Weyerhaeuser Company (WY) CEO Devin Stockfish on Q1 2022 Results - Earnings Call Transcript

Weyerhaeuser Company (NYSE:WY) Q1 2022 Earnings Conference Call April 29, 2022 10:00 AM ET

Company Participants

Andy Taylor - Director of Investor Relations

Devin Stockfish - Chief Executive Officer

Nancy Loewe - Chief Financial Officer

Conference Call Participants

Susan Maklari - Goldman Sachs

George Staphos - Bank of America

Mark Weintraub - Seaport Research

Paul Quinn - RBC Capital Markets

Mark Wilde - Bank of Montreal

Anthony Pettinari - Citi

Operator

Welcome to the Weyerhaeuser First Quarter 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker’s remarks, there will be a question-and-answer session. [Operator Instructions] As a reminder, this conference is being recorded.

It is now my pleasure to introduce Andy Taylor, Director of Investor Relations. Thank you, Mr. Taylor. You may begin.

Andy Taylor

Thank you, Rob. Good morning, everyone. Thank you for joining us today to discuss Weyerhaeuser's first quarter 2022 earnings. This call is being webcast at www.weyerhaeuser.com. Our earnings release and presentation materials can also be found on our website. Please review the warning statements in our press release and on the presentation slides concerning the risks associated with forward-looking statements as forward-looking statements will be made during this conference call. We will discuss non-GAAP financial measures, and a reconciliation to GAAP can be found in the earnings materials on our website.

On the call this morning are Devin Stockfish, Chief Executive Officer; and Nancy Loewe, Chief Financial Officer.

I will now turn the call over to Devin Stockfish.

Devin Stockfish

Thanks, Andy. Good morning, everyone, and thank you for joining us today. This morning, Weyerhaeuser reported first quarter GAAP earnings of $771 million or $1.03 per diluted share on net sales of $3.1 billion. Excluding special items relating to our debt refinancing actions, we earned $978 million or $1.31 per diluted share.

Our employees once again delivered phenomenal operational and financial results in the quarter, notwithstanding, persistent supply chain, transportation and pandemic related disruptions. Their collective efforts helped the company achieve its strongest first quarter adjusted EBITDA on record at $1.5 billion. This represents a 122% increase over the fourth quarter of 2021.

Turning now to our first quarter business results. I'll begin the discussion with Timberlands on pages six through nine of our earnings slides. Timberlands contributed $182 million to first quarter earnings. Adjusted EBITDA increased by $71 million, compared to the fourth quarter. In the West, adjusted EBITDA increased by 77%, compared to the fourth quarter.