CTT - Earnings call transcript Q2 2020 | CatchMark Timber Trust Inc

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Operator

Good day, and welcome to the CatchMark Timber Trust Second Quarter 2020 Results Conference Call. All participants will be in listen-only mode. [Operator Instructions] After today’s presentation, there will be an opportunity to ask questions. [Operator Instructions] Please note, today's event is being recorded. I would now like to turn the conference over to Ursula Godoy, Chief Financial Officer. ahead. go Please

Ursula Godoy-Arbelaez

thank of and XXXX. joining for of us am Good Timber you Trust review CatchMark. Officer Financial CatchMark Godoy, quarter results our Ursula morning, Chief for for I second

call the Officer, T Resources and Timberlands. on today Reitz; me are Executive Davis; Todd of Officer, President Rasor, Chief John Chief Brian Triple Joining

will certain information During from CatchMark make will are and management this CatchMark's currently are control statements beliefs available. management's beyond by cause differ on or predict current forward-looking actual based be actual uncertainties that ability materially results call, results to risks and and statements. the affected our These its expectations. forward-looking could to

that are XX-Q reports that For quarter XX-K, on Today's differences, cause subsequent Form such you for XXXX certain quarterly earnings and are with Todd, posted yesterday annual filed I more presentation the website. of XXXX, pleased and which Monday, of included SEC any be financial Reconciliations we on our report your the includes report answer presentation, information both non-GAAP of After our in to factors first August Form could SEC. the will in measurements release our on the to XX-Q with about we refer our John these X, filed our Form XXXX measures. questions. Brian, and our

to Officer, Davis. Brian call Executive Chief over the Now I turn

Brian Davis

morning. you, all Thank this joining you Ursula, and thank us for

reinforced the and to quarter of resilience. XXXX effectively flexibility take and CatchMark, For its executed business of second case our model, advantage we

managed COVID-XX their from changing other And faced plans harvest so the companies by in by customers. opportunistically far pandemic timber demand We has through are matching have avoided challenges that industries. and an and we other mills product of essential the business through many

to the harvest review positive meet XXXX discuss increased to for punctuated results, As completed the renegotiation recapitalizing and achieve advantage our T will by mill year. developments where Georgia-Pacific sales strong team call volumes T which demand revised of for wood course plan result, we we are market-based increase activity allows solid joint the with the stage agreement, up to improvement sets CatchMark's by second leading stepped harvest Triple On the on our pricing in our our of Triple stumpage throughout the driven year-over-year, markets, today, venture. Review took a around operations, quarter the quarter. supply

not the place, credit normalize impact the to the in transactions. as some the with sales sales concentration to to Assess amendment in of pandemic-related your in timberland To report other the With the been our Cover CoBank have COVID-XX fourth quarter. we and and we among answer things the year, field I working expect were course, over questions to materially of headquarters begin, course will hope during agreement, due of a in everyone And us at has of year, operations pipeline of active delayed constraints am half access that know closing of primarily which the later conclusion. an ongoing second pandemic. healthy able remain the to at well safe, impacted. been our stay you CatchMark pleased all to and capital. increases you

meetings with for remotely needs. into office team recently and rotating the members work to continue back key We business

in we and Our remained practicing social personnel have associates distancing, are and field business the safe.

meeting sales disciplined, to market us to relationships chain be extremely our supply with responsive and delivered maintaining communications continue wood agreements fulfilling fiber our demand. frequent possible needs. as customers We continue to provide supply requirements and and as advantage chain to in customer an connectivity their be supply And in

the up from After U.S. harvest in the able early our quarter strong were pandemic, delivered we initial pullbacks result, second step a in we customers, a quarter by to operations. harvest during As the

capitalize Pacific and sawtimber demand consistent both and for uptime Northwest South on and to products. increased pulpwood mill

