PotlatchDeltic Corporation (Nasdaq:PCH) today reported net income of $100.0 million, or $1.48 per diluted share, on revenues of $337.4 million for the quarter ended December 31, 2020. Net income was $11.4 million, or $0.17 per diluted share, on revenues of $203.5 million for the quarter ended December 31, 2019.
Net income for the full year 2020 was $166.8 million, or $2.47 per diluted share, on revenues of $1.0 billion. Excluding an after-tax pension settlement charge, adjusted net income was $198.6 million, or $2.94 per diluted share for 2020. Net income for the full year 2019 was $55.7 million, or $0.82 per diluted share, on revenues of $827.1 million. Excluding after-tax special items consisting of a gain on the sale of legacy Deltic MDF facility and loss on the extinguishment of debt, adjusted net income was $54.4 million, or $0.80 per diluted share for 2019.
2020 Highlights
- Generated record Total Adjusted EBITDDA of $382.2 million and Total Adjusted EBITDDA margin of 37%
- Timberlands, Wood Products and Real Estate all had record years
- Returned $123 million to shareholders through dividends and share repurchases
- Sold 72,440 acres in Minnesota to The Conservation Fund for nearly $48 million
- Refinanced $46 million in debt during 2020 and locked in historically low rates on $608 million of future refinances
- Expanded strong liquidity position to $631 million as of December 31, 2020
“2020 was a phenomenal year with all three of our businesses achieving record financial performance,” said Eric Cremers, president and chief executive officer. “Our employees’ strong resolve and focus on operating safely allowed us to take advantage of strong demand and historic lumber prices. In addition, our Real Estate team completed a large land sale to The Conservation Fund for nearly $48 million. We are well positioned to continue to execute our disciplined capital allocation strategy and maximize shareholder value given our strong liquidity position,” stated Mr. Cremers.
Financial Highlights
|
(in millions, except per share data - unaudited)
|
Q4 2020
|
|
Q3 2020
|
|
Q4 2019
|
|
Revenues
|
$
|
337.4
|
|
$
|
313.0
|
|
$
|
203.5
|
|
Net income
|
$
|
100.0
|
|
$
|
81.0
|
|
$
|
11.4
|
|
Weighted average shares outstanding, diluted (in thousands)
|
|
67,607
|
|
|
67,528
|
|
|
67,695
|
|
Net income per diluted share
|
$
|
1.48
|
|
$
|
1.20
|
|
$
|
0.17
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDDA
|
$
|
163.9
|
|
$
|
135.4
|
|
$
|
46.6
|
|
Distributions per share
|
$
|
0.41
|
|
$
|
0.40
|
|
$
|
0.40
|
|
Net cash from operations
|
$
|
144.4
|
|
$
|
102.9
|
|
$
|
33.6
|
|
Cash and cash equivalents
|
$
|
252.3
|
|
$
|
148.9
|
|
$
|
83.3
|
Business Performance: Q4 2020 vs. Q3 2020
Timberlands
Fourth Quarter 2020 Highlights
- Timberlands Adjusted EBITDDA increased $2.8 million from Q3 2020 levels
- Northern harvest volumes were seasonally lower
- Northern sawlog prices increased 37% due primarily to higher prices on lumber-indexed volume
- Log & haul costs reflect lower Northern harvest volume and seasonally lower rates
|
|
|
|
|
|
|
|
|
|
|
(in millions - unaudited)
|
|
Q4 2020
|
|
|
Q3 2020
|
|
|
$ Change
|
|
|
Segment Revenues
|
|
$
|
109.8
|
|
|
$
|
117.0
|
|
|
$
|
(7.2
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDDA
|
|
$
|
62.5
|
|
|
$
|
59.7
|
|
|
$
|
2.8
|
|
Wood Products
Fourth Quarter 2020 Highlights
- Wood Products Adjusted EBITDDA decreased $11.4 million from Q3 2020 levels
- Average lumber price realizations declined 1% to $629 per MBF in Q4 2020
- Log costs increased due to higher index pricing in Idaho
- Lumber production decreased in Q4 2020 leading to lower fixed cost absorption
|
(in millions - unaudited)
