Boise Cascade sales pull ahead
Fourth quarter 2023 sales at Boise Cascade ticked upward by 1% to $1.64 billion compared to sales of $1.63 billion for the same period in the prior year.
Sales for the full year fell 18% to $6.84 billion from 2022 sales of $8.39 billion, however.
Wood product sales increased 6% to $449.7 million in the fourth quarter as sales in the company’s Building Materials Distribution (BMD) business moved ahead 3% to $1.49 billion. Boise Cascade’s wood product sales include sales to the company’s BMD business.
The increase in wood product sales for the fourth quarter was fueled by higher sales volumes for I-joists and LVL (EWP products). The increase was offset partially by lower sales prices across all product lines and lower plywood sales volumes.
BMD sales volume increased 13% for the period but was offset partially by sales price decreases of 10%.
The Boise, Idaho-based company reported a fourth quarter net income of $97.5 million, down 17% from a net income of $117.4 million in the fourth quarter of 2022.
For the full year, Boise Cascade posted a net income of $483.7 million. This marks a 44% decline from a net income of $857.7 million in 2022.
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The Bottom Line: While profits declined 17% in the fourth quarter, sales edged ahead 1% to $1.64 billion.
What the CEO said: "We closed out 2023 with a fourth quarter that delivered strong financial performance, further execution of our growth strategies through organic and acquisition initiatives, and meaningful returns to our shareholders through share price gains and dividends. I remain humbled and grateful for our team as we continue to execute on strategies that position us to serve and support our vendor and customer partners into the future," said Nate Jorgensen, Boise Cascade CEO. "As we look forward to 2024, we are optimistic about new single-family residential construction activity and have great confidence in our people to execute our strategy independent of the market backdrop.”
Company info: Click here to read the full fourth quarter and 2023 full-year financial report from Boise Cascade.