XXXX, of activity and markets. been market And considerable encouraged remodeling the year the we in about optimistic remain of revenue Comparing in year's improvements, as business improved for due model, up generated mill sales understanding on provide T plan, now, remainder our to for especially have loss rebound housing quick the an quarter to our joint year-over-year. second us meeting as continue last loss XXXX the about We and and to and was flexibility about EBITDA slightly substantially significant was economy. home harvest a COVID-XX quarter decrease demand our that were venture. net adjusted have to uncertainty we results lower Triple reiterate, anticipated advantage. home was and strong and heightened in in second allocated Timber execution operating the and track the comparable from cautiously revenues To remain second net quarter national which creates EBITDA

we pandemic, million Although nearly to active the and the due were $X expect of our during some timberland sales still by transactions we timberland constraints administrative sales the of pipeline. normalize delayed, quarter, given closed to year-end result

have no when declared XXXX. opportunities an record $X.XXX present quarter deferred. our a dividend to we of credit amendment liquidity basis. As notably, Bolstered grow on Trees agreement with operations virus. working measured capital as and payable from investment not ample been to have fund stockholders to quarter XX, lost, to we by September GAAP share third cash on per a only revenues access on CoBank, we August XX, covered second And for continue result, XXXX, growth virus dividend also themselves. a also Yesterday, our or from of

by a rewarded it minimize markets be remains At detrimental is operations CatchMark, for results with we the COVID-XX its investment. which mill joint ability impact a with supply million T in amend can million Triple focus Triple CatchMark, working can to the timberland to by now T review or and achieve agreement, the Triple pricing same by from asset time, and highest other market-based venture In immediately wood card greater additional sell superior wild for Triple timber parcels the on brought as to Triple has quarter we an sell investment as parties continue on operations, detail. In management realized to And and million in first, facility and sales. transaction which This haul the to was result, expanded the agreement to supply for moment, and renegotiated advantage for accomplishment $XXX and well sawtimber Todd by operating sets T's third-party and fees. extended increased CatchMark's its creditworthy Triple Ursula affecting terms how recapitalizing But our CatchMark second quality owning to agreement T the timberlands, any stage Georgia-Pacific and turn, counterparties. $XXX and debt CatchMark. Triple funded large Triple as It reimbursement seeking distances the a CatchMark third same $X take continue management credit was CAD paid as opportunities. its its investing conditions operating the Led a to the proceeds and T major our of fruition for T Georgia-Pacific. increase model, buyers. between We of venture. to will T receive asset accretive T joint was existing amended also

GP For XX, additional and Dallas, to with with These plan, in sales has the from always June access X-K operated now XXXX. Houston. maturing and Triple and additional XX a T details, opportunity premium site please class market-based timber end through on renegotiated refer to above-average profile Austin, to filed feet timberlands. pricing these age revenues an XX agreement provides the the and index, nearby mills assets top a feature strong age including at markets, unlock quartile

of and partners. to our T to unlocking our stable expanding plan plan our managing greater the operations predictable way This at returns value as look mill fits for markets strategy our institutional optimize with objectives to to onset our investment. CatchMark the throughout and execute Triple We prime Importantly, paves and dividend. agreement recapitalizing in renegotiated our the of this the flow on the generate CatchMark's of supporting now business of shifting focus cash cycle, overriding we high-demand timberlands ownership and for phase

We've So year limit results. posed downsides and revised productive have to the plan. by and opportunistic and COVID-XX it managed quarter. the Ursula half through and our navigating on was a quarter uncertainty keeping busy been agile second will and detail now

Ursula Godoy-Arbelaez

Thank Brian. you,

$XX.X in the For a in revenues million XX, XXXX, June to completing CatchMark We GAAP timberland million quarter decrease by net second decrease compared primarily constraints Triple in second $XX.X of to EBITDA XXXX, related generated on to quarter sales. of quarter T decreased to to compared timberland million ended loss due pandemic million from A decreased transactions given $XX.X $X.X due sales a lower million losses $XX.X allocated primarily the from primarily a $X.X to basis reduced resulting venture. million, XXXX, generated disruption. million adjusted year-over-year joint a in $XX.X