|
|
Q4 2020
|
|
|
Q3 2020
|
|
|
$ Change
|
|
|
Segment Revenues
|
|
$
|
208.9
|
|
|
$
|
218.3
|
|
|
$
|
(9.4
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDDA
|
|
$
|
70.3
|
|
|
$
|
81.7
|
|
|
$
|
(11.4
|
)
|
Real Estate
Fourth Quarter 2020 Highlights
- Real Estate Adjusted EBITDDA increased $43.1 million from Q3 2020 levels
- Sold 73,573 acres of rural land for $700/acre, including sale of 72,440 acres to The Conservation Fund for nearly $48 million
- Sold 72 residential lots at an average $80,000/lot in Q4 2020
- Sold 4 commercial acres for $818,000/acre
|
(in millions - unaudited)
|
|
Q4 2020
|
|
|
Q3 2020
|
|
|
$ Change
|
|
|
Segment Revenues
|
|
$
|
62.2
|
|
|
$
|
18.2
|
|
|
$
|
44.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDDA
|
|
$
|
56.5
|
|
|
$
|
13.4
|
|
|
$
|
43.1
|
|
Outlook
“We expect housing fundamentals and lumber demand to remain strong in 2021. While lumber prices will likely moderate this year, we expect lumber prices to remain higher than long-term averages. This is particularly important to PotlatchDeltic given our leverage to lumber prices. We continue to keep an eye on the pandemic and its potential impact on the economy and our business. During 2021, we expect to harvest approximately 6 million tons in our Timberlands segment, ship around 1.1 billion board feet of lumber, and sell about 20,000 acres and 145 residential lots in our Real Estate segment,” stated Mr. Cremers.
Non-GAAP Measures
This press release includes certain non-GAAP financial measures, which management believes are useful to investors, securities analysts and other interested parties. These non-GAAP financial measures should be considered only as supplemental to, and not as superior to, financial measures prepared in accordance with GAAP.
Management uses Adjusted EBITDDA to evaluate the performance of the company. This is a non-GAAP measure that represents EBITDDA before certain items that impact comparison of the performance of our business either period-over-period or with other businesses.
Adjusted Net Income and Adjusted Net Income Per Diluted Share are non-GAAP measures that represent GAAP net income and GAAP net earnings per diluted share before certain items that impact the ability of investors, securities analysts and other interested parties to compare the performance of our business, either period-over-period or with other businesses.
Reconciliations to GAAP are set forth in the accompanying schedules.
Conference Call Information
A live conference call and webcast will be held Tuesday, February 2, 2021, at 9:00 a.m. Pacific Time (12:00 p.m. Eastern Time). Investors may access the webcast at www.potlatchdeltic.com by clicking on the Investors link or by conference call at 1-833-968-2227 for U.S./Canada and 1-778-560-2697 for international callers. Participants will be asked to provide conference I.D. number 7785927. Supplemental materials that will be discussed during the call are available on the website.
A replay of the conference call will be available three hours following the call until February 9, 2021 by calling 1-800-585-8367 for U.S./Canada or 1-416-621-4642 for international callers. Callers must enter conference I.D. number 7785927 to access the replay.
About PotlatchDeltic
PotlatchDeltic (NASDAQ:PCH) is a leading Real Estate Investment Trust (REIT) that owns approximately 1.8 million acres of timberlands in Alabama, Arkansas, Idaho, Louisiana, Minnesota and Mississippi. 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 management, is committed to environmental and social responsibility and to responsible governance. More information can be found at www.potlatchdeltic.com .
