FEDERAL WAY, WA – Bolstered by strong wood product and timber sales, Weyerhaeuser Company reported a strong second quarter for 2014 with earnings of $280 million for shareholders from operations of $2 billion.
The company reported net earnings of $234 million, or 40 cents per diluted share, officials said. This compares with net earnings from continuing operations before special items of $183 million, or 33 cents per diluted share, for second quarter 2013 and $143 million, or 24 cents per diluted share, for first quarter 2014, the company reported.
"Through the recent divestiture of our homebuilding business and last year's Longview Timber acquisition, we have created a focused forest products company committed to driving operational improvements and fully capitalizing on the continued measured recovery in U.S. housing markets and the overall economy,” says Doyle Simons, Weyerhaeuser CEO.
During the quarter average selling prices for engineered wood products increased. Company officials expect comparable earnings from the Wood Products segment in the third quarter.
During the second quarter sales volumes increased due to continued steady demand for domestic and Chinese export logs. Earnings from disposition of non-strategic timberlands increased by $20 million compared with the first quarter. However, company officials anticipate “significantly lower earnings from the Timberlands segment in the third quarter, primarily due to seasonality and lower earnings from disposition of non-strategic timberlands.”
Average price realizations for pulp and liquid packaging board improved compared with the first quarter, and sales volumes increased. Mill operating performance was strong, and maintenance costs declined due to fewer scheduled annual outage days.
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