FOURTH QUARTER 2025 EARNINGS RESULTS 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: our first quarter 2026 outlook and expectations concerning earnings and Adjusted EBITDA for each of our businesses and expected key drivers; our full-year 2026 outlook for fee harvest volumes, St ...

Core Insights - Weyerhaeuser Company (WY) is expected to report fourth-quarter 2025 results on January 29, reflecting ongoing challenges in the housing and wood products market [1] - The company has consistently beaten earnings estimates in three of the last four quarters, with an average surprise of 65.7% [2] Earnings Estimates - The Zacks Consensus Estimate for the upcoming quarter's loss per share has widened to 13 cents from 12 cents, compared to an earnings per share (EPS) of 11 cents in the same quarter last year [3] - The consensus for net sales is projected at $1.58 billion, indicating a 7.2% year-over-year decline [3] Factors Influencing Q4 Results - Revenues are likely pressured by seasonally softer housing and repair-and-remodel activity, impacting demand in the Wood Products segment, which accounted for approximately 71.5% of third-quarter 2025 net sales [4] - Lumber and oriented strand board (OSB) pricing remained near historically low levels, with a 10% sequential decline in lumber output expected due to weaker market conditions [4] - The Timberlands segment's revenue trends are mixed, with domestic log demand softening in the Western region but stable demand in the U.S. South [6] Segment Performance - Wood Products segment net sales are expected to decline 9.7% year-over-year to $1.14 billion, with adjusted EBITDA projected to drop 96.2% to $6.1 million [5] - Timberlands segment net sales are anticipated to grow 2.9% to $511.4 million, while adjusted EBITDA is expected to decline 6.2% to $118.2 million [7] - The Real Estate, Energy and Natural Resources segment's net sales are projected to be $81.8 million, down 4.9% year-over-year, with adjusted EBITDA expected to increase 1.7% to $77.3 million [10] Margin Performance - Overall margin performance in Q4 is expected to remain under pressure, particularly in Wood Products, due to weak lumber and OSB pricing and lower operating rates [11] - Cost offsets, including a decline in log and fiber costs, are expected to cushion earnings volatility [12] Earnings Prediction Model - The model does not predict an earnings beat for Weyerhaeuser this time, with an Earnings ESP of -27.28% and a Zacks Rank of 3 [13]

Strategic Goals - Weyerhaeuser aims to add $1.5 billion of incremental Adjusted EBITDA by 2030, measured against a 2024 baseline[11, 14] - The company targets a cash return to shareholders of 75-80% of Adjusted Funds Available for Distribution (Adjusted FAD) annually[14, 96] - The company has recycled ~$850 million of non-core Timberlands from 2022-2025[54] - The company has completed More Than $1.2B of High-Quality Acquisitions from 2022-2025[54] Business Performance & Growth Initiatives - Timberlands & Strategic Land Solutions generated ~$850 million to $1.2 billion Annual Adjusted EBITDA range over the last 8 years[39] - Wood Products generated ~$1.5 billion Annual Adjusted EBITDA 8-Year Average[41] - The company has identified $1 billion of line-of-sight growth initiatives by 2030[68] - For every $100 per MBF change in lumber prices, the company generates $500 million in annual Adjusted EBITDA[76] - The company has increased annual Adjusted EBITDA to $100 million from Climate Solutions in 2025[54] Market & Operational Advantages - Weyerhaeuser holds 10.4 million acres of timberlands in the U S and licenses 13 million acres in Canada[18] - The company's distribution business covers 70% of the new residential construction market[174] - The company captured $175 million in OpX Improvements Across Our Businesses from 2022-2025E[54]

