Rayonier Inc. reported Q4 2022 net income of $33.1 million, or $0.22 per share, on revenues of $245.4 million. This compares to net income of $8.7 million, or $0.06 per share, on revenues of $262.0 million in the prior year quarter.
Q4 2022 operating income was $44.1 million versus $33.5 million in the prior year period. Q4 Adjusted EBITDA was $68.4 million versus $50.4 million in the prior year period.
David Nunes, CEO of Rayonier, said: “In our Southern Timber segment, Adjusted EBITDA declined 1% versus the prior year quarter, as an 11% decrease in harvest volumes was largely offset by a 7% increase in weighted-average log prices. In our Pacific Northwest Timber segment, Adjusted EBITDA improved 18% versus the prior year quarter, driven by a 17% increase in weighted-average log prices and a 3% increase in harvest volumes.”
Full-year 2022 net income was $107.1 million, or $0.73 per share, on revenues of $909.1 million. This compares to net income of $152.6 million, or $1.08 per share, on revenues of $1.1 billion in the prior year.
Full-year operating income was $165.8 million versus $269.8 million in the prior year. Full-year Adjusted EBITDA was $314.2 million versus $329.8 million in the prior year.
“We are pleased with our overall financial performance for the full-year 2022,” said David Nunes, CEO. “The total Adjusted EBITDA generated by our three Timber segments of $275.4 million represented the highest-ever result for the company – roughly 8% above the previous record achieved in 2021. Notwithstanding deteriorating market conditions toward the end of 2022 in response to growing macroeconomic uncertainty and a slowing housing market, we still achieved record full-year Adjusted EBITDA results in both our Southern Timber and Pacific Northwest Timber segments, underscoring the relative strength of our timber markets and the ability of our team to navigate an ever-evolving operating environment. The strong results in our U.S. timber operations were partially offset by lower Adjusted EBITDA versus the prior year in our New Zealand Timber segment, which throughout 2022 contended with slower economic activity in China, as well as higher costs. Finally, in our Real Estate segment, we achieved solid results generally in line with our expectations entering the year, reflecting our continued focus on optimizing the value of our portfolio through the sale of rural and recreational properties, land entitled for development, and non-strategic holdings. Entering 2023, we believe the operational flexibility afforded by our pure-play timber REIT model, the ongoing improvements to our portfolio, and the resiliency of our team will enable us to stay focused on long-term value creation amid more challenging economic conditions.”
Rayonier is a leading timberland real estate investment trust with assets located in some of the most productive softwood timber growing regions in the United States and New Zealand.
