Timber harvester Weyerhaeuser ( WY) said its earnings for the second quarter fell year over year, and the company indicated that its current quarter profits will decline sequentially.

Revenue edged down to $5.69 billion in the quarter from $5.71 billion a year ago. The company earned $314 million, or $1.26 a share, compared with $420 million, or $1.71 a share, last year.

Weyerhaeuser's latest second quarter included charges of 9 cents a share for restructuring and closing facilities and a gain of 19 cents a share from a tax benefit.

Backing out the net gain of 10 cents, Weyerhaeuser would have earned $1.16, exceeding the Thomson Financial consensus expectation of 95 cents. Sales matched estimates.

The same quarter in 2005 included items that amounted to a net gain of 37 cents.

For the third quarter, Weyerhaeuser expects its earnings will be below the second quarter because of seasonally reduced harvest and sales activity, softening domestic log prices and lower sales of nonstrategic properties. Analysts are looking for a profit of $1.06.