PotlatchDeltic Corporation, a leading Real Estate Investment Trust (REIT) with significant timberland holdings and operations in the United States, has released its financial results for the second quarter of 2025. The company reported a net income of $7.4 million, or $0.09 per diluted share, on revenues of $275.0 million for the quarter ended June 30, 2025. This compares to a net income of $13.7 million, or $0.17 per diluted share, on revenues of $320.7 million for the same period in 2024.

Financial Highlights

For the second quarter of 2025, PotlatchDeltic reported:

• Revenues of $275.0 million, a decrease from $320.7 million in Q2 2024.
• Net income of $7.4 million, down from $13.7 million in Q2 2024.
• EPS of $0.09 per diluted share, compared to $0.17 per diluted share in Q2 2024.
• Total Adjusted EBITDDA of $52.0 million, with a margin of 18.9%.
• Repurchase of 1,418,800 shares for $55.9 million, or $39 per share.
• Maintained strong liquidity with $395 million as of June 30, 2025.

Business and Operational Highlights

In the Timberlands segment, Adjusted EBITDDA decreased by $2.8 million from Q1 2025. Northern sawlog prices increased due to higher cedar prices and seasonally lighter logs, while Southern harvest volumes decreased primarily due to lower stumpage sales. Forest management costs increased due to seasonally higher activity.

The Wood Products segment saw a decrease in Adjusted EBITDDA by $10.0 million from Q1 2025. Average lumber prices decreased by 1% to $450 per thousand board feet (MBF) in Q2 2025. Log costs increased primarily due to higher indexed pricing in Idaho, and there were additional costs related to equipment upgrades and temporary power supply issues.

In the Real Estate segment, Adjusted EBITDDA remained flat compared to Q1 2025. The company sold 7,457 acres of rural land at an average price of $3,108 per acre and 18 residential lots at an average price of $102,222 per lot.

Strategic Initiatives and Corporate Developments

PotlatchDeltic continued its disciplined and opportunistic capital allocation strategy, repurchasing $55.9 million of its common stock and maintaining a strong liquidity position. The company also paid its regular quarterly dividend of $0.45 per share.

Management's Perspective

Eric Cremers, President and Chief Executive Officer, commented, "Our overall financial results were solid in the second quarter, even amid ongoing economic and trade policy uncertainty. This quarter our Timberlands and Real Estate businesses performed well, while our Wood Products segment continued to be impacted by soft demand across lumber markets. We remained focused on our disciplined and opportunistic capital allocation strategy during the quarter, returning meaningful capital to shareholders through the repurchase of $56 million of our common stock, in addition to paying our regular quarterly dividend. Looking ahead, we remain confident in the long-term fundamentals that support demand for our products. With a strong balance sheet, disciplined operations, and a prudent approach to capital deployment, we believe we are well-positioned to deliver long-term value to our shareholders."

Future Outlook

While the company did not provide specific guidance for the next reporting period, management expressed confidence in the long-term fundamentals supporting demand for their products. The company aims to continue its disciplined operations and prudent capital deployment to deliver long-term value to shareholders.