Weyerhaeuser profit jumps 34%
The lumber company’s profit climbed 34 percent as revenue rose 23 percent.
The Associated Press
Weyerhaeuser’s third-quarter net income climbed 34 percent, partly due to the acquisition of Longview Timber.
Its performance topped analysts’ estimates and pushed its stock up sharply Friday.
The shares closed up $1.09, or 3.6 percent, at $31.39.
The Federal Way-based lumber company said Friday that it earned $157 million, or 27 cents a share, for the period ended Sept. 30. That compares with $117 million, or 22 cents a share, a year earlier.
Revenue increased 23 percent to $2.18 billion from $1.77 billion.
Analysts surveyed by FactSet expected earnings of 21 cents a share on revenue of $2.09 billion. The company said Longview Timber, which it agreed to buy for $2.65 billion in June, contributed a partial quarter of earnings. Weyerhaeuser also reported better earnings from its southern timberlands.
Selling prices for lumber dropped 7 percent and average selling prices for oriented strand board fell 26 percent. This was somewhat offset by better average selling prices for engineered wood products, higher sales volumes across all product lines and lower Western log costs.