Forward-Looking Statements
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 as amended, including without limitation, our expectations regarding the company’s current and expected liquidity; the effects of COVID-19 on demand for our products and on our ability to continue operations; the success of the company’s business strategies; the company’s intent to refinance debt maturing in the future; the company’s capital allocation strategies, including share repurchases and dividend expectations; maintaining the company’s investment grade credit rating; favorable capital structure and strong balance sheet; interest rates and expenses; corporate expenses; pension expenses; taxes; 2021 outlook; the housing market and repair and remodel market; housing starts; lumber supply, demand and pricing; revenues, costs and expenses; lumber shipment volumes; expected sawlog demand and timber harvest volumes; sawlog mix and pricing; rural real estate and development real estate sales; land basis and average price per acre and developed lot; planned capital expenditures and anticipated internal rate of return; number of seedlings planted; amount of CO2e sequestered; expected release of 2020 ESG Report; business conditions; and similar matters. Words such as “anticipate,” “expect,” “will,” “intend,” “plan,” “target,” “project,” “believe,” “seek,” “schedule,” “estimate,” “could,” “can,” “may,” and similar expressions are intended to identify such forward-looking statements. You should carefully read forward-looking statements, including statements that contain these words, because they discuss the future expectations or state other “forward-looking” information about PotlatchDeltic. A number of important factors could cause actual results or events to differ materially from those indicated by such forward-looking statements, many of which are beyond PotlatchDeltic’s control, including impact of the COVID-19 outbreak on our business, suppliers, customers and employees; changes in the U.S. housing market; changes in timberland values; changes in timber harvest levels on the company's lands; changes in timber prices; changes in policy regarding governmental timber sales; availability of logging contractors and shipping capacity; changes in the United States and international economies and effects on our customers and suppliers; changes in interest rates; credit availability and homebuyers’ ability to qualify for mortgages; availability of labor and developable land; changes in the level of construction and remodeling activity; changes in foreign demand; changes in tariffs, quotas and trade agreements involving wood products; currency fluctuation; changes in demand for our products and real estate; changes in production and production capacity in the forest products industry; competitive pricing pressures for our products; unanticipated manufacturing disruptions; disruptions or inefficiencies in our supply chain and/or operations; changes in general and industry-specific environmental laws and regulations; unforeseen environmental liabilities or expenditures; weather conditions; fires and other catastrophic events; restrictions on harvesting due to fire danger; changes in raw material, fuel and other costs; transportation disruptions; share price; the successful execution of the company’s strategic plans; the company’s ability to meet expectations; and the other factors described in PotlatchDeltic’s Annual Report on Form 10-K and in the company’s other filings with the SEC. PotlatchDeltic assumes no obligation to update the information in this communication, except as otherwise required by law. Readers are cautioned not to place undue reliance on these forward-looking statements, all of which speak only as of the date hereof.
