SEATTLE, April 30, 2021 /PRNewswire/ -- Weyerhaeuser
Company (NYSE: WY) today reported first quarter net earnings
of $681 million, or 91 cents per diluted share, on net
sales of $2.5 billion. This compares
with net earnings of $150 million, or
20 cents per diluted share, on net sales of $1.7 billion for the same period last year
and net earnings of $292 million for
the fourth quarter of 2020. There were no special items in first
quarter 2021. Net earnings before special items was
$138 million for the same period last
year and $361 million for the fourth
quarter of 2020.
View our earnings release and financial statements in a
printer-friendly PDF.
Adjusted EBITDA for the first quarter of 2021 was $1.1 billion compared with $413 million for the same period last year
and $657 million for the fourth
quarter of 2020.
"I am extremely pleased with our first quarter results, as
our businesses delivered Weyerhaeuser's highest quarterly
Adjusted EBITDA on record despite severe winter weather and
supply chain disruptions," said Devin W.
Stockfish, president and chief executive officer.
"We also surpassed our previous record for
Wood Products Adjusted EBITDA by more than 50
percent and announced a strategic acquisition
to enhance our Alabama timberland holdings. As 2021
progresses, new residential construction activity is
exhibiting remarkable momentum and repair and
remodel demand remains very favorable. We remain
committed to delivering operational excellence across our unmatched
portfolio of assets and enhancing shareholder value through
disciplined capital allocation."
WEYERHAEUSER
FINANCIAL HIGHLIGHTS
|
|
2020
|
|
2021
|
|
2020
|
(millions, except
per share data)
|
|
Q4
|
|
Q1
|
|
Q1
|
Net sales
|
|
$2,063
|
|
$2,506
|
|
$1,728
|
Net
earnings
|
|
$292
|
|
$681
|
|
$150
|
Net earnings per
diluted share
|
|
$0.39
|
|
$0.91
|
|
$0.20
|
Weighted average
shares outstanding, diluted
|
|
749
|
|
750
|
|
747
|
Net earnings before
special items(1)(2)
|
|
$361
|
|
$681
|
|
$138
|
Net earnings per
diluted share before special items(1)
|
|
$0.48
|
|
$0.91
|
|
$0.18
|
Adjusted
EBITDA(1)
|
|
$657
|
|
$1,101
|
|
$413
|
|
|
(1)
|
Net earnings before
special items is a non-GAAP measure that management believes
provides helpful context in understanding the company's earnings
performance. Additionally, Adjusted EBITDA is a non-GAAP measure
that management uses to evaluate the performance of the company.
Adjusted EBITDA, as we define it, is operating income adjusted for
depreciation, depletion, amortization, basis of real estate sold
and special items. Net earnings before special items and Adjusted
EBITDA should not be considered in isolation from, and are not
intended to represent an alternative to, our GAAP results.
Reconciliations of Net earnings before special items and Adjusted
EBITDA to GAAP earnings are included within this
release.
|
(2)
|
Special items for
prior periods presented are included in the reconciliation tables
following this release.
|
TIMBERLANDS
FINANCIAL
HIGHLIGHTS
|
|
2020
|
|
2021
|
|
|
(millions)
|
|
Q4
|
|
Q1
|
|
Change
|
Net sales
|
|
$502
|
|
$513
|
|
$11
|
Net contribution to
pretax earnings
|
|
$286
|
|
$108
|
|
($178)
|
Pretax benefit for
special items
|
|
($182)
|
|
$—
|
|
$182
|
Net contribution to
pretax earnings before special items
|
|
$104
|
|
$108
|
|
$4
|
Adjusted
EBITDA
|
|
$167
|
|
$172
|
|
$5
|
Q1 2021 Performance – In the West, average export log
sales realizations increased from the fourth quarter, and the
company shifted volume to the export market to serve higher
Japanese demand. Average domestic log sales realizations were
slightly lower, as salvage operations resulted in a greater mix of
smaller diameter logs. Log and haul costs were higher due to
increased salvage activity, and forestry expenses were seasonally
lower. In the South, average sales realizations for sawlogs and
fiber logs improved from the fourth quarter, while fee harvest
volumes were slightly lower due to severe winter weather. Forestry
and road expenses decreased seasonally.
Q2 2021 Outlook – Weyerhaeuser expects second
quarter earnings and Adjusted EBITDA will be comparable to the
first quarter. In the West, the company anticipates significantly
higher fee harvest volumes will be offset by seasonally higher
forestry and road expenses. In the South, the company expects
significantly higher fee harvest volumes and comparable average
sales realizations, partially offset by seasonally higher forestry
and road expenses. In the North, fee harvest volumes will decrease
significantly due to spring break-up.
REAL ESTATE, ENERGY & NATURAL RESOURCES
FINANCIAL
HIGHLIGHTS
|
|
2020
|
|
2021
|
|
|
(millions)
|
|
Q4
|
|
Q1
|
|
Change
|
Net sales
|
|
$30
|
|
$106
|
|
$76
|
Net contribution to
pretax earnings
|
|
$14
|
|
$66
|
|
$52
|
Adjusted
EBITDA
|
|
$23
|
|
$96
|
|
$73
|
Q1 2021 Performance – Real estate sales increased
compared with the fourth quarter due to a significantly higher
number of acres sold. Average price per acre and average land basis
decreased due to the mix of properties sold.
Q2 2021 Outlook – Weyerhaeuser anticipates second quarter
earnings and Adjusted EBITDA will be moderately lower than first
quarter 2021 due to the timing of real estate transactions. The
company continues to expect full year 2021 Adjusted EBITDA for the
segment will be approximately $255
million.
WOOD PRODUCTS
FINANCIAL
HIGHLIGHTS
|
|
2020
|
|
2021
|
|
|
(millions)
|
|
Q4
|
|
Q1
|
|
Change
|
Net sales
|
|
$1,652
|
|
$2,021
|
|
$369
|
Net contribution to
pretax earnings
|
|
$481
|
|
$840
|
|
$359
|
Adjusted
EBITDA
|
|
$530
|
|
$889
|
|
$359
|
Q1 2021 Performance – Benchmark prices for lumber and
oriented strand board reached new record levels in the first
quarter, and average sales realizations for lumber and oriented
strand board increased 42 percent and 22 percent, respectively,
compared with fourth quarter averages. Average realizations for
engineered wood products also improved as the company captured the
benefit of previously announced price increases. These improvements
were partially offset by higher raw material costs, primarily for
Canadian logs and oriented strand board webstock. Operating rates
in lumber and engineered wood products decreased slightly as a
result of weather-related downtime in the U.S. South. Lumber sales
volumes were modestly lower as customer takeaway and supply chains
were temporarily disrupted following the severe winter weather.
