Weyerhaeuser Reports Third Quarter Results
WEYERHAEUSER CO (WY) filed an SEC Form 8-K — Results of Operations and Financial Condition. EXHIBIT 99.1 For more information contact: Analysts – Andy Taylor (206) 539-3907 Media – Nancy Thompson (919) 861-0342 Weyerhaeuser Reports Third Quarter Results • Generated net earnings of $61 million, or $0.08 per diluted share • Achieved Adjusted EBITDA of $248 million, a 14 p
How this was made
The 30-second read
Why it matters
The earnings miss and modest guidance are likely to drive short‑term price weakness, while strategic land sales and renewable projects may provide a longer‑term upside narrative.
Market read
The earnings release provides fresh, material data that can affect trading decisions for WY and related timber sector stocks.
What to watch
The company announced divestiture of non‑core timberlands and new renewable projects, which could support longer‑term growth despite the near‑term earnings dip.
Weyerhaeuser reported third quarter net earnings of $61 million, or $0.08 per diluted share, on net sales of $1,867 million, with Adjusted EBITDA of $248 million.
Net sales and Adjusted EBITDA exceeded the prior-year period, but net earnings, cash from operations, Adjusted FAD and Wood Products profitability declined from the second quarter. Fourth-quarter outlook calls for lower Strategic Land Solutions and Wood Products results.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Net sales, Q3 2026GAAP | $1.87B | – | – |
| Net earnings, Q3 2026GAAP | $61M | – | – |
| Net earnings per diluted share, Q3 2026GAAP | $ 0.08 | – | – |
| Weighted average shares outstanding, diluted, Q3 2026GAAP | 721M | – | – |
| Net earnings before special items, Q3 2026non-GAAP | $61M | – | – |
| Net earnings per diluted share before special items, Q3 2026non-GAAP | $ 0.08 | – | – |
| Adjusted EBITDA, Q3 2026non-GAAP | $248M | – | a 14 percent increase compared with third quarter 2025 |
| Net cash from operations, Q3 2026GAAP | $193M | – | – |
| Capital expenditures, Q3 2026GAAP | −$137M | – | – |
| Adjusted FAD, Q3 2026non-GAAP | $110M | – | – |
| Operating income (loss), Q3 2026GAAP | $100M | – | – |
| Depreciation, depletion and amortization, Q3 2026GAAP | $132M | – | – |
| Basis of acres sold, Q3 2026GAAP | $16M | – | – |
| Interest expense, net of capitalized interest, Q3 2026GAAP | $63M | – | – |
| Income taxes, Q3 2026GAAP | −$36M | – | – |
| Net cash from operations, Q3 2026 year-to-dateGAAP | $644M | – | – |
| Capital expenditures, Q3 2026 year-to-dateGAAP | −$388M | – | – |
| Adjusted FAD, Q3 2026 year-to-datenon-GAAP | $375M | – | – |
| Net earnings, Q3 2026 year-to-dateGAAP | $379M | – | – |
| Adjusted EBITDA, Q3 2026 year-to-datenon-GAAP | $866M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| TimberlandsIn the West, sales volumes were lower primarily due to fiber logs and the timing of export vessels, while sales realizations were slightly higher. In the South, fee harvest volumes were significantly higher due to more favorable weather conditions. | $531M | $ 13 million | – |
| Strategic Land SolutionsEarnings and Adjusted EBITDA decreased from the second quarter due to the timing and mix of Real Estate sales. The number of acres sold decreased significantly and the average price per acre was moderately lower. | $99M | $ (41) million | – |
| Wood ProductsLumber sales volumes were moderately higher and realizations were slightly higher. Oriented strand board realizations were 2 percent lower and unit manufacturing costs were moderately higher, while distribution results declined on lower specialty-product sales volumes and margins. | $1.39B | $ 25 million | – |
Q4 2026 and full year 2026 outlook
- NoteTimberlands: fourth quarter earnings before special items and Adjusted EBITDA will be comparable to the third quarter.
- NoteTimberlands West: slightly lower fee harvest volumes, slightly higher sales volumes primarily for export, slightly lower sales realizations, comparable per unit log and haul costs, and seasonally lower forestry and road costs.
- NoteTimberlands South: moderately lower fee harvest volumes, slightly higher sales realizations and per unit log and haul costs, and comparable forestry and road costs.
