Weyerhaeuser (WY) Q1 2026 earnings summary

Executive summary

• Q1 2026 net earnings were $156 million ($0.22 per diluted share), up from $83 million in Q1 2025 and $74 million in Q4 2025, driven by timberland sales, insurance recoveries, and segment gains.

• Adjusted EBITDA reached $308 million, up 120% sequentially from Q4 2025, but slightly below $328 million in Q1 2025.

• Major transactions included the $192 million Virginia timberlands divestiture, $22 million from British Columbia timber licenses, and a $94 million conservation easement in Florida.

• Strategic Land Solutions segment was restructured to include Real Estate, Natural Resources, and Climate Solutions.

• Expanded distribution network with new locations and previewed new engineered wood products.

Financial highlights

• Net sales for Q1 2026 were $1.73 billion, down 2% year-over-year, but up sequentially from Q4 2025.

• Adjusted EBITDA margin improved to approximately 17.9%.

• Gross margin was $318 million, nearly double Q4 2025 but down from $335 million year-over-year.

• Cash from operations was $52 million, typically the lowest quarter due to seasonal inventory build.

• Dividends paid totaled $151 million; share repurchases were $10 million.

Outlook and guidance

• Q2 2026 Adjusted EBITDA for Timberlands and Wood Products expected to be comparable to Q1; Strategic Land Solutions earnings and Adjusted EBITDA projected $70–$80 million lower due to absence of large conservation transaction.

• Full-year 2026 Strategic Land Solutions Adjusted EBITDA guidance remains at ~$425 million.

• Capital expenditures for 2026 projected at $400–$450 million, excluding $300 million for a new engineered wood products facility.

• Anticipate higher Q2 costs from inflation, transportation, and planned maintenance outages.

• Management expects a favorable U.S. housing construction market over the medium to long term.