Q2 2021 Outlook – Excluding the effect of changes in
average sales realizations for lumber and oriented strand board,
the company expects second quarter earnings and Adjusted EBITDA
will be significantly higher than the first quarter. The company
anticipates higher sales volumes for lumber and increased sales
realizations for engineered wood products will be partially offset
by higher raw material costs, primarily for oriented strand board
webstock, and lower operating rates for oriented strand board due
to planned maintenance outages. To date, second quarter benchmark
pricing for lumber and oriented strand board is significantly
higher than the first quarter average.
ABOUT WEYERHAEUSER
Weyerhaeuser Company, one of the world's largest private owners
of timberlands, began operations in 1900. We own or control
approximately 11 million acres of timberlands in the U.S. and
manage additional timberlands under long-term licenses in
Canada. We manage these
timberlands on a sustainable basis in compliance with
internationally recognized forestry standards. We are also one of
the largest manufacturers of wood products in North America. Our company is a real estate
investment trust. In 2020, we generated $7.5
billion in net sales and employed approximately 9,400 people
who serve customers worldwide. We are listed on the Dow Jones
Sustainability North America Index. Our common stock trades on the
New York Stock Exchange under the symbol WY. Learn more at
www.weyerhaeuser.com.
EARNINGS CALL INFORMATION
Weyerhaeuser will hold a live conference call at 7 a.m. Pacific (10
a.m. Eastern) on April 30,
2021 to discuss first quarter results.
To access the live webcast and presentation online, go to the
Investor Relations section on www.weyerhaeuser.com on April 30, 2021.
To join the conference call from within North America, dial 877-407-0792 (access code:
13714047) at least 15 minutes prior to the call. Those calling from
outside North America should dial
201-689-8263 (access code: 13714047). Replays will be available for
two weeks at 844-512-2921 (access code: 13714047) from within
North America, and at 412-317-6671
(access code: 13714047) from outside North America.
FORWARD-LOOKING STATEMENTS
This news release 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 outlook
and expectations concerning the following: earnings and Adjusted
EBITDA for each of our businesses; operational excellence
initiatives; log sales realizations; forestry and road expenses;
fee harvest volumes; raw materials costs for our wood products
business; operating rates for the manufacture of our oriented
strand board products; and sales volumes for our lumber and sales
realizations for our engineered wood products lines.
Forward-looking statements can be identified by the fact that they
do not relate strictly to historical or current facts. They often
involve use of words such as "anticipate," "expect," "planned,"
"will," and similar words and expressions. They may use the
positive, negative or another variation of those and similar words.
These forward-looking statements are based on our current
expectations and assumptions and are not guarantees of future
events or performance. The realization of our expectations and the
accuracy of our assumptions are subject to a number of risks and
uncertainties that could cause actual results to differ materially
from those described in the forward-looking statements. These risks
and uncertainties include, but are not limited to:
- the effect of general economic conditions, including employment
rates, interest rate levels, housing starts, general availability
of financing for home mortgages and the relative strength of the
U.S. dollar;
- the effect of COVID-19 and other viral or disease outbreaks and
their potential effects on our business, results of operations,
cash flows, financial condition and future prospects;
- market demand for the company's products, including market
demand for our timberland properties with higher and better uses,
which is related to, among other factors, the strength of the
various U.S. business segments and U.S. and international economic
conditions;
- changes in currency exchange rates, particularly the relative
value of the U.S. dollar to the Japanese yen, the Chinese yuan, and
the Canadian dollar, and the relative value of the euro to the
yen;
- restrictions on international trade and tariffs imposed on
imports or exports;
- the availability and cost of shipping and transportation;
- economic activity in Asia,
especially Japan and China;
- performance of our manufacturing operations, including
maintenance and capital requirements;
- potential disruptions in our manufacturing operations;
- the level of competition from domestic and foreign
producers;
- the successful execution of our internal plans and strategic
initiatives, including restructuring and cost reduction
initiatives;
- the successful and timely execution and integration of our
strategic acquisitions, including our ability to realize expected
benefits and synergies, and the successful and timely execution of
our strategic divestitures, each of which is subject to a number of
risks and conditions beyond our control including, but not limited
to, timing and required regulatory approvals or the occurrence of
any event, change or other circumstances that could give rise to a
termination of any acquisition or divestiture transaction under the
terms of the governing transaction agreements;
- raw material availability and prices;
- the effect of weather;
- changes in global or regional climate conditions and
governmental response to such changes;
- the risk of loss from fires, floods, windstorms, hurricanes,
pest infestation and other natural disasters;
- energy prices;
- transportation and labor availability and costs;
- federal tax policies;
- the effect of forestry, land use, environmental and other
governmental regulations;
- legal proceedings;
- performance of pension fund investments and related
derivatives;
- the effect of timing of employee retirements and changes in the
market price of our common stock on charges for share-based
compensation;
- the accuracy of our estimates of costs and expenses related to
contingent liabilities and the accuracy of our estimates of charges
related to casualty losses;
- changes in accounting principles; and
- other risks and uncertainties identified in our 2020 Annual
Report on Form 10-K, as well as those set forth from time to time
in our other public statements, reports, registration statements,
prospectuses, information statements and other filings with the
SEC.
It is not possible to predict or identify all risks and
uncertainties that might affect the accuracy of our forward-looking
statements and, consequently, our descriptions of such risks and
uncertainties should not be considered exhaustive. There is no
guarantee that any of the events anticipated by these
forward-looking statements will occur, and if any of the events do
occur, there is no guarantee what effect they will have on the
company's business, results of operations, cash flows, financial
condition and future prospects.
Forward-looking statements speak only as of the date they are
made, and we undertake no obligation to publicly update or revise
any forward-looking statements, whether because of new information,
future events, or otherwise.
RECONCILIATION OF ADJUSTED EBITDA TO NET EARNINGS
We reconcile Adjusted EBITDA to net earnings for the
consolidated company and to operating income (loss) for the
business segments, as those are the most directly comparable U.S.
GAAP measures for each.
