Weyerhaeuser third-quarter earnings up slightly

Weyerhaeuser Company reported third-quarter net sales from continuing operations of $1.82 billion, down 5% from $1.92 billion in the prior-year period. Net earnings from continuing operations totaled $180 million, up 1% from $178 million in the third quarter of 2014.

Net sales for the Timberland segment totaled $326 million. In the West, fee harvest volumes declined due to fire season logging constraints, and log sales realizations decreased due to a shift in mix from export to domestic markets. In the South, higher fee harvest volumes were offset by seasonally higher silviculture costs. Weyerhaeuser expects comparable earnings from the Timberlands segment in the fourth quarter.

Net sales for the Wood Products segment were $1.02 billion. Sales volumes increased across most product lines, Western log costs declined, and manufacturing costs improved. Weyerhaeuser expects significantly lower earnings from the Wood Products segment in the fourth quarter, anticipating seasonally lower sales volumes, reduced operating rates and additional planned maintenance primarily in oriented strand board.

Net sales for the Cellulose Fibers segment totaled $471 million. Maintenance costs decreased and production increased thanks to minimal scheduled maintenance outage days. Weyerhaeuser expects lower earnings from the Cellulose Fibers segment in the fourth quarter.

"I am very pleased with our third-quarter performance, as each of our businesses leveraged operational excellence improvements to drive strong results despite market and global macroeconomic headwinds," said Doyle R. Simons, president and CEO. "In addition, we delivered on our ongoing commitment to return cash to shareholders by increasing our quarterly dividend by 7% and have completed the $700 million share repurchase authorized in 2014. We remain relentlessly focused on driving value for our shareholders and fully capitalizing on an improving US housing market."