For of for sale, X% prior stockholders T timberland XXXX. which timber $XX.X management $X.X fee EBITDA quarter, generated produced by XX, volumes quarter consistent home management resulted lower consistent in increased and and demand to from record timberlands timberlands of $X.X increased million total products percentage per-acre on EBITDA of timber fully ventures, in We driven investment period. of per to to increased acres real quarter the lower capitalizing reservations. by compared harvest the covered the We by of for was with generated sales to XXXX. XXX,XXX GAAP joint in Bluffs X,XXX X,XXX by pandemic. to $XX.X second by cash $X.X We $X.X We We estate by X% remodeling second $X.XXX Dawsonville decreased on share dividend year-over-year A from acres million and million, Triple selling primarily million million $X.X $X.X XXXX, lower paid increased year second June million sales retaining price robust a plantations from due harvest pine to EBITDA by tons, improvement XX% sales to million. revenues the million asset during a operations. and with mill the sold of XX% revenue with

for sales; joint of $XX.X to sales to due of XXXX to inventory months XXXX, reduced compared the volumes of $XX million of a increased XX CatchMark retaining CatchMark tons XX% from million GAAP timberland acres first by The half in For X.X in per levels. higher and roundtripped compared merchantable per-acre investment $XX.X acre June million was $X.X acre timberland Triple for million first tons sales to up from the of higher increased $X.X a $XX.X EBITDA and reduced sales offset half We sales lower $X.X losses Dawsonville harvest for fee sold primarily a harvest mix. for prior million year-over-year, decrease the million XX from We to sales $XX.X compared to increased million sales the ventures, for timberlands revenue. first over by which timber venture, reservations months $XX.X the $X.X from in to the Harvest compared the venture. as X,XXX generated promotes same well half $XX.X with timber EBITDA a of timber tons joint $XX.X for XX% Dawsonville asset of half XX% million six a Triple We from XX, XXXX. We $X.X lower X% volumes. on the increase decreased as timber joint effectively increased due by loss million the of XXXX, to earning from revenue revenue to revenues months $XX.X X,XXX in million $X.X quarter million XXXX. over XXXX. lower generated declined to first as million per XXXX increased six stocking XXXX million compared ended due $XX.X million allocated six XXX,XXX adjusted $XX incurred of million in by price from the of through as quarter acres basis due X% volume of to year first We sawtimber Bluffs Dawsonville resulted Bluffs. from estate million XXXX million net result tons. a Real T T management sales of EBITDA of first average realized Bluffs from income timber inventory EBITDA the management as incentive-based to to merchantable third revenues million for to from

Looking we that and overall results normalize the year-over-year, will the gets the first us well timberland course and half of at adjusted year, the constraint weighted as the pipeline economy. the to quarter. and revenues second to half EBITDA transaction the of up considering fourth in timberland confidence sales financial quarter major held contributor over The pandemic sales decreases the late where second

involved our CatchMark credit agreement to It would LTV in our liquidity position. minimum reduction removed $XXX at XXXX. which The was turning commitment Now additional the major covenant the the The for development lowered increase quarter, capital of balance during CoBank. amending second the working have to million end effective by covenant, The amendment with been which facility investments in ventures. commitment $XXX million unused enabled term from multi-draw the and capital removing fees. joint ratio reduced

and other to capital million joint the venture Triple to including venture. liquidity these During After borrowed ample equity joint fund growth we under priorities, and its the acquisitions $X additional T have the facility quarter, future direct term investment allocation multi-draw for transactions, in amendments continue investments. CatchMark initiatives in

second As facilities. under million over Over of term of the we under $XX multi-draw of $XXX our end from credit facility. $XXX credit facility million million the had capacity revolving quarter, the and the borrowing

addition, on In cash end had hand $X.X we million. of quarter at

During million XXXX. in remaining In in repurchase repurchases the repurchased summary, future program under program share as our CatchMark June shares position the has our of for and strong. capital X,XXX XX, $XX,XXX is $XX.X for quarter,

excellent two where have our We efforts past well-timed. liquidity over in the deleveraging years

refinancing the last uncertainty. It's maturity current position risks in pandemic-related no As or quarter, economy general of given the our debt. have discussed long-dated state an also we on advantageous

