Plum Creek Timber Company experienced a slow-down in sales during the first quarter of 2014, though a corresponding drop in income was largely expected due to to a timberland sale.
Net revenue for the three months ended March 31 was $317 million, down from $340 million in the same period last year.
Net income for the quarter was $30 million, down 46.4% since the first quarter of 2013.
Despite the weak performance, CEO Rick Holley said he was pleased with the company's performance last quarter.
“Results from our timber resources segment continue to grow with higher log prices and additional harvest volumes from our recently acquired timberlands," said Holley. "Earnings were in line with our initial expectations despite difficult weather conditions that hampered both log deliveries in the South and production and shipments from our Manufacturing facilities. As expected, first quarter’s income was lower than last year. This was solely the result of a large non-strategic timberland sale that contributed 21 cents to earnings per share in the first quarter of 2013."
Holley added that the timberlands and other assets acquired from MeadWestvaco last December have been integrated into the company's portfolio, contributing $4 million in operating income and $9 million to adjusted EBITDA last quarter.
The company said it was on track to reach its goal of growing its non-real estate adjusted EBITDA by more than $80 million this year.