 54% YoY**, driven by a significant increase in acres sold, though the average price per acre was lower[91](index=91&type=chunk)[97](index=97&type=chunk) - **Wood Products:** Q3 net sales **decreased 13% YoY**, led by a **$106 million drop** in structural lumber sales due to lower prices and volumes[99](index=99&type=chunk) [Liquidity and Capital Resources](index=25&type=section&id=LIQUIDITY%20AND%20CAPITAL%20RESOURCES) The company maintains strong liquidity with significant cash, investments, and credit availability - As of September 30, 2023, the company had **$1.2 billion in cash**, **$668 million in short-term investments**, and **$1.5 billion of availability** on its credit line[113](index=113&type=chunk) - Net cash from operations **decreased by $1,520 million year-over-year** for the nine-month period, primarily due to lower cash inflows from business operations[114](index=114&type=chunk) - Anticipated capital expenditures for the full year 2023 are approximately **$440 million**[116](index=116&type=chunk) [Performance Measures](index=26&type=section&id=PERFORMANCE%20MEASURES) Adjusted EBITDA and net earnings per share before special items both declined significantly year-over-year Adjusted EBITDA by Segment (in millions) | Segment | Q3 2023 | Q3 2022 | YTD 2023 | YTD 2022 | | :--- | :--- | :--- | :--- | :--- | | **Timberlands** | $143 | $168 | $503 | $634 | | **Real Estate & ENR** | $94 | $60 | $253 | $283 | | **Wood Products** | $328 | $395 | $746 | $2,540 | | **Total Adjusted EBITDA** | **$509** | **$583** | **$1,373** | **$3,285** | Net Earnings per Diluted Share Before Special Items | Period | 2023 | 2022 | | :--- | :--- | :--- | | **Quarter Ended September 30** | $0.33 | $0.42 | | **Year-to-Date Ended September 30** | $0.86 | $2.79 | [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=28&type=section&id=Item%203.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) The company details its long-term fixed-rate debt obligations, totaling $5.725 billion in principal Summary of Long-Term Debt (as of Sep 30, 2023) | Metric | Value (in millions) | | :--- | :--- | | **Total Principal** | $5,725 | | **Fair Value** | $5,434 | | **Weighted Avg. Interest Rate** | 5.24% | [Item 4. Controls and Procedures](index=29&type=section&id=Item%204.%20CONTROLS%20AND%20PROCEDURES) Management concluded that disclosure controls and internal controls over financial reporting were effective - The company's principal executive officer and principal financial officer concluded that **disclosure controls and procedures were effective** as of September 30, 2023[138](index=138&type=chunk) - **No material changes** occurred in the company's internal control over financial reporting during the year-to-date period[139](index=139&type=chunk) PART II – OTHER INFORMATION [Item 1. Legal Proceedings](index=29&type=section&id=Item%201.%20LEGAL%20PROCEEDINGS) The company is not involved in any legal proceedings expected to have a material adverse effect - Management does not believe any current legal proceeding could have a **material adverse effect** on the company's financial statements[44](index=44&type=chunk) [Item 1A. Risk Factors](index=29&type=section&id=Item%201A.%20RISK%20FACTORS) No material changes to risk factors have been reported since the 2022 Annual Report on Form 10-K - **No material changes** to risk factors were reported since the 2022 Annual Report on Form 10-K[141](index=141&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=29&type=section&id=Item%202.%20UNREGISTERED%20SALES%20OF%20EQUITY%20SECURITIES%20AND%20USE%20OF%20PROCEEDS) The company repurchased approximately $25 million of its common stock during the third quarter of 2023 Q3 2023 Share Repurchases | Metric | Value | | :--- | :--- | | **Total Shares Purchased** | 757,510 | | **Average Price Paid per Share** | $32.67 | | **Total Cost (approx.)** | $25 million | | **Remaining Authorization** | $267 million | [Item 5. Other Information](index=30&type=section&id=Item%205.%20OTHER%20INFORMATION) Two company officers, including the CEO, adopted Rule 10b5-1 trading plans during the third quarter - Two company officers, including the CEO, adopted **Rule 10b5-1 trading plans** during Q3 2023[144](index=144&type=chunk)[145](index=145&type=chunk) [Item 6. Exhibits](index=31&type=section&id=Item%206.%20EXHIBITS) This section lists all exhibits filed with the Form 10-Q, including certifications and XBRL data [Signatures](index=32&type=section&id=SIGNATURES) The report is duly signed by the Senior Vice President and Chief Financial Officer on October 27, 2023