The table below reconciles Adjusted EBITDA for the quarter ended
December 31, 2020:
(millions)
|
|
Timberlands
|
|
|
Real Estate
& ENR
|
|
|
Wood
Products
|
|
|
Unallocated
Items
|
|
|
Total
|
|
Adjusted EBITDA by
Segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
292
|
|
Interest expense, net
of capitalized interest(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
144
|
|
Income
taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
19
|
|
Net contribution
(charge) to earnings
|
|
$
|
286
|
|
|
$
|
14
|
|
|
$
|
481
|
|
|
$
|
(326)
|
|
|
$
|
455
|
|
Non-operating pension
and other post-employment benefit costs(2)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
262
|
|
|
|
262
|
|
Interest income and
other
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Operating income
(loss)
|
|
|
286
|
|
|
|
14
|
|
|
|
481
|
|
|
|
(64)
|
|
|
|
717
|
|
Depreciation,
depletion and amortization
|
|
|
63
|
|
|
|
4
|
|
|
|
49
|
|
|
|
1
|
|
|
|
117
|
|
Basis of real estate
sold
|
|
|
—
|
|
|
|
5
|
|
|
|
—
|
|
|
|
—
|
|
|
|
5
|
|
Special items included
in operating income (loss)(3)
|
|
|
(182)
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(182)
|
|
Adjusted
EBITDA
|
|
$
|
167
|
|
|
$
|
23
|
|
|
$
|
530
|
|
|
$
|
(63)
|
|
|
$
|
657
|
|
|
|
(1)
|
Interest expense, net
of capitalized interest includes a pretax special item consisting
of a $58 million charge related to the early extinguishment of $500
million of 4.625 percent notes due September 2023.
|
(2)
|
Non-operating pension
and other post-employment benefit costs includes a pretax special
item consisting of a $253 million noncash settlement charge related
to the transfer of pension assets and liabilities through the
purchase of a group annuity contract.
|
(3)
|
Operating income
(loss) includes a pretax special item consisting of a $182 million
gain on sale of certain southern Oregon timberlands.
|
The table below reconciles Adjusted EBITDA for the quarter ended
March 31, 2021:
(millions)
|
|
Timberlands
|
|
|
Real Estate
& ENR
|
|
|
Wood
Products
|
|
|
Unallocated
Items
|
|
|
Total
|
|
Adjusted EBITDA by
Segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
681
|
|
Interest expense, net
of capitalized interest
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
79
|
|
Income
taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
189
|
|
Net contribution
(charge) to earnings
|
|
$
|
108
|
|
|
$
|
66
|
|
|
$
|
840
|
|
|
$
|
(65)
|
|
|
$
|
949
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
8
|
|
|
|
8
|
|
Interest income and
other
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(1)
|
|
|
|
(1)
|
|
Operating income
(loss)
|
|
|
108
|
|
|
|
66
|
|
|
|
840
|
|
|
|
(58)
|
|
|
|
956
|
|
Depreciation,
depletion and amortization
|
|
|
64
|
|
|
|
3
|
|
|
|
49
|
|
|
|
2
|
|
|
|
118
|
|
Basis of real estate
sold
|
|
|
—
|
|
|
|
27
|
|
|
|
—
|
|
|
|
—
|
|
|
|
27
|
|
Adjusted
EBITDA
|
|
$
|
172
|
|
|
$
|
96
|
|
|
$
|
889
|
|
|
$
|
(56)
|
|
|
$
|
1,101
|
|
The table below reconciles Adjusted EBITDA for the quarter ended
March 31, 2020:
(millions)
|
|
Timberlands
|
|
|
Real Estate
& ENR
|
|
|
Wood
Products
|
|
|
Unallocated
Items
|
|
|
Total
|
|
Adjusted EBITDA by
Segment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
150
|
|
Interest expense, net
of capitalized interest
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
85
|
|
Income
taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3)
|
|
Net contribution
(charge) to earnings
|
|
$
|
105
|
|
|
$
|
36
|
|
|
$
|
134
|
|
|
$
|
(43)
|
|
|
$
|
232
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
9
|
|
|
|
9
|
|
Interest income and
other
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(1)
|
|
|
|
(1)
|
|
Operating income
(loss)
|
|
|
105
|
|
|
|
36
|
|
|
|
134
|
|
|
|
(35)
|
|
|
|
240
|
|
Depreciation,
depletion and amortization
|
|
|
68
|
|
|
|
3
|
|
|
|
50
|
|
|
|
2
|
|
|
|
123
|
|
Basis of real estate
sold
|
|
|
—
|
|
|
|
62
|
|
|
|
—
|
|
|
|
—
|
|
|
|
62
|
|
Special items included
in operating income (loss)(1)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(12)
|
|
|
|
(12)
|
|
Adjusted
EBITDA
|
|
$
|
173
|
|
|
$
|
101
|
|
|
$
|
184
|
|
|
$
|
(45)
|
|
|
$
|
413
|
|
|
|
(1)
|
Operating income
(loss) includes a pretax special item consisting of a $12 million
noncash legal benefit.
|
RECONCILIATION OF NET EARNINGS BEFORE SPECIAL ITEMS TO NET
EARNINGS
We reconcile net earnings before special items to net earnings
and net earnings per diluted share before special items to net
earnings per diluted share, as those are the most directly
comparable U.S. GAAP measures. We believe the measures provide
meaningful supplemental information for investors about our
operating performance, better facilitate period to period
comparisons and are widely used by analysts, lenders, rating
agencies and other interested parties.