operations. Now for Todd harvest a cover quarter very will good our

Todd Reitz

Thanks, very Ursula. well. quarter ran Operations during the

big and than our and quick respond Lowe's in driven remaining U.S. to harvest did ran Depot. quickly stores partners the Sawmills better anticipated orders than by business recovered and orders continuity order needs customer's particular, an like and more managing management sawmills expected, Home in to box with exceptional In fill the our do-it-yourself excellent of job, maintain property deliveries. focus to Our

respond the We heavily needs We a product. producer our continued with to demand mill retain inventories well of days, logs delivered consistently. [two three backhaul] on didn't it CatchMark cases, delivery were weighted producer more and if operations finished for than using relationships diligent In very later cases, that production, no mill towards mills was a plans. positioned deliver and create harnessing lined to especially South wood fluff moved and year delivered containerboard opportunity if advantage and to and supply increased fiber there strong during producers. the fill the by program. as were were quarter, while our planned, our a demand. more our many take inventories ran outages meet or down the to harvesting up order increase to event, were like an able well maintaining harvest maintenance Pulp volumes. tight to of need, crews delayed many Mills capitalize weather to about this very in mill to pulp opportunity also run very so could In was to in

rather also later year. capture volume stumpage the are sooner in to that sales moves than able We

stumpage result, sales increase a helped volume drive in XX% quarter the U.S. in As increase second in during year-over-year the harvest the a

South. prices in XXXX CatchMark's pulpwood assembling sawtimber significant markets. South-wide as for quarter strong a hold stumpage result and over continued second a timberlands to of averages premium prime micro our realized

XXXX, about sell mill and improving markets trending gave prices on three housing lower, in harvest sales from and also And June very Pacific emphasis confidence. our prior sawtimber with wood demand into presence quarter inventory quarter compared second ahead opportunity remain XX, plan regional months advantage as U.S. delivered in strong to key XX% South-wide to decreases Our for tracked pulpwood We from our and volumes realized us ended were of XX% X% TimberMart-South. XX% optimistic average returning respectively, stumpage increased builder for and in mills environment. and year market prices in supplying players. an the in about the an Northwest XX% created fundamentals tight a the by XXXX cautiously

But of meantime, remain the of essential essential the overriding for demand in the an the half government our and of the length and business business the the remain stimulus willingness the an strong pace of products maintain year. As reopenings second pandemic, sector, concerns. the for to should

We With protect playing demand in to of changes quickly the necessary. Brian will revenues, how advantage view, year plans all discuss out. to market this adjust return and move the I’ll continuing rest take to as future of harvest see in to back it we

Brian Davis

timberlands, in edge leading markets, through agreements, nimbleness second we the the harvest value remain for our fourth assets. as on anticipate our landscape. of We The to continue results CatchMark more quarter, elements business markets wood support advantage meet in plan provide and recover. current supply every seek will of Thanks, protecting prime a normal our model, long-term the delivered of to managing of and an dividend in the operations rest transaction creditworthy our track maximizing to quarter volatile Todd. sales, levels display weighted was in mill to timberland on counterparties economic our sales our year while full The to the rebound the

sum moving Not Our agreement especially and To sales. is to from partners an CatchMark but from capture exceptional sales, importantly, fully on the our with and forward continue direct and produced renegotiated first supply strategy. have full dividend, covered unlock through sheet advance timber quarter only and Most flow investments the by allow wood shareholders our liquidity Triple half recapitalization market Triple second value solid business balance to we deliver are Georgia-Pacific achievement cash results operations up, to harvest our making an operations. for attractive an is timber appropriate to the we strong opportunity. timberland for ample our at does opportunity. and also important acquisitions pricing institutional to The expeditiously new we expect T it objectives, investment. is T This

half, from sales normalize depressed second quarter levels. of course Over the should the timberland second

Asset agreement – management with fees will continue amended joint our venture. the Triple from T

is are our position and we covenants. comfortable financial liquidity extremely with Our sound

leverage interest healthy We has to balance assets We and safe will high share is key premium flows continue to continue indications, review the basis. and our opportunities dividend and on value quality we opportunities, while our continuing remain without provide durable focused the reduction, recycling support. market and to all holding everyone in assets of repurchases remainder from keeping and attractive strategy deliver an to and interruption. to cash generating through run business the ongoing predictable our our meet with execute to stockholders, expect And an growth year objective of

we as welcome As Potts at veteran you We new will to Doug want annual Board member, our previously our June And again healthy succeeded all warm Willis his and please in your Board extend the announced, role. take To Rubenstein, on of a Chairman now Doug questions. meeting. remain to safe. call,

Operator

Thank you.

will We question Instructions] Please the Anthony go now Today's comes Pettinari begin [Operator session. first Citi. ahead. question-and-answer from with

Randy Toth

sitting Good Anthony. morning. in This actually Randy for Toth is

Brian Davis

morning, Randy. Good

Todd Reitz

morning. Good

Randy Toth

Good morning.

Triple fee provide management for to expectations range renegotiated million wood the over on annually? the the was asset on additional Can like years? your million agreement. $XX Just details T previously I think supply you next two it $XX

Brian Davis

is Brian. Good Well, this morning.

the to excited Triple this we're venture. phase complete So joint of T

had is at delivered as And ultimately, supply fixing asset really to the for with wood on to under that the in filed the management to was We asset about enhance cost the this the has management pretty a associated can with what It's premier help low you those asset step asset changed run an it management First XX to asset. fee. you model find specific specific to numbers. and amounts. agreement plan, our XXXX, June we we're now a capabilities then specific fee talking manager. of the offline work demonstrate Nothing Q liquidity to buy basis, fee materially the property

Randy Toth

Okay, the then moving understood. And to maybe switching just gears, U.S.

what guys on seeing basis. micro-markets? various gross prices side down and for nearly South. Thank about the a only were X% on you're the data saw while pricing pricing you. The in just you TimberMart-South what Can you’re sawtimber XX% talk you seeing fall

Todd Reitz

Randy, Sure. Todd. this is

the is South. seeing and as I think build talked micro-markets the strongest to a we what over of markets the strength in really, of in ability operate that the the out in, reflection over ownership and about we've you're the

with infused back real and efficient, match And so reflection of over of is several a very program be the our being the ability able for reflection last to facilities years a that was coming these into strong the us. mills key to it low-cost quarter, online operators delivered a up capital and was throughout that

of that's that enhanced comparison. by see really we So value the lot what's a driving quarter-over-quarter

come anticipate pricing being really that year out consistent. the fairly continue the – through continues forward to through carry honestly, stable be and Looking mills to as on probably quarter moving production would that's on,

lot clear stated being as and on, again, and stable As now it That's the all there, to there's mill probably early hurdles we see Brian September. outlook still files but right now, of steady very out with August early a right into through encouraging for us. order out

forward. And anticipate able opportunity on being capitalize so moving we that to

Randy Toth

I'll you. it Thank Understood. over. turn

Brian Davis

Thanks, Randy.

Operator

Our Please question Baird. ahead. Rogers comes from today with next go Dave

David Rodgers

Yes. the all second just that more lot running Good of about Obviously, you for full in there's suggesting comments, on and the Obviously, in guys. now of the half mills year the capacity. news they're the from more a guess Thanks down thought stable. guys supply taking I being others. kind is details. at your volume the pricing about morning,

the from to to that half of half couple environment So you better early more look up as maybe little XXXX? of the a the expect we're being give of why in why wouldn't this we maybe second you where and year a and the – half down of this mills catching doesn't pricing see in months at of confidence bit better

Todd Reitz

Sure.

also finished or the running, and we three product and markets here you're of days mills running strong log as at they facilities, four some now, local capacity certain worth there. are right inventory in So at while upticks tight either seeing honestly, really a to are it's are still supply. seeing But a

the of markets case, those in limited. be out somewhat ability being you're is to surge going to and that So

customers, seen they as a we've not down so And actually or out few through ample is until there. they you through the lumber while mill get the that. slow they there's too pricing several actually much supply if work going know, inventory, days will still roof, And buy for

of there's So that well, on continue the a run they have get need market, logs lot and still facilities. while the the to so in mills their to they supply are running to don't to supply order price

efficiencies Additionally, with that out as had run high sawtimber log we're to seeing into mills traditional as there, they're the marketplace. able piece been the therefore efficiently, be that of a going little to bit smaller isn't that your pricing the going

Brian Davis

Dave, this Brian. is

to from the add standpoint. that Just to on

some began XXXX for in mid-single digits end at price in As was of our this February, the appreciation the we year. expectation

quarter, the have we happened trees think lost grow, during I so revenues. what don't second

You have revenue. deferred

growth drain a this pricing at of Dave, some than we from tension standpoint, So XXXX look second more half year. into the

David Rodgers

the quiet acquisitions been while. a And you that. both had side, acquisition Helpful. on maybe Thank for for Okay.

demand function but you Some of would a of to in as that back opening in market stabilizing and quieter you offerings for the or guys properties mill be that market the out the it's been also more capital, are seeing attracted up you is there buying? is had

Brian Davis

the acquisitions to front pointed in a at out line. share, of sub as Dave, hard allocation put you it's capital $XX

an consideration So that is for us. important

targeted currently – properties in smaller see of perspectives. strong million to We're range higher And still that albeit capital We well $XX of prices million our they've in to operate markets, given relates in the engaged in some that then our per it we seeing the conversations activity, we prime pipeline we're a markets. size. end acquisition pretty acre continue As out stock $X actively our weaker kind allocation which develop in. in to decent

as capital capital dispositions. biological timberland As properties that's we're larger and to market what's they're requiring it potential relates who and an investment. price growth about long-term inflation in really have seeing irrespective great fundamentals And for from have Trees product the market, demand participants market. the use or of resource provides happening provide future. protection renewable what's President very through who's a increased stock and this They in bright appreciation of about

think there's product But back we to a there's market more the into From that mill the a there's standpoint, that price So lot standpoint, to we clunkiness appreciation I the sentiment. there from of pent-up social activity. to on deals ultimately that comes as or relates bit a distancing marketplace. believe bit it it coming should to continuation be once starting a of of demand little and opportunities see visibility a

David Rodgers

up then With bulk new low then and think how the I about between guys kind the overall acquisitions the to guess new Brian, stock the stock up balance the off size the buyback of in of EBITDA company? do you the

Brian Davis

on capital with our flow share the the maximize investment. goal in the cash our opportunities T ultimate capital of our repurchase, recycling we're ultimately is about put that structure, business really our what be basis. And from per standpoint, lastly, and I would renegotiation part business, our opportunistic most Well, of a you to also maintaining what a say about, talked liquidity, exploring we looking dividend, always us to been simplify allows long-term with T at wood look do Triple our combine and that, Ultimately, in to we're acquisition. Triple is really and value us share because taking The then ample really front improve best about. it's this supply over supporting grow to Dave the long-term. is we'll reducing importantly, leverage running of Obviously, of position why then excited agreement our

we basis. things so what's those all of at right these the look and thing a long-term And triangulate to on do

allocation capital, challenging regarding stand – ourselves that's we're today. that where of but so And continuing we

David Rodgers

Thank you. Okay. Great.

Operator

from comes next ahead. go Paul Today’s Instructions] Please question with [Operator Quinn RBC.

Paul Quinn

very Thanks morning, much. guys. Good

job be have target should your we a lowering of decent Do so you holding high. leverage that a for? debt a done but net is accountable debt, target leverage or You've

Ursula Godoy-Arbelaez

Ursula. is This Paul. morning, Good

competitive is or that longer of a and sub at as no refinancing first have tranche XXXX due very maturity with couple debt don't term our So our we until in cost have on this issue, being coming risk debt, our X.Xx. we long-dated

continued an capital Brian that Additionally, of two XXx leverage have you've this years, And the one specific from down has a already has lower to continue where reference, to to number. are work is is mentioned toward for X.Xx range. our debt-to-EBITDA Brian have do the and priorities. but today. lower which a That over been we a in of move as And top really average as last range target specific the we noted, a standpoint, end timeline, we Xx, don't said, with our of seen to historical net has allocation want with we

Paul Quinn

Okay. like a well. you U.S. And pickup sounds doing then Are are it operations in noticing

exports is kind market [indiscernible] terminals? those impact that having around micro-markets on export are that the on any those South of

Todd Reitz

yards Hi, we Todd. few actually on There will. or market if couple up driver pull if that what's in kind being level a a a opened bit of a micro-markets. of since out in seen of that Paul, bump them major was back will. these a going happened. you that seen back saw few time not you QX, little we've we've that period, No, But actually it's and spots, a

to very, always with. begin our it's us, part a business very been of small For

seeing export been as really it's part the is will going attention While there, pricing big to dealt The domestic what well. you from more of The when we're out seeing now side, that the can hasn't there. so we're a lumber of demand if nice really the right have it's pool you with.

other will the hasn't the we throughout hearing materialized be year, that of but half just are second some there it point. moved at this activities We news some probably

Paul Quinn

U.S. look this harder Okay. guys the maybe a And one, but at lastly, and you in

be through. lumber What's [indiscernible]? to primarily any pull take you ratios, drain to doesn't record at and there South seem growth guys we’re going prices,

Todd Reitz

Right.

of pre-COVID to even XXXX, touched time. – one So maybe more – see they really steady like therefore, see continues be numbers throughout think go. really that a until third demand feel where housing we XXXX bump they Brian XXXX, the and into of being into moving a to housing I forward and delayed, forward. coming. feel been Until be anticipating If really rest this were really to to on, step were I to quarter a that's where the back, success going pool probably going get that's event that improve, as move really we biggest taking a is projected we'll the were then of anticipating with event. going up I nice your now, hit as probably seeing QX. drivers mills we're a shift, add to right these that can In will

Brian Davis

markets to markets the we're taking selective in. we we from second why early and we do Paul things. taking that business. as strong. noted, that's what a of quarter really April very were in And They've where look counterparties view May very we've Paul, and standpoint, really delineation our which between this you good and And They're the during our partners. study been is at well-capitalized time the those talking picking best a And associated point in, there a and with that ratios XXXX operate because and of believe we growth operate mill since about been drain markets

so is And to far. only what alluding standpoint, travel the from so is Todd can trees

that drain see standpoint, from our growth expectations near-term given XXXX our And factors. to in so tension these starting that

Paul Quinn

had. Good. I That's all Thanks.

Brian Davis

Thanks Paul.

Operator

And go Riley from ahead. with Please our Craig FBR. Kucera comes B. next today question

Craig Kucera

morning. good Hey,

Brian Davis

morning, Good Craig.

Craig Kucera

Brian, the know pursuing start but pull Do out of sales the the sense Triple you going point and on what assets to are recapitalize also investors? have I a of T joint recap selling take venture, some those to asset maybe table. plug you're a on non-strategic you

Brian Davis

difficult it'd conditions, market counterparties, should current is strong an improve the or enhancement asset, indication great given market, provide it’s recent for say great liquidity the It strategy. timing and it. would to of a I be

It can a It recap. come of come portion disposition Our sales, combination opportunities forms. substantial the from from a or the of can recap traditional timber mentioned. all various really come in after are can timberlands a

for an to timeline hard where it's put with us it So we are acceleration associated and that. on a on really

Craig Kucera

guys it. or this, Got change quarter? first And put may missed guidance existing out to you was in I the but XXXX have any there the update

Ursula Godoy-Arbelaez

May, Hey. Good so morning, have back are reaffirming in we guidance, there published too. changes our there's no which No, Craig. we

Craig Kucera

you. Thank Terrific. Okay.

Brian Davis

Thanks, Craig.

Operator

And Davis closing concludes like this back the remarks. ladies to to turn question-and-answer and for over Brian gentlemen, the I'd session. any conference

Brian Davis

healthy safe. your And thank We'll Rocco, you to you talk remain you, hope for third time. the we quarter. Thank you and in and

Operator

conference today's concludes presentation. you This We for sir. you, call. all Thank thank attending today's

and have wonderful may day. a now You disconnect

CatchMark Timber Trust (CTT) 4 Aug 202020 Q2 Earnings call transcript