|
PotlatchDeltic Corporation
Condensed Consolidated Statements of Operations
Unaudited
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
Year Ended
|
|
|
|
December 31,
|
|
|
September 30,
|
|
|
December 31,
|
|
|
December 31,
|
|
|
(in thousands, except per share amounts)
|
2020
|
|
|
2020
|
|
|
2019
|
|
|
2020
|
|
|
2019
|
|
|
Revenues
|
$
|
337,449
|
|
|
$
|
313,046
|
|
|
$
|
203,499
|
|
|
$
|
1,040,930
|
|
|
$
|
827,098
|
|
|
Costs and expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of goods sold
|
|
183,860
|
|
|
|
182,039
|
|
|
|
169,544
|
|
|
|
687,781
|
|
|
|
682,066
|
|
|
Selling, general and administrative expenses
|
|
20,455
|
|
|
|
21,046
|
|
|
|
13,931
|
|
|
|
72,519
|
|
|
|
57,925
|
|
|
Gain on sale of facility
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(9,176
|
)
|
|
|
|
204,315
|
|
|
|
203,085
|
|
|
|
183,475
|
|
|
|
760,300
|
|
|
|
730,815
|
|
|
Operating income
|
|
133,134
|
|
|
|
109,961
|
|
|
|
20,024
|
|
|
|
280,630
|
|
|
|
96,283
|
|
|
Interest expense, net
|
|
(8,869
|
)
|
|
|
(8,557
|
)
|
|
|
(8,540
|
)
|
|
|
(29,463
|
)
|
|
|
(30,361
|
)
|
|
Loss on extinguishment of debt
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(5,512
|
)
|
|
Pension settlement charge
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(42,988
|
)
|
|
|
—
|
|
|
Non-operating pension and other postretirement costs
|
|
(3,556
|
)
|
|
|
(3,557
|
)
|
|
|
(935
|
)
|
|
|
(14,226
|
)
|
|
|
(3,739
|
)
|
|
Income before income taxes
|
|
120,709
|
|
|
|
97,847
|
|
|
|
10,549
|
|
|
|
193,953
|
|
|
|
56,671
|
|
|
Income taxes
|
|
(20,692
|
)
|
|
|
(16,840
|
)
|
|
|
850
|
|
|
|
(27,123
|
)
|
|
|
(1,010
|
)
|
|
Net income
|
$
|
100,017
|
|
|
$
|
81,007
|
|
|
$
|
11,399
|
|
|
$
|
166,830
|
|
|
$
|
55,661
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
$
|
1.49
|
|
|
$
|
1.21
|
|
|
$
|
0.17
|
|
|
$
|
2.48
|
|
|
$
|
0.82
|
|
|
Diluted
|
$
|
1.48
|
|
|
$
|
1.20
|
|
|
$
|
0.17
|
|
|
$
|
2.47
|
|
|
$
|
0.82
|
|
|
Dividends per share
|
$
|
0.41
|
|
|
$
|
0.40
|
|
|
$
|
0.40
|
|
|
$
|
1.61
|
|
|
$
|
1.60
|
|
|
Weighted-average shares outstanding (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
67,159
|
|
|
|
67,149
|
|
|
|
67,476
|
|
|
|
67,237
|
|
|
|
67,608
|
|
|
Diluted
|
|
67,607
|
|
|
|
67,528
|
|
|
|
67,695
|
|
|
|
67,568
|
|
|
|
67,743
|
|
|
|
|
|
|
PotlatchDeltic Corporation
Condensed Consolidated Balance Sheets
Unaudited
|
|
|
|
At December 31,
|
|
|
(in thousands, except per share amounts)
|
|
2020
|
|
|
2019
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
252,340
|
|
|
$
|
83,310
|
|
|
Customer receivables, net
|
|
|
26,606
|
|
|
|
14,167
|
|
|
Inventories, net
|
|
|
62,036
|
|
|
|
65,781
|
|
|
Other current assets
|
|
|
16,136
|
|
|
|
20,183
|
|
|
Total current assets
|
|
|
357,118
|
|
|
|
183,441
|
|
|
Property, plant and equipment, net
|
|
|
288,544
|
|
|
|
286,383
|
|
|
Investment in real estate held for development and sale
|
|
|
72,355
|
|
|
|
74,233
|
|
|
Timber and timberlands, net
|
|
|
1,600,061
|
|
|
|
1,638,663
|
|
|
Intangible assets, net
|
|
|
16,270
|
|
|
|
17,049
|
|
|
Other long-term assets
|
|
|
46,717
|
|
|
|
35,290
|
