Rayonier exhibits strong growth in Q4
Rayonier Inc. posted full-year net income of $372 million, up 33.3% from 2012’s take-home total of $279 million.
Net sales for the quarter came in at $520.2 million, a 35.2% increase over the third quarter of 2013 and a 26.0% year-ago improvement. Full-year sales were $1.25 billion, also up from 2012’s $1.03 billion.
Finally, net income for the fourth quarter ended Dec. 31 was $80 million, compared to $76 million during the same period last year.
“We are pleased with our outstanding performance in 2013, resulting in a 14% increase in pro forma EPS to $2.41 and strong operating cash flows," said chairman, president and CEO Paul Boynton. "These results were achieved during a year in which we accomplished key strategic initiatives including completing our Jesup mill cellulose specialties expansion and increasing our ownership to acquire a majority interest in our New Zealand timberland joint venture."
Boynton also acknowledged the company’s plans to spin off its performance fibers business into a separate publicly traded company.
“Over the past few years, we have completed a number of strategic steps to position these businesses to operate as two industry-leading public companies with significant growth opportunities," he said. "The separation will provide investors with two strong companies, distinct businesses and focused investment identities. With an improving housing market and economy, and expanded capacity in Performance Fibers, we are excited about the prospects for these two businesses in the years ahead.”
Main Street Lumber honored for entrepreneurialism
Main Street Lumber in Denison, Texas, was recently selected as a 2014 Entrepreneur of the Year Award for Sales of Under $10 Million.
Co-owner Chuck Pool accepted the award, which was presented at a recent LBM Distribution conference.
Main Street Lumber, a Do it Best member, has been serving the needs of builders for more than 40 years in northern Texas and southern Oklahoma. Brothers Robert and Chuck Pool run the family-owned company with 18 staff that prides itself on its innovation, while offering a wide selection of products.
Known for its expertise in millwork, the company further enhanced its reputation with the creation of software that make it much easier for estimators to specify and order these products from the company. Spearheaded by partner Steve Linn, their new mobile app, MVP Estimator, was custom-built for the industry’s needs, making it possible for Main Street’s sales team to work faster and smarter while on the job site.
The company was recognized for its overall commitment to service and specifically for its technological innovations.
Rayonier is splitting into two companies
Jacksonville, Fla.-based forest products company Rayonier is going through a bit of a breakup. The company announced Monday that it is spinning off its fibers business from its forest resources and real estate business, forming two separate publicly traded companies.
“With an improving U.S. housing market, strong timber export markets, and the successful expansion of our cellulose specialties capacity, we concluded that now is the optimal time to pursue the separation of these two non-integrated businesses,” said chairman, president and CEO Paul Boynton.
The company has been planning for the separation for close to two years, and the tax-free spinoff is expected to be completed mid-year following approval from Rayonier’s board and a favorable ruling from the Internal Revenue Service.
At that point, both companies will be listed on the New York Stock Exchange. Additionally, Rayonier Inc. will remain a real estate investment trust.
The fibers business has yet to be named, though Boynton will serve as that company’s president, chairman and CEO, as well as assist Rayonier Inc. in its search for a new CEO.
Current board members will be split up between the Rayonier Inc. board and the performance fibers business’ board. Richard Kincaid will serve as chairman of Rayonier’s board, and David Brown will become lead director with the new company.