Financial Performance - The company's total Adjusted EBITDA decreased from $336 million in Q2 2025 to $217 million in Q3 2025, a decrease of $119 million[6] - Net sales decreased from $1,884 million in Q2 2025 to $1,717 million in Q3 2025[7] - Net contribution to earnings before special items decreased from $165 million in Q2 2025 to $55 million in Q3 2025, a decrease of $110 million[6, 7] - Diluted EPS before special items decreased from $012 in Q2 2025 to $006 in Q3 2025[7] Segment Performance - Timberlands Adjusted EBITDA decreased slightly from $152 million in Q2 2025 to $148 million in Q3 2025, a decrease of $4 million[6] - Real Estate, Energy & Natural Resources (ENR) Adjusted EBITDA decreased significantly from $143 million in Q2 2025 to $91 million in Q3 2025, a decrease of $52 million[6] - Wood Products Adjusted EBITDA decreased dramatically from $101 million in Q2 2025 to $8 million in Q3 2025, a decrease of $93 million[6] Timberlands - Timberlands' total sales increased from $529 million in Q2 2025 to $536 million in Q3 2025[18] - Adjusted EBITDA margin percentage for Timberlands decreased from 29% in Q2 2025 to 28% in Q3 2025[18] Real Estate, Energy & Natural Resources (ENR) - Real Estate Adjusted EBITDA decreased from $113 million in Q2 2025 to $56 million in Q3 2025[30] - Total sales for Real Estate & ENR decreased from $154 million in Q2 2025 to $103 million in Q3 2025[32] Wood Products - Wood Products Adjusted EBITDA decreased from $101 million in Q2 2025 to $8 million in Q3 2025[38] - Lumber sales realizations decreased 11% from Q2 2025 to Q3 2025[41]

Core Viewpoint - Weyerhaeuser Company (WY) is expected to report second-quarter 2025 results on July 24, with anticipated declines in earnings and net sales compared to the previous year [1][3][10]. Earnings Performance - In the last reported quarter, Weyerhaeuser's adjusted earnings were 11 cents per share, meeting the Zacks Consensus Estimate, while net sales exceeded expectations by 0.7% [1]. - The company has beaten consensus estimates in two of the last four quarters, with an average surprise of 50.7% [2]. Earnings Estimates - The Zacks Consensus Estimate for the upcoming quarter's EPS has decreased to 12 cents from 15 cents, indicating a 42.9% decline year-over-year [3]. - The consensus for net sales is projected at $1.88 billion, reflecting a 3% year-over-year decline [3]. Segment Performance - The Wood Products segment, which contributed approximately 73% of first-quarter 2025 net sales, is expected to see a decline in earnings and adjusted EBITDA due to soft demand and increased costs [4][6]. - The Timberlands segment is projected to maintain its outlook, with expected lower earnings and adjusted EBITDA quarter-over-quarter, influenced by higher costs and unfavorable sales realizations [8]. - The Real Estate, Energy, and Natural Resources segment is anticipated to show significant growth, with adjusted EBITDA expected to increase by 61.6% sequentially due to favorable sales timing [10][11]. Financial Projections - The Wood Products segment's net sales are expected to decline 4.4% year-over-year but grow 5.6% sequentially to $1.36 billion, with adjusted EBITDA forecasted to drop 37.3% year-over-year [7][10]. - The Timberlands segment's net sales are expected to decline 2% year-over-year but increase 1.9% sequentially to $544 million [9]. - The Real Estate, Energy, and Natural Resources segment's net sales are projected to be $136.4 million, up 25.1% year-over-year and 45.1% sequentially [11]. Earnings Prediction Model - The model indicates that Weyerhaeuser is unlikely to achieve an earnings beat this quarter, with an Earnings ESP of -18.10% and a Zacks Rank of 4 (Sell) [12].

Core Viewpoint - Weyerhaeuser Company has announced an agreement to acquire approximately 117,000 acres of high-quality timberlands in North Carolina and Virginia for $375 million, enhancing its Southern Timberlands portfolio and expected to deliver immediate cash flows [1][2]. Acquisition Details - The acquisition includes mature, productive timberlands that will integrate well with existing operations in North Carolina and expand into southeastern Virginia markets [1][2]. - This transaction is part of a broader strategy, with Weyerhaeuser having acquired over $1.1 billion in timberlands since early 2022, aligning with its growth targets [2]. Financial Aspects - The cash for the acquisition will primarily come from divestitures of non-core timberlands, which are expected to be completed in a tax-efficient manner [2]. - Upon completion, Weyerhaeuser will manage approximately 744,000 acres in North Carolina and 150,000 acres in Virginia, along with three mills and two distribution centers [2]. Operational Insights - The acquired timberlands are located in strong markets, with 81% planted pine acreage and an expected average annual harvest of 7.4 tons per acre over the first five years [4]. - The anticipated average annual timber free cash flow yield from the acquisition is projected to be 5.1% over the same period [4]. Company Background - Weyerhaeuser is one of the largest private owners of timberlands, managing approximately 10.4 million acres in the U.S. and has been a leader in sustainable forestry for over a century [3]. - In 2024, the company reported $7.1 billion in net sales and employed around 9,400 people [3].