The table below reconciles net earnings before special items to
net earnings:
|
|
2020
|
|
2021
|
|
2020
|
(millions)
|
|
Q4
|
|
Q1
|
|
Q1
|
Net
earnings
|
|
$292
|
|
$681
|
|
$150
|
Early extinguishment
of debt charge
|
|
58
|
|
—
|
|
—
|
Gain on sale of
timberlands
|
|
(182)
|
|
—
|
|
—
|
Legal
benefit
|
|
—
|
|
—
|
|
(12)
|
Pension settlement
charge
|
|
193
|
|
—
|
|
—
|
Net earnings
before special items
|
|
$361
|
|
$681
|
|
$138
|
The table below reconciles net earnings per diluted share before
special items to net earnings per diluted share:
|
|
2020
|
|
2021
|
|
2020
|
|
|
Q4
|
|
Q1
|
|
Q1
|
Net earnings per
diluted share
|
|
$0.39
|
|
$0.91
|
|
$0.20
|
Early extinguishment
of debt charge
|
|
0.07
|
|
—
|
|
—
|
Gain on sale of
timberlands
|
|
(0.24)
|
|
—
|
|
—
|
Legal
benefit
|
|
—
|
|
—
|
|
(0.02)
|
Pension settlement
charge
|
|
0.26
|
|
—
|
|
—
|
Net earnings per
diluted share before special items
|
|
$0.48
|
|
$0.91
|
|
$0.18
|
For more information contact:
Analysts - Beth
Baum, 206-539-3907
Media - Nancy Thompson,
919-861-0342
Exhibit
99.2
|
Weyerhaeuser
Company
Q1.2021
Analyst Package
Preliminary results
(unaudited)
|
|
Consolidated
Statement of Operations
|
|
|
|
Q4
|
|
|
Q1
|
|
in
millions
|
|
December 31,
2020
|
|
|
March 31,
2021
|
|
|
March 31,
2020
|
|
Net
sales
|
|
$
|
2,063
|
|
|
$
|
2,506
|
|
|
$
|
1,728
|
|
Costs of
sales
|
|
|
1,392
|
|
|
|
1,430
|
|
|
|
1,382
|
|
Gross
margin
|
|
|
671
|
|
|
|
1,076
|
|
|
|
346
|
|
Selling
expenses
|
|
|
21
|
|
|
|
20
|
|
|
|
22
|
|
General and
administrative expenses
|
|
|
93
|
|
|
|
90
|
|
|
|
74
|
|
Gain on sale of
timberlands
|
|
|
(182)
|
|
|
|
—
|
|
|
|
—
|
|
Other operating
costs, net
|
|
|
22
|
|
|
|
10
|
|
|
|
10
|
|
Operating
income
|
|
|
717
|
|
|
|
956
|
|
|
|
240
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
(262)
|
|
|
|
(8)
|
|
|
|
(9)
|
|
Interest income and
other
|
|
|
—
|
|
|
|
1
|
|
|
|
1
|
|
Interest expense, net
of capitalized interest
|
|
|
(144)
|
|
|
|
(79)
|
|
|
|
(85)
|
|
Earnings before
income taxes
|
|
|
311
|
|
|
|
870
|
|
|
|
147
|
|
Income
taxes
|
|
|
(19)
|
|
|
|
(189)
|
|
|
|
3
|
|
Net
earnings
|
|
$
|
292
|
|
|
$
|
681
|
|
|
$
|
150
|
|
|
Per Share
Information
|
|
|
|
Q4
|
|
|
Q1
|
|
|
|
December 31,
2020
|
|
|
March 31,
2021
|
|
|
March 31,
2020
|
|
Earnings per share,
basic and diluted
|
|
$
|
0.39
|
|
|
$
|
0.91
|
|
|
$
|
0.20
|
|
Dividends paid per
common share
|
|
$
|
0.17
|
|
|
$
|
0.17
|
|
|
$
|
0.34
|
|
Weighted average
shares outstanding (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
747,294
|
|
|
|
748,718
|
|
|
|
746,534
|
|
Diluted
|
|
|
749,004
|
|
|
|
750,024
|
|
|
|
747,155
|
|
Common shares
outstanding at end of period (in thousands)
|
|
|
747,385
|
|
|
|
748,751
|
|
|
|
746,206
|
|
|
Adjusted Earnings
before Interest, Tax, Depreciation, Depletion and Amortization
(Adjusted EBITDA)
|
|
|
|
Q4
|
|
|
Q1
|
|
in
millions
|
|
December 31,
2020
|
|
|
March 31,
2021
|
|
|
March 31,
2020
|
|
Net
earnings
|
|
$
|
292
|
|
|
$
|
681
|
|
|
$
|
150
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
262
|
|
|
|
8
|
|
|
|
9
|
|
Interest income and
other
|
|
|
—
|
|
|
|
(1)
|
|
|
|
(1)
|
|
Interest expense, net
of capitalized interest
|
|
|
144
|
|
|
|
79
|
|
|
|
85
|
|
Income
taxes
|
|
|
19
|
|
|
|
189
|
|
|
|
(3)
|
|
Operating
income
|
|
|
717
|
|
|
|
956
|
|
|
|
240
|
|
Depreciation,
depletion and amortization
|
|
|
117
|
|
|
|
118
|
|
|
|
123
|
|
Basis of real estate
sold
|
|
|
5
|
|
|
|
27
|
|
|
|
62
|
|
Special items
included in operating income
|
|
|
(182)
|
|
|
|
—
|
|
|
|
(12)
|
|
Adjusted
EBITDA(1)
|
|
$
|
657
|
|
|
$
|
1,101
|
|
|
$
|
413
|
|
|
|
(1)
|
Adjusted EBITDA is a
non-GAAP measure that management uses to evaluate the performance
of the company. Adjusted EBITDA, as we define it, is operating
income adjusted for depreciation, depletion, amortization, basis of
real estate sold and special items. Our definition of Adjusted
EBITDA may be different from similarly titled measures reported by
other companies. Adjusted EBITDA should not be considered in
isolation from, and is not intended to represent an alternative to,
our GAAP results.
|
Total Company
Statistics
|
Weyerhaeuser
Company
Q1.2021
Analyst Package
Preliminary results
(unaudited)
|
|
Special Items
Included in Net Earnings (Income Tax Affected)
|
|
|
|
Q4
|
|
|
Q1
|
|
in
millions
|
|
December 31,
2020
|
|
|
March 31,
2021
|
|
|
March 31,
2020
|
|
Net
earnings
|
|
$
|
292
|
|
|
$
|
681
|
|
|
$
|
150
|
|
Early extinguishment
of debt charge(1)
|
|
|
58
|
|
|
|
—
|
|
|
|
—
|
|
Gain on sale of
timberlands
|
|
|
(182)
|
|
|
|
—
|
|
|
|
—
|
|
Legal
benefit
|
|
|
—
|
|
|
|
—
|
|
|
|
(12)
|
|
Pension settlement
charge
|
|
|
193
|
|
|
|
—
|
|
|
|
—
|
|
Net earnings
before special items(2)
|
|
$
|
361
|
|
|
$
|
681
|
|
|
$
|
138
|
|
|
|
|
Q4
|
|
|
Q1
|
|
|
|
December 31,
2020
|
|
|
March 31,
2021
|
|
|
March 31,
2020
|
|
Net earnings per
diluted share
|
|
$
|
0.39
|
|
|
$
|
0.91
|
|
|
$
|
0.20
|
|
Early extinguishment
of debt charge(1)
|
|
|
0.07
|
|
|
|
—
|
|
|
|
—
|
|
Gain on sale of
timberlands
|
|
|
(0.24)
|
|
|
|
—
|
|
|
|
—
|
|
Legal
benefit
|
|
|
—
|
|
|
|
—
|
|
|
|
(0.02)
|
|
Pension settlement
charge
|
|
|
0.26
|
|
|
|
—
|
|
|
|
—
|
|
Net earnings per
diluted share before special items(2)
|
|
$
|
0.48
|
|
|
$
|
0.91
|
|
|
$
|
0.18
|
|
|
(1)
We recorded a pretax charge of $58 million ($58 million
after-tax) related to the early extinguishment of debt in fourth
quarter 2020. This charge was included in Interest expense, net of
capitalized interest in the Consolidated Statement of
Operations.
