Plum Creek Timber Company‘s timber business saw sales and profits rise during the first quarter, despite an overall slide in the firm’s results.
President and chief executive Rick Holley said profits from the core timber business were up on a year ago, while sales rose 9% to US$200m.
The company’s total profits dipped to US$122m from US$155m in the first quarter of 2004, while sales were also down to US$400m from US$497m.
West Fraser Timber reported profits of C$43m on sales of C$902m, compared to C$41m and C$552m a year earlier. The results include Weldwood of Canada Ltd’s operations, which were acquired on December 31, 2004.
Lumber earnings were boosted by sustained high prices as a result of record levels of new home construction in the US.
Meanwhile, Rayonier‘s wood products business recorded a 100% increase in operating profits to US$2m, while sales improved by US$4m to US$42m. Overall profits dipped to US$34.4m from US$75.5m, but last year’s first quarter results included a net tax benefit of US$49.7m.
