Big earnings boost for Weyerhaeuser in Q3
Weyerhaeuser reported net sales of $1.92 billion in the third quarter, up 3% from last year’s sales of $1.86 billion. The company fared considerably better in terms of its bottom line. Net earnings of $1.15 billion compared year-over-year to earnings of just $157 million in 2013.
Much of this gain can be attributed to the completed divestment of the Weyerhaeuser Real Estate Company, which brought $966 million to its coffers.
"We increased our quarterly dividend by 32% and repurchased $130 million of common shares in the third quarter, demonstrating our strong commitment to returning cash to shareholders," said Doyle Simons, president and CEO. "Our relentless focus on operational excellence resulted in another very good quarter for earnings and cash flow generation, as we continue to drive sustainable performance improvements in each of our businesses."
Mixed results for Newell Rubbermaid
Newell Rubbermaid net sales for the third quarter came in at $1.48 billion, up 1.3% from last year’s $1.47 billion.
The company didn’t fare so well in terms of net income: this year’s $122.3 million was down from 2013’s $193.3 million.
Describing the quarterly performance, Newell Rubbermaid president and CEO Michael Polk focused on more granular results, where there was a sunnier outlook.
"Our strategy of accelerating advertising and promotion in support of our brands is working, delivering third quarter core sales growth of over 7% on our key Writing, Commercial Products and Tools segments and normalized earnings per share growth for the total company of over 11%," he said. "Since we began to significantly increase brand support in the second quarter of 2014, our global core growth has been 3.7%, despite exiting certain markets and product lines in Europe and pulling back on less profitable volume in North America."
Polk also pointed to Newell Rubbermaid’s cost reduction initiative, Project Renewal, as well as its recent acquisition of Ignite Holdings and bubba brands.
New leaders for lumber dealers
J.D. Saunders of Economy Lumber officially stepped into his new role as chair of the National Lumber and Building Material Dealers Association, accompanied by a strong supporting cast of pro dealers that forms the association’s volunteer leadership.
Saunders is VP of Economy Lumber in Campbell, California. He is replacing outgoing chair Chris Yenrick, president of Smith Phillips Building Supply in Winston-Salem, North Carolina. The moves were announced at the association’s annual meeting here during the 2014 ProDealer Industry Summit.
"I am excited by all that NLBMDA has to offer dealers and LBM suppliers by being the industry’s voice in Washington, the eyes and ears on regulation, and the teacher of federal compliance,” Saunders said. “Thousands of people know the important impact NLBMDA has had on daily operations through accomplishments like the crane rule exemption, putting pressure on groups like the EPA on the Lead Rule, seeking protections for innocent sellers, and preparing dealers to operate under the latest federal regulations," said Saunders. "Now I call on our thousands of members to reach out to others in the industry to join us and further advance the interests of the lumber and building material industry."
Since 1936, the Economy Lumber Company has been providing building materials and services to the developers of the Santa Clara Valley with about 95 percent of sales coming from pro-contractors. The Saunders family has co-owned the company since the late 1940’s. Saunders is in the third generation of his family helping to run the business.
"J.D. is a great example of a lumber dealer that realized the impact they could have on the industry and their own business by participating in NLBMDA, and now I am very happy to work with him as the chair of our association for the next year," said NLBMDA president and CEO Jonathan Paine. "I also want to thank Chris Yenrick for his time, his effort, and the great association advances we’ve made over the last year to give the association and our member companies a better foundation as we build on the improving economy around the United States."
In addition to Chris, the other members of the 2014-2015 NLBMDA Executive Committee are:
• Chair-Elect: Scott Yates, Denver Lumber, Denver;
• First Vice Chair: Davis Boland, Boland Maloney Lumber, Louisville, Kentucky;
• Second Vice Chair: Michael Cassidy, TW Perry Enterprises, Gaithersburg, Maryland;
• Treasurer: Scott Engquist, Engquist Lumber, Harcourt, Iowa;
• Manufacturers & Services Council Chair: Gary Nackers, Do it Best Corp, Ft. Wayne, Indiana;
• Federated Association Executives Chair: David Garrett, Eastern Building Material Dealers Association, Lancaster, Pennsylvania;
• Immediate Past Chair: Chris Yenrick, Smith Phillips Building Supply, Winston-Salem, North Carolina; and
• President and CEO: Jonathan Paine, NLBMDA, Washington, D.C.