|
(2)
Net earnings before special items is a non-GAAP measure that
management believes provides helpful context in understanding the
company's earnings performance. Net earnings before special items
should not be considered in isolation from, and is not intended to
represent an alternative to, our GAAP results.
|
|
Selected Total
Company Items
|
|
|
|
Q4
|
|
|
Q1
|
|
in
millions
|
|
December 31,
2020
|
|
|
March 31,
2021
|
|
|
March 31,
2020
|
|
Pension and
post-employment costs:
|
|
|
|
|
|
|
|
|
|
|
|
|
Pension and
post-employment service costs
|
|
$
|
9
|
|
|
$
|
11
|
|
|
$
|
10
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
262
|
|
|
|
8
|
|
|
|
9
|
|
Total company
pension and post-employment costs
|
|
$
|
271
|
|
|
$
|
19
|
|
|
$
|
19
|
|
Weyerhaeuser
Company
Q1.2021 Analyst
Package
Preliminary results
(unaudited)
|
|
Consolidated
Balance Sheet
|
|
in
millions
|
|
December
31,
2020
|
|
|
March
31,
2021
|
|
|
March
31,
2020
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
495
|
|
|
$
|
1,016
|
|
|
$
|
1,458
|
|
Receivables,
net
|
|
|
450
|
|
|
|
589
|
|
|
|
390
|
|
Receivables for
taxes
|
|
|
82
|
|
|
|
7
|
|
|
|
24
|
|
Inventories
|
|
|
443
|
|
|
|
505
|
|
|
|
480
|
|
Prepaid expenses and
other current assets
|
|
|
139
|
|
|
|
141
|
|
|
|
141
|
|
Total current
assets
|
|
|
1,609
|
|
|
|
2,258
|
|
|
|
2,493
|
|
Property and
equipment, net
|
|
|
2,013
|
|
|
|
1,971
|
|
|
|
1,911
|
|
Construction in
progress
|
|
|
73
|
|
|
|
91
|
|
|
|
153
|
|
Timber and timberlands
at cost, less depletion
|
|
|
11,827
|
|
|
|
11,776
|
|
|
|
11,847
|
|
Minerals and mineral
rights, less depletion
|
|
|
268
|
|
|
|
265
|
|
|
|
278
|
|
Deferred tax
assets
|
|
|
120
|
|
|
|
106
|
|
|
|
147
|
|
Other
assets
|
|
|
401
|
|
|
|
407
|
|
|
|
399
|
|
Total
assets
|
|
$
|
16,311
|
|
|
$
|
16,874
|
|
|
$
|
17,228
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Current maturities of
long-term debt
|
|
$
|
150
|
|
|
$
|
150
|
|
|
$
|
577
|
|
Borrowings on line of
credit
|
|
|
—
|
|
|
|
—
|
|
|
|
550
|
|
Accounts
payable
|
|
|
204
|
|
|
|
236
|
|
|
|
241
|
|
Accrued
liabilities
|
|
|
596
|
|
|
|
549
|
|
|
|
448
|
|
Total current
liabilities
|
|
|
950
|
|
|
|
935
|
|
|
|
1,816
|
|
Long-term debt,
net
|
|
|
5,325
|
|
|
|
5,325
|
|
|
|
6,299
|
|
Deferred tax
liabilities
|
|
|
24
|
|
|
|
26
|
|
|
|
10
|
|
Deferred pension and
other post-employment benefits
|
|
|
911
|
|
|
|
893
|
|
|
|
669
|
|
Other
liabilities
|
|
|
370
|
|
|
|
367
|
|
|
|
352
|
|
Total
liabilities
|
|
|
7,580
|
|
|
|
7,546
|
|
|
|
9,146
|
|
Total
equity
|
|
|
8,731
|
|
|
|
9,328
|
|
|
|
8,082
|
|
Total liabilities
and equity
|
|
$
|
16,311
|
|
|
$
|
16,874
|
|
|
$
|
17,228
|
|
Weyerhaeuser
Company
Q1.2021
Analyst Package
Preliminary results
(unaudited)
|
|
Consolidated
Statement of Cash Flows
|
|
|
|
Q4
|
|
|
Q1
|
|
in
millions
|
|
December 31,
2020
|
|
|
March 31,
2021
|
|
|
March 31,
2020
|
|
Cash flows from
operations:
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
earnings
|
|
$
|
292
|
|
|
$
|
681
|
|
|
$
|
150
|
|
Noncash charges
(credits) to earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation,
depletion and amortization
|
|
|
117
|
|
|
|
118
|
|
|
|
123
|
|
Basis of real estate
sold
|
|
|
5
|
|
|
|
27
|
|
|
|
62
|
|
Deferred income taxes,
net
|
|
|
(76)
|
|
|
|
8
|
|
|
|
(82)
|
|
Pension and other
post-employment benefits
|
|
|
271
|
|
|
|
19
|
|
|
|
19
|
|
Share-based
compensation expense
|
|
|
8
|
|
|
|
7
|
|
|
|
7
|
|
Gain on sale of
timberlands
|
|
|
(182)
|
|
|
|
—
|
|
|
|
—
|
|
Change in:
|
|
|
|
|
|
|
|
|
|
|
|
|
Receivables,
net
|
|
|
51
|
|
|
|
(139)
|
|
|
|
(82)
|
|
Receivables and
payables for taxes
|
|
|
(38)
|
|
|
|
120
|
|
|
|
79
|
|
Inventories
|
|
|
(27)
|
|
|
|
(60)
|
|
|
|
(72)
|
|
Prepaid expenses and
other current assets
|
|
|
(9)
|
|
|
|
(2)
|
|
|
|
(2)
|
|
Accounts payable and
accrued liabilities
|
|
|
(20)
|
|
|
|
(60)
|
|
|
|
(91)
|
|
Pension and
post-employment benefit contributions and payments
|
|
|
(9)
|
|
|
|
(8)
|
|
|
|
(10)
|
|
Other
|
|
|
61
|
|
|
|
(13)
