PotlatchDeltic Corporation Reports First Quarter 2024 Results

PotlatchDeltic Corporation reported a net loss of $0.3 million, or $0.00 per diluted share, on revenues of $228.1 million for the quarter ended March 31, 2024. Net income was $16.3 million, or $0.20 per diluted share, on revenues of $258.0 million for the quarter ended March 31, 2023. Excluding CatchMark merger-related expenses, adjusted net income was $18.5 million, or $0.23 per diluted share, for the first quarter of 2023.

First Quarter 2024 Highlights

• Generated Total Adjusted EBITDDA of $29.7 million and Total Adjusted EBITDDA margin of 13%
• Acquired 16,000 acres of high-quality mature Southern timberlands for $31 million, or $1,900/acre
• Announced agreement to sell 34,000 acres of under four-year aged Southern timberlands for $58 million, or $1,700/acre
• On track to complete our expansion and modernization of Waldo, Arkansas sawmill in 2024
• Maintained strong liquidity of $479 million as of March 31, 2024

“Our business segments delivered solid operational performance in the first quarter despite various market and weather-related challenges,” said Eric Cremers, President and Chief Executive Officer. “Additionally, during the quarter we capitalized on market opportunities to enhance shareholder value by acquiring high-quality mature timberland and agreeing to divest young-aged timberland at a sales price that is at a significant premium to our timberland value. Our strong balance sheet and liquidity provide flexibility as we navigate through the current economic environment and we remain committed to our disciplined capital allocation strategy to drive value for our shareholders over the long term,” stated Mr. Cremers.

Business Performance: Q1 2024 vs. Q4 2023

Timberlands

First Quarter 2024 Highlights

• Timberlands Adjusted EBITDDA increased $1.4 million from Q4 2023
• Northern sawlog prices decreased 5% primarily due to seasonally heavier logs
• Southern sawlog prices decreased 3% on seasonally lower mix of hardwood volumes and smaller diameter logs
• Lower log and haul costs were primarily driven by decreased fuel costs and shorter haul distances
• Forest management costs decreased due to seasonally lower activity

Wood Products

First Quarter 2024 Highlights

• Wood Products Adjusted EBITDDA increased $6.4 million from Q4 2023
• Average lumber price increased 4% to $430 per thousand board feet (MBF) in Q1 2024
• Lumber production increased in Q1 2024 leading to improved fixed cost absorption
• Lumber inventory charges were $2.3 million lower compared to Q4 2023

Real Estate

First Quarter 2024 Highlights

• Real Estate Adjusted EBITDDA decreased $15.7 million from Q4 2023
• Sold 1,801 acres of rural land at an average price of $3,069 per acre
• Sold 24 residential lots at an average price of $119,750 per lot

For full results click here.

About PotlatchDeltic

PotlatchDeltic Corporation (Nasdaq: PCH) is a leading Real Estate Investment Trust (REIT) that owns nearly 2.2 million acres of timberlands in Alabama, Arkansas, Georgia, Idaho, Louisiana, Mississippi and South Carolina. Through its taxable REIT subsidiary, the company also operates six sawmills, an industrial-grade plywood mill, a residential and commercial real estate development business and a rural timberland sales program. PotlatchDeltic, a leader in sustainable forest practices, is committed to environmental and social responsibility and to responsible governance. More information can be found at www.potlatchdeltic.com.

Contact:

Wayne Wasechek – Investor Relations – (509) 835-1521

Source: PotlatchDeltic Corporation