|
|
Total assets
|
|
$
|
2,381,065
|
|
|
$
|
2,235,059
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
|
|
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
|
|
|
|
Accounts payable and accrued liabilities
|
|
$
|
93,279
|
|
|
$
|
60,577
|
|
|
Current portion of long-term debt
|
|
|
39,981
|
|
|
|
45,974
|
|
|
Current portion of pension and other postretirement employee benefits
|
|
|
6,574
|
|
|
|
6,701
|
|
|
Total current liabilities
|
|
|
139,834
|
|
|
|
113,252
|
|
|
Long-term debt
|
|
|
717,366
|
|
|
|
710,495
|
|
|
Pension and other postretirement employee benefits
|
|
|
128,807
|
|
|
|
115,463
|
|
|
Deferred tax liabilities, net
|
|
|
17,740
|
|
|
|
20,165
|
|
|
Other long-term obligations
|
|
|
72,365
|
|
|
|
48,853
|
|
|
Total liabilities
|
|
|
1,076,112
|
|
|
|
1,008,228
|
|
|
Commitments and contingencies
|
|
|
|
|
|
|
|
|
|
Stockholders’ equity:
|
|
|
|
|
|
|
|
|
|
Common stock, $1 par value
|
|
|
66,876
|
|
|
|
67,221
|
|
|
Additional paid-in capital
|
|
|
1,674,576
|
|
|
|
1,666,299
|
|
|
Accumulated deficit
|
|
|
(315,510
|
)
|
|
|
(359,330
|
)
|
|
Accumulated other comprehensive loss
|
|
|
(120,989
|
)
|
|
|
(147,359
|
)
|
|
Total stockholders’ equity
|
|
|
1,304,953
|
|
|
|
1,226,831
|
|
|
Total liabilities and stockholders' equity
|
|
$
|
2,381,065
|
|
|
$
|
2,235,059
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PotlatchDeltic Corporation
Condensed Consolidated Statements of Cash Flows
Unaudited
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
Year Ended
|
|
|
(in thousands)
|
|
December 31,
2020
|
|
|
September 30,
2020
|
|
|
December 31,
2019
|
|
|
December 31,
2020
|
|
|
December 31,
2019
|
|
|
CASH FLOWS FROM OPERATING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
100,017
|
|
|
$
|
81,007
|
|
|
$
|
11,399
|
|
|
$
|
166,830
|
|
|
$
|
55,661
|
|
|
Adjustments to reconcile net income to net cash from operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion and amortization
|
|
|
20,076
|
|
|
|
20,594
|
|
|
|
19,516
|
|
|
|
77,885
|
|
|
|
72,105
|
|
|
Basis of real estate sold
|
|
|
10,908
|
|
|
|
5,249
|
|
|
|
6,343
|
|
|
|
25,348
|
|
|
|
20,554
|
|
|
Gain on sale of facility
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(9,176
|
)
|
|
Loss on extinguishment of debt
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
5,512
|
|
|
Change in deferred taxes
|
|
|
(223
|
)
|
|
|
(538
|
)
|
|
|
5,898
|
|
|
|
(14,610
|
)
|
|
|
(11,045
|
)
|
|
Employee benefit plans
|
|
|
5,916
|
|
|
|
5,917
|
|
|
|
2,970
|
|
|
|
23,666
|
|
|
|
11,877
|
|
|
Pension settlement charge
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
42,988
|
|
|
|
—
|
|
|
Equity-based compensation expense
|
|
|
2,135
|
|
|
|
2,063
|
|
|
|
1,910
|
|
|
|
8,063
|
|
|
|
7,272
|
|
|
Other, net
|
|
|
(725
|
)
|
|
|
(367
|
)
|
|
|
368
|
|
|
|
(1,269
|
)
|
|
|
(2,324
|
)
|
|
Change in:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Receivables, net
|
|
|
23,478
|
|
|
|
(25,496
|
)
|
|
|
13,047
|
|
|
|
(12,439
|
)
|
|
|
7,238
|
|
|
Inventories, net
|
|
|
(3,464
|
)
|
|
|
(6,357
|
)
|
|
|
(11,579
|
)
|
|
|
3,745
|
|
|
|
(3,519
|
)
|
|
Other assets
|
|
|
6,315
|
|
|
|
711
|
|
|
|
5,648
|
|
|
|
4,591
|
|
|
|
5,305
|
|
|
Accounts payable and accrued liabilities
|
|
|
(18,920
|
)
|
|
|
29,127
|
|
|
|
(20,231
|
)
|
|
|
25,848
|
|
|
|
(11,415
|
)
|
|
Other liabilities
|
|
|
2,957
|
|
|
|
(1,676
|
)
|
|
|
934
|
|
|
|
1,327
|
|
|
|
3,955
|
|
|
Real estate development expenditures