|
|
|
|
(15)
|
|
Net cash from
operations
|
|
$
|
444
|
|
|
$
|
698
|
|
|
$
|
86
|
|
Cash flows from
investing activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital expenditures
for property and equipment
|
|
$
|
(67)
|
|
|
$
|
(31)
|
|
|
$
|
(47)
|
|
Capital expenditures
for timberlands reforestation
|
|
|
(15)
|
|
|
|
(22)
|
|
|
|
(21)
|
|
Acquisition of
timberlands
|
|
|
(425)
|
|
|
|
—
|
|
|
|
—
|
|
Proceeds from note
receivable held by variable interest entities
|
|
|
—
|
|
|
|
—
|
|
|
|
362
|
|
Proceeds from sale of
timberlands
|
|
|
381
|
|
|
|
—
|
|
|
|
145
|
|
Other
|
|
|
—
|
|
|
|
—
|
|
|
|
2
|
|
Net cash from
investing activities
|
|
$
|
(126)
|
|
|
$
|
(53)
|
|
|
$
|
441
|
|
Cash flows from
financing activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash dividends on
common shares
|
|
$
|
(127)
|
|
|
$
|
(127)
|
|
|
$
|
(254)
|
|
Net proceeds from
issuance of long-term debt
|
|
|
—
|
|
|
|
—
|
|
|
|
732
|
|
Payments on long-term
debt
|
|
|
(556)
|
|
|
|
—
|
|
|
|
—
|
|
Proceeds from
borrowings on line of credit
|
|
|
—
|
|
|
|
—
|
|
|
|
550
|
|
Payments on line of
credit
|
|
|
—
|
|
|
|
—
|
|
|
|
(230)
|
|
Proceeds from exercise
of stock options
|
|
|
24
|
|
|
|
17
|
|
|
|
6
|
|
Other
|
|
|
(4)
|
|
|
|
(14)
|
|
|
|
(12)
|
|
Net cash from
financing activities
|
|
$
|
(663)
|
|
|
$
|
(124)
|
|
|
$
|
792
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in cash
and cash equivalents
|
|
$
|
(345)
|
|
|
$
|
521
|
|
|
$
|
1,319
|
|
Cash and cash
equivalents at beginning of period
|
|
|
840
|
|
|
|
495
|
|
|
|
139
|
|
Cash and cash
equivalents at end of period
|
|
$
|
495
|
|
|
$
|
1,016
|
|
|
$
|
1,458
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash paid (received)
during the period for:
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest, net of
amounts capitalized
|
|
$
|
87
|
|
|
$
|
75
|
|
|
$
|
108
|
|
Income taxes, net of
refunds
|
|
$
|
130
|
|
|
$
|
66
|
|
|
$
|
—
|
|
Timberlands Segment
|
Weyerhaeuser
Company
Q1.2021
Analyst Package
Preliminary results
(unaudited)
|
|
Segment Statement
of Operations
|
|
in
millions
|
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Sales to unaffiliated
customers
|
|
$
|
381
|
|
|
$
|
379
|
|
|
$
|
381
|
|
Intersegment
sales
|
|
|
121
|
|
|
|
134
|
|
|
|
122
|
|
Total net
sales
|
|
|
502
|
|
|
|
513
|
|
|
|
503
|
|
Costs of
sales
|
|
|
375
|
|
|
|
383
|
|
|
|
375
|
|
Gross
margin
|
|
|
127
|
|
|
|
130
|
|
|
|
128
|
|
Selling
expenses
|
|
|
1
|
|
|
|
—
|
|
|
|
—
|
|
General and
administrative expenses
|
|
|
23
|
|
|
|
23
|
|
|
|
24
|
|
Gain on sale of
timberlands
|
|
|
(182)
|
|
|
|
—
|
|
|
|
—
|
|
Other operating
income, net
|
|
|
(1)
|
|
|
|
(1)
|
|
|
|
(1)
|
|
Operating income
and Net contribution to earnings
|
|
$
|
286
|
|
|
$
|
108
|
|
|
$
|
105
|
|
|
Adjusted Earnings
before Interest, Tax, Depreciation, Depletion and
Amortization(1)
|
|
in
millions
|
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Operating
income
|
|
$
|
286
|
|
|
$
|
108
|
|
|
$
|
105
|
|
Depreciation,
depletion and amortization
|
|
|
63
|
|
|
|
64
|
|
|
|
68
|
|
Special
items
|
|
|
(182)
|
|
|
|
—
|
|
|
|
—
|
|
Adjusted
EBITDA(1)
|
|
$
|
167
|
|
|
$
|
172
|
|
|
$
|
173
|
|
|
(1) See
definition of Adjusted EBITDA (a non-GAAP measure) on page
1.
|
|
Segment Special
Items Included in Net Contribution to Earnings
(Pretax)
|
|
in
millions
|
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Gain on sale of
timberlands
|
|
$
|
182
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selected Segment
Items
|
|
in
millions
|
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Total decrease
(increase) in working capital(2)
|
|
$
|
(47)
|
|
|
$
|
(13)
|
|
|
$
|
(3)
|
|
Cash spent for
capital expenditures(3)
|
|
$
|
(29)
|
|
|
$
|
(28)
|
|
|
$
|
(30)
|
|
|
(2)
Represents the change in prepaid assets, accounts receivable,
accounts payable, accrued liabilities and log inventory for the
Timberlands and Real Estate & ENR segments combined.
|
(3) Does
not include cash spent for the acquisition of
timberlands.
