21 slides from Rayonier Inc. Reit's earnings presentation, Feb 1, 2022
Slide 1: Q4 2021 Earnings
04 2021 A EARNINGS \ February 1, 2022
Slide 2: Forward-Looking Statements & Non-GAAP Measures
FORWARD-LOOKING STATEMENTS & NON-GAAP MEASURES FORWARD-LOOKING STATEMENTS This presentation 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 revenu
Slide 3: Leverage to lumber prices; Total Adjusted EBITDDA; Return of cash
Leverage to lumber prices Total Adjusted EBITDDA 1 Return of cash Segment Adjusted EBITDDA Capital expenditures Timberlands provide stability Timberland acquisitions Real Estate captures incremental value Debt refinancing Strong liquidity position Cash Available for Distribution (CAD)2 3
Slide 4: Q4 2021 Total Adjusted EBITDDA of $75.7 million is the second highest Q4
Q4 2021 Total Adjusted EBITDDA of $75.7 million is the second highest Q4 performance on record driven by strong lumber and indexed sawlog prices. Q3 2021 Timberlands Wood Products Real Estate Corporate Eliminations Q4 2021
Slide 5: Historic annual Timberlands Adjusted EBITDDA of $263 million
Historic annual Timberlands Adjusted EBITDDA of $263 million was driven by high indexed Idaho sawlog prices in 2021. Q3 2021 Harvest Volume Sales Price & Mix Log & Haul Forest Mgmt/Roads O4 2021
Slide 6: Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Slide 7: $60 $35 $50 $30 $25 $40 $20 $30 300 300 $15 $20 200 200
$60 700 $35 600 $50 600 $30 500 500 $25 $40 400 400 $20 $30 300 300 $15 $20 200 200 $10 $10 100 $5 100 $0 - $0 - Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 $30 $25 $20 $15 $10 $5 $0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Slide 8: Record annual Wood Products Adjusted EBITDDA of $394 million
Historically high lumber prices drove record annual Wood Products Adjusted EBITDDA of $394 million, more than double 2020’s record financial performance. Q3 2021 Price Manufacturing Cost Log Cost Volume Inventory Charge Residuals, Panels, Q4 2021 & Other
Slide 9: Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Slide 10: Real Estate capitalized on a robust rural and development sales environment
Real Estate capitalized on a robust rural and development sales environment in 2021. Q3 2021 Rural Sales Development Sales Other, net Q4 2021
Slide 11: Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q41 Q1 Q2 Q3 Q4 Q1 Q2
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q41 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q41 Q1 Q2 Q3 Q4
Slide 12: In 2021 we returned $388 million to shareholders
In 2021 we returned $388 million to shareholders and meaningfully increased our quarterly dividend over 7%. Our strong balance sheet and $595 million of liquidity provide a solid platform to continue growing shareholder value. 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 Refinance rate locked R
Slide 13: We expect housing fundamentals and lumber demand to remain strong in 2022
We expect housing fundamentals and lumber demand to continue to remain strong in 2022. With the recent rapid increase in lumber prices, we anticipate Q1 2022 Total Adjusted EBITDDA will be significantly higher than Q4 2021.
Slide 14: Appendix
APPENDIX a4 2021
Slide 15: In millions except per-share amounts – unaudited
in millions except per-share amounts – unaudited
Slide 16: Operating Segment Adjusted EBITDDA
OPERATING SEGMENT ADJUSTED EBITDDA Non- GAAP Reconciliation in millions - unaudited TIMBERLANDS Northern Timberlands Operating Income Depreciation, depletion and amortization Northern Timberlands Adjusted EBITDDA Southern Timberlands Operating Income Depreciation, depletion and amortization Southern
Slide 17: Total Adjusted EBITDDA & CAD
TOTAL ADJUSTED EBITDDA & CAD Non- GAAP Reconciliation in millions - unaudited 2020 2021 Qi a2 a3 a4 TOTAL Qi a2 a3 a4 TOTAL TOTAL ADJUSTED EBITDDA Net Income {Loss} (GAAP) $ (168) 26 $ 81.0 $ 1000 $ 1668 S$ 1311 $ 1879 $ 657 $ 392 $ 4739 Interest expense, net 37 8.3 8.6 8.9 29.5 3.6 8.2 8.6 89 29.3
Slide 18: Statistics: Timberlands
STATISTICS: TIMBERLANDS unaudited 2020 2021 Qi a2 a3 a4 TOTAL Qi a2 a3 a4 TOTAL TIMBERLANDS Fee Volumes (tons) Northern Region Sawlog Pulpwood Stumpage Total Southern Region Sawlog Pulpwood Stumpage Total Total Fee Volume Sales Price/Unit ($ per ton) Northern Region Sawlog Pulpwood Stumpage Southern
Slide 19: Statistics: Wood Products and Real Estate
STATISTICS: WOOD PRODUCTS unaudited AND REAL ESTATE 2020 2021 Qi a2 a3 a4 TOTAL a3 a4 TOTAL WOOD PRODUCTS Lumber shipments (MBF) 282,967 249,239» 291,391 274,485 1,098,082 264,855 243,054 1,026,289 Lumber sales prices(S per MBF) $ 396 $ 412 $ 637 $ 629 $ 522 $ 533 $ 563 $ 795 REAL ESTATE Rural Reven
Slide 20: Definitions
DEFINITIONS Total Adjusted EBITDDA is a non-GAAP measure and is calculated as net income adjusted for interest expense, income taxes, depletion, depreciation and amortization, basis of real estate sold, non-operating pension and other post-retirement benefit costs, pension settlement charge, gains a
Slide 21: Vice President and Chief Financial Officer
Vice President and Chief Financial Officer 509-835-1521