|
|
|
(2,506
|
)
|
|
|
(1,713
|
)
|
|
|
(1,516
|
)
|
|
|
(6,706
|
)
|
|
|
(7,254
|
)
|
|
Funding of pension and other postretirement employee benefits
|
|
|
(1,546
|
)
|
|
|
(5,619
|
)
|
|
|
(1,066
|
)
|
|
|
(10,004
|
)
|
|
|
(5,678
|
)
|
|
Net cash provided by operating activities
|
|
|
144,418
|
|
|
|
102,902
|
|
|
|
33,641
|
|
|
|
335,263
|
|
|
|
139,068
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM INVESTING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchase of property, plant and equipment
|
|
|
(8,027
|
)
|
|
|
(4,371
|
)
|
|
|
(13,557
|
)
|
|
|
(22,693
|
)
|
|
|
(39,153
|
)
|
|
Timberlands reforestation and roads
|
|
|
(3,889
|
)
|
|
|
(4,569
|
)
|
|
|
(4,426
|
)
|
|
|
(16,234
|
)
|
|
|
(17,695
|
)
|
|
Acquisition of timber and timberlands
|
|
|
(2,120
|
)
|
|
|
(8
|
)
|
|
|
(348
|
)
|
|
|
(6,858
|
)
|
|
|
(626
|
)
|
|
Proceeds on sale of facility
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,000
|
|
|
|
58,793
|
|
|
Transfer from company owned life insurance (COLI)
|
|
|
575
|
|
|
|
895
|
|
|
|
977
|
|
|
|
5,616
|
|
|
|
1,968
|
|
|
Transfer to COLI
|
|
|
(448
|
)
|
|
|
(540
|
)
|
|
|
(569
|
)
|
|
|
(3,341
|
)
|
|
|
(1,148
|
)
|
|
Other, net
|
|
|
(19
|
)
|
|
|
16
|
|
|
|
253
|
|
|
|
318
|
|
|
|
2,378
|
|
|
Net cash (used in) provided by investing activities
|
|
|
(13,928
|
)
|
|
|
(8,577
|
)
|
|
|
(17,670
|
)
|
|
|
(42,192
|
)
|
|
|
4,517
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM FINANCING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Distributions to common stockholders
|
|
|
(27,419
|
)
|
|
|
(26,749
|
)
|
|
|
(26,888
|
)
|
|
|
(107,853
|
)
|
|
|
(107,722
|
)
|
|
Repurchase of common stock
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(15,364
|
)
|
|
|
(25,173
|
)
|
|
Proceeds from long-term debt
|
|
|
46,000
|
|
|
|
—
|
|
|
|
40,000
|
|
|
|
46,000
|
|
|
|
190,000
|
|
|
Repayment of long-term debt
|
|
|
(46,000
|
)
|
|
|
—
|
|
|
|
(40,000
|
)
|
|
|
(46,000
|
)
|
|
|
(190,000
|
)
|
|
Premiums and fees on debt retirement
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(4,865
|
)
|
|
Other, net
|
|
|
(735
|
)
|
|
|
(506
|
)
|
|
|
(619
|
)
|
|
|
(1,768
|
)
|
|
|
(1,012
|
)
|
|
Net cash used in financing activities
|
|
|
(28,154
|
)
|
|
|
(27,255
|
)
|
|
|
(27,507
|
)
|
|
|
(124,985
|
)
|
|
|
(138,772
|
)
|
|
Change in cash, cash equivalents and restricted cash
|
|
|
102,336
|
|
|
|
67,070
|
|
|
|
(11,536
|
)
|
|
|
168,086
|
|
|
|
4,813
|
|
|
Cash, cash equivalents and restricted cash at beginning of period
|
|
|
150,004
|
|
|
|
82,934
|
|
|
|
95,790
|
|
|
|
84,254
|
|
|
|
79,441
|
|
|
Cash, cash equivalents and restricted cash at end of period
|
|
$
|
252,340
|
|
|
$
|
150,004
|
|
|
$
|
84,254
|
|
|
$
|
252,340
|
|
|
$
|
84,254
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PotlatchDeltic Corporation
Segment Information
Unaudited
|
|
|
|
|
|
|
|
|
|
|
Three months ended
|
|
|
Year Ended
|
|
|
|
|
December 31,
|
|
|
September 30,
|
|
|
December 31,
|
|
|
December 31,
|
|
|
(in thousands)
|
|
2020
|
|
|
2020
|
|
|
2019
|
|
|
2020
|
|
|
2019
|
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Timberlands
|
|
$
|
109,764
|
|
|
$
|
116,985
|
|
|
$
|
88,845
|
|
|
$
|
376,519
|
|
|
$
|
322,693
|
|
|
Wood Products
|
|
|
208,898
|
|
|
|
218,291
|
|
|
|
126,429
|
|
|
|
698,405
|
|
|
|
540,408
|
|
|
Real Estate
|
|
|
62,191
|
|
|
|
18,151
|
|
|
|
17,413
|
|
|
|
104,416
|
|
|
|
78,872
|
|
|
|
|
|
380,853
|
|
|
|
353,427
|
|
|
|