|
|
Segment
Statistics(4)
|
|
|
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Third Party
|
|
Delivered
logs:
|
|
|
|
|
|
|
|
|
|
|
|
Net Sales
|
|
West
|
$
|
201
|
|
|
$
|
201
|
|
|
$
|
177
|
|
(millions)
|
|
South
|
|
137
|
|
|
|
131
|
|
|
|
150
|
|
|
|
North
|
|
15
|
|
|
|
16
|
|
|
|
17
|
|
|
|
Total delivered
logs
|
|
353
|
|
|
|
348
|
|
|
|
344
|
|
|
|
Stumpage and
pay-as-cut timber
|
|
4
|
|
|
|
6
|
|
|
|
5
|
|
|
|
Recreational and
other lease revenue
|
|
16
|
|
|
|
16
|
|
|
|
15
|
|
|
|
Other
revenue
|
|
8
|
|
|
|
9
|
|
|
|
17
|
|
|
|
Total
|
$
|
381
|
|
|
$
|
379
|
|
|
$
|
381
|
|
Delivered
Logs
|
|
West
|
$
|
124.37
|
|
|
$
|
130.69
|
|
|
$
|
104.91
|
|
Third Party
Sales
|
|
South
|
$
|
33.69
|
|
|
$
|
34.50
|
|
|
$
|
34.27
|
|
Realizations (per
ton)
|
|
North
|
$
|
58.96
|
|
|
$
|
62.83
|
|
|
$
|
60.51
|
|
Delivered
Logs
|
|
West
|
|
1,619
|
|
|
|
1,539
|
|
|
|
1,684
|
|
Third Party
Sales
|
|
South
|
|
4,097
|
|
|
|
3,782
|
|
|
|
4,365
|
|
Volumes (tons,
thousands)
|
|
North
|
|
241
|
|
|
|
261
|
|
|
|
284
|
|
Fee Harvest
Volumes
|
|
West
|
|
2,085
|
|
|
|
2,101
|
|
|
|
2,310
|
|
(tons,
thousands)
|
|
South
|
|
5,509
|
|
|
|
5,376
|
|
|
|
6,130
|
|
|
|
North
|
|
325
|
|
|
|
337
|
|
|
|
386
|
|
|
(4) Western logs are primarily
transacted in MBF but are converted to ton equivalents for external
reporting purposes.
|
Real Estate,
Energy & Natural Resources Segment
|
Weyerhaeuser
Company
Q1.2021
Analyst Package
Preliminary results
(unaudited)
|
|
Segment Statement
of Operations
|
|
in
millions
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Net
sales
|
|
$
|
30
|
|
|
$
|
106
|
|
|
$
|
112
|
|
Costs of
sales
|
|
|
9
|
|
|
|
34
|
|
|
|
70
|
|
Gross
margin
|
|
|
21
|
|
|
|
72
|
|
|
|
42
|
|
General and
administrative expenses
|
|
|
7
|
|
|
|
6
|
|
|
|
6
|
|
Operating income
and Net contribution to earnings
|
|
$
|
14
|
|
|
$
|
66
|
|
|
$
|
36
|
|
|
Adjusted Earnings
before Interest, Tax, Depreciation, Depletion and
Amortization(1)
|
|
in
millions
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Operating
income
|
|
$
|
14
|
|
|
$
|
66
|
|
|
$
|
36
|
|
Depreciation,
depletion and amortization
|
|
|
4
|
|
|
|
3
|
|
|
|
3
|
|
Basis of real estate
sold
|
|
|
5
|
|
|
|
27
|
|
|
|
62
|
|
Adjusted
EBITDA(1)
|
|
$
|
23
|
|
|
$
|
96
|
|
|
$
|
101
|
|
|
(1) See
definition of Adjusted EBITDA (a non-GAAP measure) on page
1.
|
|
Selected Segment
Items
|
|
in
millions
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Cash spent for
capital expenditures
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment
Statistics
|
|
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Net Sales
|
Real
Estate
|
$
|
10
|
|
|
$
|
84
|
|
|
$
|
95
|
|
(millions)
|
Energy and Natural
Resources
|
|
20
|
|
|
|
22
|
|
|
|
17
|
|
|
Total
|
$
|
30
|
|
|
$
|
106
|
|
|
$
|
112
|
|
Acres Sold
|
Real
Estate
|
|
670
|
|
|
|
19,455
|
|
|
|
44,974
|
|
Price per
Acre
|
Real
Estate
|
$
|
6,316
|
|
|
$
|
3,803
|
|
|
$
|
1,992
|
|
Basis as a Percent
of
Real Estate Net
Sales
|
Real
Estate
|
|
50
|
%
|
|
|
32
|
%
|
|
|
65
|
%
|
Wood Products
Segment
|
Weyerhaeuser
Company
Q1.2021
Analyst Package
Preliminary results
(unaudited)
|
|
Segment Statement
of Operations
|
|
in
millions
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Net
sales
|
|
$
|
1,652
|
|
|
$
|
2,021
|
|
|
$
|
1,235
|
|
Costs of
sales
|
|
|
1,109
|
|
|
|
1,124
|
|
|
|
1,040
|
|
Gross
margin
|
|
|
543
|
|
|
|
897
|
|
|
|
195
|
|
Selling
expenses
|
|
|
20
|
|
|
|
19
|
|
|
|
21
|
|
General and
administrative expenses
|
|
|
34
|
|
|
|
35
|
|
|
|
36
|
|
Other operating
costs, net
|
|
|
8
|
|
|
|
3
|
|
|
|
4
|
|
Operating income
and Net contribution to earnings
|
|
$
|
481
|
|
|
$
|
840
|
|
|
$
|
134
|
|
|
Adjusted Earnings
before Interest, Tax, Depreciation, Depletion and
Amortization(1)
|
|
in
millions
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Operating
income
|
|
$
|
481
|
|
|
$
|
840
|
|
|
$
|
134
|
|
Depreciation,
depletion and amortization
|
|
|
49
|
|
|
|
49
|
|
|
|
50
|
|
Adjusted
EBITDA(1)
|
|
$
|
530
|
|
|
$
|
889
|
|
|
$
|
184
|
|
|
(1) See
definition of Adjusted EBITDA (a non-GAAP measure) on page
1.
|
|
Selected Segment
Items
|
|
in
millions
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Total decrease
(increase) in working capital(2)
|
|
$
|
16
|
|
|
$
|
(212)
|
|
|
$
|
(186)
|
|
Cash spent for
capital expenditures
|
|
$
|
(52)
|
|
|
$
|
(25)
|
|
|
$
|
(38)
|
|
|
(2)
Represents the change in prepaid assets, accounts receivable,
accounts payable, accrued liabilities and inventory for the Wood
Products segment.
