Fri, Apr 25, 8:30 PM (28 days ago)
**Weyerhaeuser Company (WY) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $1,763 million, down 2% from Q1 2024 ($1,796 million). - **Net Income:** $83 million, a 27% decrease from Q1 2024 ($114 million). - **EPS:** $0.11, down from $0.16 in Q1 2024. - **Operating Income:** $179 million, down 9% from Q1 2024 ($196 million). - **Gross Margin:** $335 million, down from $355 million in Q1 2024. - **Cash Flow from Operations:** $70 million, down from $124 million in Q1 2024. **Segment Performance:** - **Timberlands:** Net sales decreased by 1%, operating income increased by 28%. - **Real Estate, Energy & Natural Resources:** Net sales decreased by 12%, operating income decreased by 7%. - **Wood Products:** Net sales decreased by 1%, operating income decreased by 17%. **Trends & Uncertainties:** - **Housing Market:** Moderated pace due to elevated mortgage rates and reduced affordability. - **Inflation:** Decreased to 2.4% annually as of March 2025, down from 2.9% in December 2024. - **Interest Rates:** 30-year mortgage rates decreased from 6.9% to 6.7%. - **Trade Policy:** Ongoing U.S. trade policy actions causing macroeconomic uncertainty. **Future Operations & Impact:** - **Capital Expenditures:** $93 million in Q1 2025, with plans to invest $440 million for 2025, excluding the Monticello facility. - **Debt Management:** Repaid $210 million in debentures and issued a $300 million term loan. - **Share Repurchases:** Repurchased 845,049 shares for $25 million, with $74 million remaining for future repurchases. - **Dividends:** Paid $152 million in dividends, down from $248 million in Q1 2024 due to a supplemental dividend paid in Q1 2024. **Liquidity & Capital Resources:** - **Cash & Cash Equivalents:** $560 million as of March 31, 2025. - **Line of Credit:** $1.5 billion available, expiring in March 2028. - **Debt Covenants:** Compliance maintained as of March 31, 2025. **Market Risks & Contingencies:** - **Legal Proceedings:** No material adverse effects expected. - **Environmental Remediation:** $82 million accrued for future estimated remediation costs. - **Pension & Post-Employment Benefits:** Increased costs by $8 million. **Forward-Looking Statements:** - **Housing Market:** Expect a favorable U.S. housing construction market over the medium to long-term. - **Economic Conditions:** Uncertainties due to trade policy, interest rates, and inflation trends. - **Capital Allocation:** Focus on maintaining financial flexibility and meeting obligations.