This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Weyerhaeuser Management Discusses Q2 2012 Results - Earnings Call Transcript

Wood Products, Charts 5 and 6. Wood Products contributed $36 million to pretax earnings, $49 million more than in Q1. The second quarter included a pretax gain of $6 million on a property sale. Lumber price realizations increased $39 per thousand board feet or 13%. Lumber volumes also increased 13%. OSB price realizations rose $17 per thousand square feet or 9%. OSB volumes were 14% higher in Q2. Engineered wood products declined 6% for TJIs and 2% for solid sections. TJI volumes rose 25% from very low level and solid section increased 9% also from a low level. Log costs slightly increased from Q1 and other manufacturing costs were flat.

Cellulose Fibers, Charts 7 and 8. The pretax contribution from Cellulose Fibers was $36 million, $12 million less than in Q1. Average pulp price realizations were flat in the quarter due to mix. There were 27 days of maintenance downtime in Q2. Manufacturing issues and the timing of shipments reduced pulp sales volumes 5%. Downtime increased costs and reduced productivity.

Real Estate, Charts 9 and 10. The pretax contribution to earnings from Real Estate before special items was $15 million, $23 million more than in Q1. Single-family home closings seasonally increased 46% to 508 homes in Q2 from 349 homes in Q1. Home closings increased 11% from the same quarter last year. Gross margins increased to nearly 20% in Q2 from 17% in Q1. The average home closing price was $374,000, nearly flat with Q1. The closing price declined 4% from the same quarter last year due to mix.

Unallocated items, Chart 11. The foreign exchange loss was $8 million in Q2 due to a weaker Canadian dollar. This was a $14 million swing from Q1. As discussed earlier, the elimination of intersegment profit in inventory and LIFO, formerly reported at the segment level, is now recorded in unallocated items.

Read the rest of this transcript for free on seekingalpha.com

3 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,024.06 +183.54 1.03%
S&P 500 2,108.29 +22.78 1.09%
NASDAQ 5,005.3910 +63.9670 1.29%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs