The company posted net profits of US$9.5m compared to US$168m a year ago. Sales were also down to US$535m from US$621m.
In contrast, Plum Creek Timber Company‘s profits were down only slightly to US$92m from US$96m, while sales were up to US$454m from US$427m.
A strong performance in the company’s timberland business helped offset lower profits in the resources and manufacturing divisions as lumber demand slowed from record highs in 2005.
Rayonier described its third-quarter results as “very good”, despite a US$20m drop in net profits to US$55m. Its wood products division recorded an operating loss of US$3m, compared to a profit of US$5m a year ago.
Canadian company Canfor also blamed lower prices for timber and OSB on falling profits. Operating income in the third quarter was C$3.3m, compared with C$26.9m in the previous quarter and C$31.3m in the same period last year.
Meanwhile, International Paper has recently completed the sale of 900,000 acres of forestland in Louisiana, Texas and Arkansas to TimberStare Southwest.