- NoteStrategic Land Solutions: fourth quarter earnings before special items will be approximately $35 million lower than the third quarter.
- NoteStrategic Land Solutions: fourth quarter Adjusted EBITDA will be approximately $45 million lower than the third quarter.
- NoteStrategic Land Solutions: full year 2026 Adjusted EBITDA to be approximately $450 million, a $25 million increase from the initial outlook.
- NoteStrategic Land Solutions: basis as a percentage of Strategic Land Solutions sales to be 15 to 20 percent for the full year.
- NoteWood Products: fourth quarter earnings before special items and Adjusted EBITDA will be moderately lower than the third quarter, excluding the effect of changes in average sales realizations for lumber and oriented strand board.
- NoteWood Products lumber: slightly lower sales volumes and slightly higher log and unit manufacturing costs.
- NoteWood Products oriented strand board: slightly higher sales volumes and fiber costs and slightly lower unit manufacturing costs.
- NoteWood Products engineered wood products: slightly higher sales realizations, slightly lower sales volumes for most products and moderately higher raw material costs.
- NoteWood Products distribution: slightly lower results compared to the third quarter.
What drove it
- Consolidated Adjusted EBITDA was $ 248 million, compared with $ 217 million for the same period last year.
- Timberlands Adjusted EBITDA was $ 133 million, with higher South fee harvest volumes due to more favorable weather conditions.
- Wood Products net sales increased to $ 1,385 million from $ 1,360 million in Q2 2026.
- The company commenced construction on its first biocarbon facility in McComb, Mississippi.
- The company monetized approximately 340,000 forest carbon credits year-to-date through third quarter.
- The company commenced construction on two additional solar sites, bringing its portfolio to two operational sites and five under construction.
- The company signed a geothermal energy exploration agreement covering approximately 145,000 acres in Oregon and Washington.
Concerns
- Net earnings declined to $ 61 million from $ 162 million in Q2 2026.
- Wood Products net contribution to pretax earnings declined to $ 32 million from $ 71 million in Q2 2026, while Adjusted EBITDA declined to $ 91 million from $ 129 million.
- Strategic Land Solutions net sales declined to $ 99 million from $ 140 million in Q2 2026 due to the timing and mix of Real Estate sales.
- Oriented strand board sales realizations were 2 percent lower than the second-quarter average, and unit manufacturing costs were moderately higher due to more extensive planned annual maintenance and elevated resin costs.
- The company described the macroeconomic backdrop as increasingly challenging.
What to watch
- Closing of the approximately 81,000-acre Arkansas timberlands divestiture for $146 million, expected in the fourth quarter.
- Whether Timberlands fourth-quarter earnings before special items and Adjusted EBITDA are comparable to the third quarter.
- The expected approximately $35 million decline in Strategic Land Solutions fourth-quarter earnings before special items and approximately $45 million decline in Adjusted EBITDA.
- Wood Products fourth-quarter results, which are expected to be moderately lower than the third quarter excluding average lumber and oriented strand board sales-realization changes.
- Progress toward full-year 2026 Strategic Land Solutions Adjusted EBITDA of approximately $450 million and basis of 15 to 20 percent of sales.
Balance sheet and cash flow
- Net cash from operations was $ 193 million in Q3 2026, compared with $ 399 million in Q2 2026 and $ 210 million in Q3 2025.
- Capital expenditures were $ (137) million in Q3 2026, compared with $ (139) million in Q2 2026 and $ (125) million in Q3 2025.
- Adjusted FAD was $ 110 million in Q3 2026, compared with $ 323 million in Q2 2026 and $ 117 million in Q3 2025.
- Q3 2026 year-to-date net cash from operations was $ 644 million, capital expenditures were $ (388) million, and Adjusted FAD was $ 375 million.
- The company entered into an agreement to divest approximately 81,000 acres of non-core timberlands in Arkansas for $146 million, with closing expected in the fourth quarter subject to customary closing conditions.
Analysis
Weyerhaeuser reported Q3 2026 net sales of $ 1,867 million, compared with $ 1,717 million in Q3 2025 and $ 1,862 million in Q2 2026. Adjusted EBITDA increased 14 percent from the prior-year quarter to $ 248 million, but declined from $ 310 million in Q2 2026. GAAP net earnings were $ 61 million, or $ 0.08 per diluted share, compared with $ 80 million, or $ 0.11 per diluted share, a year earlier and $ 162 million, or $ 0.23 per diluted share, in the second quarter. There were no special items in Q3 2026, while the comparative periods included special items reflected in the reconciliation tables.