Weyerhaeuser Company (NYSE:WY) Q2 2023 Earnings Conference Call July 28, 2023 10:00 AM ET Company Participants Andy Taylor - Vice President of Investor Relations Devin Stockfish - President and CEO David Wold - Senior Vice President and Chief Financial Officer Conference Call Participants George Staphos - Bank of America Kurt Yinger - D.A. Davidson Susan Maklari - Goldman Sachs Mark Weintraub - Seaport Research Partners Anthony Pettinari - Citi Paul Quinn - RBC Capital Markets Ketan Mamtora - BMO Capital Ma ...

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 JUNE 30, 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 of ...

Financial Data and Key Metrics Changes - Weyerhaeuser reported Q1 2023 GAAP earnings of $151 million or $0.21 per diluted share on net sales of $1.9 billion, with adjusted EBITDA of $395 million, a 7% increase over Q4 2022 [4][15] - The company ended the quarter with approximately $800 million in cash and cash equivalents and total debt of approximately $5 billion, maintaining a strong balance sheet and liquidity position [15][16] Business Line Data and Key Metrics Changes - Timberlands contributed $120 million to Q1 earnings with adjusted EBITDA of $188 million, a 25% increase compared to Q4 [4][5] - Real Estate, Energy, and Natural Resources contributed $53 million to Q1 earnings and $89 million to adjusted EBITDA, with a significant increase in real estate acres sold [9] - Wood Products generated $95 million in earnings and $148 million in adjusted EBITDA, a 25% reduction from Q4, primarily due to softening wood products pricing [10][12] Market Data and Key Metrics Changes - In the Western domestic market, log demand and pricing faced downward pressure at the start of Q1, but log consumption increased as end market demand improved [5][6] - In China, log inventories at ports declined, and daily takeaway increased, leading to significantly higher sales volumes compared to Q4 [7] - The Japanese log market softened due to elevated inventories of European lumber imports and lower consumption [6][20] Company Strategy and Development Direction - The company remains focused on operational excellence and returning cash to shareholders, having increased its base dividend by 5.6% [16][30] - Weyerhaeuser anticipates a challenging housing market in 2023 but maintains a positive long-term view on housing fundamentals supported by strong demand and favorable demographic trends [27][30] Management's Comments on Operating Environment and Future Outlook - Management noted improvements in home builder sentiment and new home sales, indicating a better-than-expected housing market [27] - The company expects Q2 earnings and adjusted EBITDA for timberlands to be approximately $20 million lower than Q1 due to market dynamics [19][23] - Management expressed optimism about the long-term growth trajectory of the Natural Climate Solutions business, despite current project timelines being impacted by third-party audits [38][40] Other Important Information - The company returned $139 million to shareholders through dividends and $660 million through supplemental dividends in Q1 [16] - Capital expenditures for the quarter were $71 million, consistent with typical first-quarter levels [15] Q&A Session Summary Question: Trends in Southern log prices - Management noted regional differences in southern sawlog pricing, with the Atlantic coast showing stronger market dynamics compared to inland regions [33][34] Question: Update on Natural Climate Solutions - Management reported increasing interest in Natural Climate Solutions, with optimism about growth despite challenges in project timelines [37][38] Question: Capital allocation approach for share purchases - Management emphasized a disciplined approach to capital allocation, balancing share repurchases with other investment opportunities [42][44] Question: DIY segment demand outlook - Management indicated solid demand in the DIY segment, with expectations for a strong year relative to pre-pandemic levels [47][48] Question: EWP business profitability outlook - Management expressed confidence in the EWP business, anticipating increased production and improved order activity as the housing market recovers [55][57] Question: OSB pricing dynamics - Management clarified that the lag in pricing realization is due to the timing of order files, affecting both upward and downward price movements [69][70] Question: Net position on saw logs - Management confirmed a net long position in saw timber, with 40% to 50% of logs sourced from internal mills and the remainder from third parties [72][74]