|
|
Segment
Statistics
|
|
in millions, except
for third party sales realizations
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Structural Lumber
|
Third party net
sales
|
|
$
|
737
|
|
|
$
|
990
|
|
|
$
|
508
|
|
(volumes
presented
|
Third party sales
realizations
|
|
$
|
609
|
|
|
$
|
864
|
|
|
$
|
416
|
|
in board
feet)
|
Third party sales
volumes(3)
|
|
|
1,210
|
|
|
|
1,145
|
|
|
|
1,222
|
|
|
Production
volumes
|
|
|
1,179
|
|
|
|
1,211
|
|
|
|
1,209
|
|
Oriented
Strand
|
Third party net
sales
|
|
$
|
354
|
|
|
$
|
438
|
|
|
$
|
190
|
|
Board
|
Third party sales
realizations
|
|
$
|
503
|
|
|
$
|
614
|
|
|
$
|
246
|
|
(volumes
presented
|
Third party sales
volumes(3)
|
|
|
703
|
|
|
|
714
|
|
|
|
770
|
|
in square feet
3/8")
|
Production
volumes
|
|
|
735
|
|
|
|
742
|
|
|
|
777
|
|
Engineered
Solid
|
Third party net
sales
|
|
$
|
132
|
|
|
$
|
142
|
|
|
$
|
127
|
|
Section
|
Third party sales
realizations
|
|
$
|
2,221
|
|
|
$
|
2,285
|
|
|
$
|
2,149
|
|
(volumes
presented
|
Third party sales
volumes(3)
|
|
|
6.0
|
|
|
|
6.2
|
|
|
|
5.9
|
|
in cubic
feet)
|
Production
volumes
|
|
|
6.2
|
|
|
|
6.0
|
|
|
|
6.1
|
|
Engineered
|
Third party net
sales
|
|
$
|
85
|
|
|
$
|
83
|
|
|
$
|
78
|
|
I-joists
|
Third party sales
realizations
|
|
$
|
1,695
|
|
|
$
|
1,773
|
|
|
$
|
1,667
|
|
(volumes
presented
|
Third party sales
volumes(3)
|
|
|
50
|
|
|
|
47
|
|
|
|
47
|
|
in lineal
feet)
|
Production
volumes
|
|
|
47
|
|
|
|
44
|
|
|
|
47
|
|
Softwood Plywood
|
Third party net
sales
|
|
$
|
43
|
|
|
$
|
56
|
|
|
$
|
39
|
|
(volumes
presented
|
Third party sales
realizations
|
|
$
|
433
|
|
|
$
|
594
|
|
|
$
|
348
|
|
in square feet
3/8")
|
Third party sales
volumes(3)
|
|
|
99
|
|
|
|
94
|
|
|
|
113
|
|
|
Production
volumes
|
|
|
80
|
|
|
|
80
|
|
|
|
97
|
|
Medium
Density
|
Third party net
sales
|
|
$
|
47
|
|
|
$
|
48
|
|
|
$
|
44
|
|
Fiberboard
|
Third party sales
realizations
|
|
$
|
867
|
|
|
$
|
842
|
|
|
$
|
841
|
|
(volumes
presented
|
Third party sales
volumes(3)
|
|
|
54
|
|
|
|
57
|
|
|
|
52
|
|
in square feet
3/4")
|
Production
volumes
|
|
|
52
|
|
|
|
56
|
|
|
|
56
|
|
|
(3)
Volumes include sales of internally produced products and products
purchased for resale primarily through our distribution
business.
|
Unallocated
Items
|
Weyerhaeuser
Company
Q1.2021
Analyst Package
Preliminary results
(unaudited)
|
|
Unallocated items are
gains or charges not related to, or allocated to, an individual
operating segment. They include all or a portion of items such as
share-based compensation, pension and post-employment costs,
elimination of intersegment profit in inventory and LIFO, foreign
exchange transaction gains and losses, interest income and other as
well as legacy obligations.
|
|
Net Charge to
Earnings
|
|
in
millions
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Unallocated corporate
function and variable compensation expense
|
|
$
|
(31)
|
|
|
$
|
(25)
|
|
|
$
|
(19)
|
|
Liability classified
share-based compensation
|
|
|
(3)
|
|
|
|
(1)
|
|
|
|
10
|
|
Foreign exchange
loss
|
|
|
(4)
|
|
|
|
(2)
|
|
|
|
(8)
|
|
Elimination of
intersegment profit in inventory and LIFO
|
|
|
(13)
|
|
|
|
(17)
|
|
|
|
(13)
|
|
Other, net
|
|
|
(13)
|
|
|
|
(13)
|
|
|
|
(5)
|
|
Operating
loss
|
|
|
(64)
|
|
|
|
(58)
|
|
|
|
(35)
|
|
Non-operating pension
and other post-employment benefit costs
|
|
|
(262)
|
|
|
|
(8)
|
|
|
|
(9)
|
|
Interest income and
other
|
|
|
—
|
|
|
|
1
|
|
|
|
1
|
|
Net charge to
earnings
|
|
$
|
(326)
|
|
|
$
|
(65)
|
|
|
$
|
(43)
|
|
|
Adjusted Earnings
before Interest, Tax, Depreciation, Depletion and
Amortization(1)
|
|
in
millions
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Operating
loss
|
|
$
|
(64)
|
|
|
$
|
(58)
|
|
|
$
|
(35)
|
|
Depreciation,
depletion and amortization
|
|
|
1
|
|
|
|
2
|
|
|
|
2
|
|
Special
items
|
|
|
—
|
|
|
|
—
|
|
|
|
(12)
|
|
Adjusted
EBITDA(1)
|
|
$
|
(63)
|
|
|
$
|
(56)
|
|
|
$
|
(45)
|
|
|
(1) See
definition of Adjusted EBITDA (a non-GAAP measure) on page
1.
|
|
Unallocated
Special Items Included in Net Charge to Earnings
(Pretax)
|
|
in
millions
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Legal
benefit
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
12
|
|
Special items
included in operating loss
|
|
|
—
|
|
|
|
—
|
|
|
|
12
|
|
Pension settlement
charge
|
|
|
(253)
|
|
|
|
—
|
|
|
|
—
|
|
Special items
included in net charge to earnings
|
|
$
|
(253)
|
|
|
$
|
—
|
|
|
$
|
12
|
|
|
Unallocated
Selected Items
|
|
in
millions
|
|
Q4.2020
|
|
|
Q1.2021
|
|
|
Q1.2020
|
|
Cash spent for
capital expenditures
|
|
$
|
(1)
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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SOURCE Weyerhaeuser Company