Timberlands was the strongest operating contributor in the quarter, with net sales of $ 531 million, net contribution to pretax earnings of $ 67 million and Adjusted EBITDA of $ 133 million. In the South, significantly higher fee harvest volumes reflected more favorable weather conditions. In the West, sales volumes were lower on fiber logs and export-vessel timing, while slightly higher sales realizations and lower per-unit log and haul costs partly supported the result. The company expects Timberlands fourth-quarter earnings before special items and Adjusted EBITDA to be comparable with the third quarter.
Wood Products revenue rose to $ 1,385 million from $ 1,360 million in Q2 2026, but net contribution to pretax earnings fell to $ 32 million from $ 71 million and Adjusted EBITDA fell to $ 91 million from $ 129 million. Lumber volumes and realizations improved, but oriented strand board realizations were 2 percent lower, with moderately higher unit manufacturing costs tied to planned maintenance and elevated resin costs. Engineered wood products realizations were lower overall and distribution results fell as specialty-product volumes and margins declined. Management expects fourth-quarter Wood Products earnings before special items and Adjusted EBITDA to be moderately lower than Q3, excluding changes in average lumber and oriented strand board realizations.
Strategic Land Solutions remained subject to the timing and mix of Real Estate sales. Net sales declined to $ 99 million from $ 140 million in Q2 2026, while Adjusted EBITDA declined to $ 86 million from $ 129 million, as acres sold decreased significantly and average price per acre was moderately lower. The company forecasts fourth-quarter earnings before special items approximately $35 million lower and Adjusted EBITDA approximately $45 million lower than Q3. It continues to expect full-year 2026 Strategic Land Solutions Adjusted EBITDA of approximately $450 million, a $25 million increase from its initial outlook.
Cash generation moderated during the quarter. Net cash from operations was $ 193 million, compared with $ 399 million in Q2 2026 and $ 210 million in Q3 2025, while Adjusted FAD was $ 110 million versus $ 323 million and $ 117 million, respectively. The company also advanced portfolio and growth initiatives, including an agreement to divest approximately 81,000 acres of Arkansas timberlands for $146 million, construction of the first biocarbon facility, additional solar-site construction and a geothermal exploration agreement covering approximately 145,000 acres.
Management, verbatim
Our teams delivered solid operating performance in the third quarter against an increasingly challenging macroeconomic backdrop.
Devin W. Stockfish, president and chief executive officer
In addition, we continued to enhance the value of our timberlands portfolio and made meaningful progress advancing several strategic growth initiatives.
Devin W. Stockfish, president and chief executive officer
Looking ahead, we remain confident in the longer-term demand fundamentals that support growth for our businesses and are well positioned to navigate the current environment given the strength of our portfolio, balance sheet and flexible capital allocation framework.
Devin W. Stockfish, president and chief executive officer
Not in the filing
stated, not guessed- Gross margin
- Operating expenses
- Effective tax rate
- Cash balance
- Debt balance
- Dividend declaration or payment
- Share repurchases
- Consolidated revenue guidance
- Consolidated gross-margin guidance
- Consolidated operating-expense guidance
- Consolidated tax-rate guidance
- Prior outlook for comparison
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
The filing is a standard SEC Form 8‑K earnings release for Weyerhaeuser, a NYSE‑listed timberland REIT.
Ticker impact
Weyerhaeuser reported Q3 net earnings of $61M, down from $80M a year ago, and provided guidance for full-year Adjusted EBITDA.
likely downward pressure as investors price in lower earnings and modest outlook
The company posted lower earnings versus the prior year and only a modest increase in Adjusted EBITDA, which typically triggers sell‑side sentiment in the near term.
Market effects
Timber and forest products sector may see modest pressure as a major player reports weaker earnings.
North American timberland investors could adjust positions based on the earnings miss.
Limited; impact confined to sector and regional investors.
Counterpoint
If the market overreacts to the earnings decline, the stock could be a short‑term buying opportunity on the back of its strong balance sheet.
Key entities
- companyWeyerhaeuser Company
NYSE‑listed timberland REIT reporting Q3 results.