232,687
|
|
|
|
1,179,340
|
|
|
|
941,973
|
|
|
Intersegment Timberlands revenues
|
|
|
(43,404
|
)
|
|
|
(40,381
|
)
|
|
|
(29,188
|
)
|
|
|
(138,410
|
)
|
|
|
(114,875
|
)
|
|
Consolidated revenues
|
|
$
|
337,449
|
|
|
$
|
313,046
|
|
|
$
|
203,499
|
|
|
$
|
1,040,930
|
|
|
$
|
827,098
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDDA 1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Timberlands
|
|
$
|
62,512
|
|
|
$
|
59,649
|
|
|
$
|
38,010
|
|
|
$
|
182,802
|
|
|
$
|
133,987
|
|
|
Wood Products
|
|
|
70,315
|
|
|
|
81,644
|
|
|
|
1,843
|
|
|
|
176,095
|
|
|
|
12,901
|
|
|
Real Estate
|
|
|
56,414
|
|
|
|
13,466
|
|
|
|
13,953
|
|
|
|
86,476
|
|
|
|
62,650
|
|
|
Corporate
|
|
|
(13,884
|
)
|
|
|
(15,361
|
)
|
|
|
(9,327
|
)
|
|
|
(48,451
|
)
|
|
|
(36,257
|
)
|
|
Eliminations and adjustments
|
|
|
(11,459
|
)
|
|
|
(4,012
|
)
|
|
|
2,120
|
|
|
|
(14,694
|
)
|
|
|
5,662
|
|
|
Total Adjusted EBITDDA
|
|
|
163,898
|
|
|
|
135,386
|
|
|
|
46,599
|
|
|
|
382,228
|
|
|
|
178,943
|
|
|
Interest expense, net
|
|
|
(8,869
|
)
|
|
|
(8,557
|
)
|
|
|
(8,540
|
)
|
|
|
(29,463
|
)
|
|
|
(30,361
|
)
|
|
Depreciation, depletion and amortization
|
|
|
(19,671
|
)
|
|
|
(20,187
|
)
|
|
|
(19,107
|
)
|
|
|
(76,261
|
)
|
|
|
(70,417
|
)
|
|
Basis of real estate sold
|
|
|
(10,908
|
)
|
|
|
(5,249
|
)
|
|
|
(6,343
|
)
|
|
|
(25,348
|
)
|
|
|
(20,554
|
)
|
|
Loss on extinguishment of debt
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(5,512
|
)
|
|
Pension settlement charge
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(42,988
|
)
|
|
|
—
|
|
|
Non-operating pension and other postretirement employee benefits
|
|
|
(3,556
|
)
|
|
|
(3,557
|
)
|
|
|
(935
|
)
|
|
|
(14,226
|
)
|
|
|
(3,739
|
)
|
|
(Loss) gain on fixed assets
|
|
|
(185
|
)
|
|
|
11
|
|
|
|
(1,125
|
)
|
|
|
11
|
|
|
|
(865
|
)
|
|
Gain on sale of facility
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
9,176
|
|
|
Income (loss) before income taxes
|
|
$
|
120,709
|
|
|
$
|
97,847
|
|
|
$
|
10,549
|
|
|
$
|
193,953
|
|
|
$
|
56,671
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation, depletion and amortization
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Timberlands
|
|
$
|
13,069
|
|
|
$
|
13,821
|
|
|
$
|
13,240
|
|
|
$
|
51,047
|
|
|
$
|
46,601
|
|
|
Wood Products
|
|
|
6,200
|
|
|
|
5,983
|
|
|
|
5,393
|
|
|
|
23,611
|
|
|
|
22,059
|
|
|
Real Estate
|
|
|
155
|
|
|
|
149
|
|
|
|
170
|
|
|
|
620
|
|
|
|
678
|
|
|
Corporate
|
|
|
247
|
|
|
|
234
|
|
|
|
304
|
|
|
|
983
|
|
|
|
1,079
|
|
|
|
|
|
19,671
|
|
|
|
20,187
|
|
|
|
19,107
|
|
|
|
76,261
|
|
|
|
70,417
|
|
|
Bond discounts and deferred loan fees 2
|
|
|
405
|
|
|
|
407
|
|
|
|
409
|
|
|
|
1,624
|
|
|
|
1,688
|
|
|
Total depreciation, depletion and amortization
|
|
$
|
20,076
|
|
|
$
|
20,594
|
|
|
$
|
19,516
|
|
|
$
|
77,885
|
|
|
$
|
72,105
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basis of real estate sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Real Estate
|
|
$
|
11,017
|
|
|
$
|
5,257
|
|
|
$
|
6,423
|
|
|
$
|
25,990
|
|
|
$
|
20,749
|
|
|
Eliminations and adjustments
|
|
|
(109
|
)
|
|
|
(8
|
)
|
|
|
(80
|
)
|
|
|
(642
|
)
|
|
|
(195
|
)
|
|
Total basis of real estate sold
|
|
$
|
10,908
|
|
|
$
|
5,249
|
|
|
$
|
6,343
|
|
|
$
|
25,348
|
|
|
$
|
20,554
|
|
|
1 Management uses Adjusted EBITDDA to evaluate company and segment performance. See the reconciliation of Total Adjusted EBITDDA on page 9, Reconciliations .
