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Rayonier (RYN) Q4 Earnings Meet Estimates on Revenue Growth

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Rayonier Inc. (RYN - Free Report) came up with fourth-quarter 2021 pro forma net income per share of 1 cent, in line with the Zacks Consensus Estimate. The figure compares unfavorably with the prior-year quarter’s 8 cents per share.

Shares of Rayonier rose 2.1%, during the Thursday session following the company’s earnings release on Wednesday after market close.

Results reflect a year-over-year increase in the top line. Revenues surged 27.5% year over year to $262 million.

For 2021, RYN reported pro forma net income per share of 67 cents, significantly up from 25 cents in the prior year. The figure also outpaced the Zacks Consensus Estimate of 58 cents. Revenues of 1.1 billion improved 29.1% year over year from $859.2 million.

According to David Nunes, president and CEO of Rayonier, “We concluded the year with solid operational results and are very pleased with our overall full-year 2021 financial performance.”

Segmental Performance

In the fourth quarter, the pro-forma operating income at the company’s Southern Timber segment came in at $66.1 million, up from the prior-year quarter’s $47.3 million.

The Pacific Northwest Timber segment reported pro-forma operating income of $6.8 million against the operating loss of $10 million posted in fourth-quarter 2020.

The New Zealand Timber segment recorded pro-forma operating income of $51.5 million, up from the year-earlier quarter’s $30 million.

The Timber Funds segment reported pro-forma operating loss of $0.1 million in the fourth quarter against the prior-year quarter’s income of $0.2 million.

Real Estate’s pro-forma operating income was $67.8 million, up from the year-ago period’s $43.3 million.

The Trading segment reported 0.1 pro-forma operating income in the fourth quarter compared to the prior-year quarter loss of $0.5 million.

Rayonier exited fourth-quarter 2021 with $358.7 million in cash and cash equivalents (excluding Timber Funds), up from the $80.5 million recorded as of Dec 31, 2020. The total long-term debt was $1.2 billion, down from $1.3 billion as of Dec 31, 2020.

Outlook

Management projects 2022 earnings per share of 57-64 cents, and adjusted EBITDA of $310-$340 million. The Zacks Consensus Estimate for 2021 earnings per share is currently pinned at 58 cents.

Currently, Rayonier carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Rayonier Inc. Price, Consensus and EPS Surprise

Rayonier Inc. Price, Consensus and EPS Surprise

Rayonier Inc. price-consensus-eps-surprise-chart | Rayonier Inc. Quote

We now look forward to the earnings releases of other REITs, including Outfront Media Inc. (OUT - Free Report) scheduled to be out on Feb 10, Welltower Inc. (WELL - Free Report) scheduled to be out on Feb 15 and Federal Realty Investment Trust (FRT - Free Report) , scheduled to be out on Feb 23.

Note: Anything related to earnings presented in this write-up represent funds from operations (FFO) — a widely used metric to gauge the performance of REITs.