|
|
2 Bond discounts and deferred loan fees are included in interest expense, net in the Condensed Consolidated Statements of Operations .
|
|
|
|
|
|
|
|
|
PotlatchDeltic Corporation
Reconciliations
Unaudited
|
|
|
|
|
|
|
|
|
|
|
Three months ended
|
|
|
Year ended
|
|
|
|
|
December 31,
|
|
|
September 30,
|
|
|
December 31,
|
|
|
December 31,
|
|
|
(in thousands, except per share amounts)
|
|
2020
|
|
|
2020
|
|
|
2019
|
|
|
2020
|
|
|
2019
|
|
|
Adjusted EBITDDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (GAAP)
|
|
$
|
100,017
|
|
|
$
|
81,007
|
|
|
$
|
11,399
|
|
|
$
|
166,830
|
|
|
$
|
55,661
|
|
|
Interest, net
|
|
|
8,869
|
|
|
|
8,557
|
|
|
|
8,540
|
|
|
|
29,463
|
|
|
|
30,361
|
|
|
Income taxes
|
|
|
20,692
|
|
|
|
16,840
|
|
|
|
(850
|
)
|
|
|
27,123
|
|
|
|
1,010
|
|
|
Depreciation, depletion and amortization
|
|
|
19,671
|
|
|
|
20,187
|
|
|
|
19,107
|
|
|
|
76,261
|
|
|
|
70,417
|
|
|
Basis of real estate sold
|
|
|
10,908
|
|
|
|
5,249
|
|
|
|
6,343
|
|
|
|
25,348
|
|
|
|
20,554
|
|
|
Loss on extinguishment of debt
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
5,512
|
|
|
Pension settlement charge
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
42,988
|
|
|
|
—
|
|
|
Non-operating pension and other postretirement benefit costs
|
|
|
3,556
|
|
|
|
3,557
|
|
|
|
935
|
|
|
|
14,226
|
|
|
|
3,739
|
|
|
Gain on sale of facility
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(9,176
|
)
|
|
Loss (gain) on fixed assets
|
|
|
185
|
|
|
|
(11
|
)
|
|
|
1,125
|
|
|
|
(11
|
)
|
|
|
865
|
|
|
Adjusted EBITDDA
|
|
$
|
163,898
|
|
|
$
|
135,386
|
|
|
$
|
46,599
|
|
|
$
|
382,228
|
|
|
$
|
178,943
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted net income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (GAAP)
|
|
$
|
100,017
|
|
|
$
|
81,007
|
|
|
$
|
11,399
|
|
|
$
|
166,830
|
|
|
$
|
55,661
|
|
|
Special items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss on extinguishment of debt
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
5,512
|
|
|
Pension settlement charge, after tax
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
31,811
|
|
|
|
|
|
|
Gain on sale of facility, after tax
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(6,790
|
)
|
|
Adjusted net income
|
|
$
|
100,017
|
|
|
$
|
81,007
|
|
|
$
|
11,399
|
|
|
$
|
198,641
|
|
|
$
|
54,383
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted net income per diluted share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per diluted share (GAAP)
|
|
$
|
1.48
|
|
|
$
|
1.20
|
|
|
$
|
0.17
|
|
|
$
|
2.47
|
|
|
$
|
0.82
|
|
|
Special items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss on extinguishment of debt
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
0.08
|
|
|
Pension settlement charge, after tax
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
0.47
|
|
|
|
—
|
|
|
Gain on sale of facility, after tax
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(0.10
|
)
|
|
Adjusted net income per diluted share
|
|
$
|
1.48
|
|
|
$
|
1.20
|
|
|
$
|
0.17
|
|
|
$
|
2.94
|
|
|
$
|
0.80
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20210201005916/en/
(Investors)
Jerry Richards
509.835.1521
(Media)
Anna Torma
509.835.1558