RYN - Earnings call transcript Q3 2024

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Welcome, and thank you for joining Rayonier's Third Quarter 2024 Conference Call. [Operator Instructions] Today's conference is being recorded.

If you have any objections, you may disconnect at this time.

Now I will turn the meeting over to Mr. Collin Mings, Vice President, Capital Markets and Strategic Planning.

You may go ahead.

Collin Mings

morning. good and you, Thank Welcome to quarter covering investor teleconference third earnings. Rayonier's

like were statements website afternoon would made that pursuant and provisions forward-looking earnings safe federal we released these at remind presentations, in financial I to our Our statements on securities supplement yesterday laws. include you available and rayonier.com. harbor the to of are

differ forward-looking let's Throughout that and our comments Our opening list some SEC discuss Mark reconciled we filed with may these actual They referenced non-GAAP earnings cause teleconference the in are release Mark? McHugh, the also nearest supplement. from and of defined our the that, on Forms are XX-K measures GAAP which and materially start results make. may presentations, Page to to release the will our with statements our and factors from XX-Q financial also of financial and we CEO. President earnings measures, materials. With supplemental X

Mark McHugh

everyone. morning, Good Collin. Thanks,

million. results. the like discuss results earnings reviewing then quarter, April we to Then Vice to timberland totaling and timberland represents yesterday for concurrent capital realignment as following before part April and completed consolidated segments, disconnect balance the properties, asset review timber plan, with is $XXX it comments from Chief private price. implied the and turning market share continue real afternoon, to trailing timberland total and the we Tice, Officer, an the by quarter average I'll third dispositions what afternoon. the price of on Financial XXx year. Yesterday Before disposition The Long, President Timber financial valuation ask outlook first results. announced the review estate release our some our illustrating discuss announced will over between Executive results high-level believe implied announced a for our for our Resource purchase to of acres dispositions the And of company's our and the make comment EBITDA Senior Zealand these and significant U.S. I'd values X-year our New XXX,XXX We'll Officer, aggregate Doug of Chief President structure multiple previously Vice our and of on an we our value EBITDA to pending

timberland to of flow XX,XXX We approximately roughly long-term and which also cash XXX,XXX fourth approximately of and accretion acres generate proceeds further that growth high-caliber markets expect Washington. our have in Three of X CAD were of deals, the share the through comprise end most the in investors to portfolio dispositions is per and remaining X%, institutional transaction and before favorable close transactions Olympic the Southeast during sold expected forma while prospects. The acres separate Northwest will the the in concentrating consist with the XX% pro strongest quarter, total attributes these Oklahoma already of closed the on the Peninsula timberlands collectively year.

capital million will other X.Xx of proceeds further the be forma generating net remaining $XX used our already that decline we have debt we pay and debt, fund only leverage, the reduce allocation priorities. the unhedged capital floating proceeds rate to return to shareholders down to or expect will are these Importantly, approximately proceeds pro dispositions leverage EBITDA, deleveraging. Pro to for significant adjusted to forma for dispositions, used

distribution before a expect billion of distribution $XXX taxable special original million, the As REIT meet result our roughly the our introducing to enhance year. Since shareholder special dispositions $X the details target. have announce we November, value of of announced our We initiatives distribution pending timberland to requirements. last now these or X/X to end completed dispositions, the totaling of make to a we income plan

portfolio management balance active our underscores plan sheet Our this management. execution of and capital focus prudent allocation, relentless nimble on

the a in our the supplemental details presentation posted Additional impact regarding to provided website. pro forma are Rayonier and for dispositions

the third period we per year adjusted our of net million, was $X by X% stumpage third The on on comparable Drilling and quarter lower Northwest largely Timber net third adjusted period income volumes attributable offset and million million segment. XX% weighted net Overall, harvest prior results, move X% Timber year realizations. In million of of segment, EBITDA as offset partially was let's down to or average our Zealand New our Now generated the to income Timber quarter significantly contribution in primarily Pacific adjusted year to share. $XX higher results. weighted $XX segment in further generated XX% lower in realizations. which quarter a prior $XX versus decline operating and million $X.XX third prior adjusted decrease of Southern increased a volumes our the Timber segment from favorable versus EBITDA in increase was pro a harvest average forma EBITDA $X our a non-timber as EBITDA decline were stumpage by costs quarter quarter

to New Turning Zealand segment. Timber our

ahead adjusted range on reflects and This impact over revision and our of the generally harvesting details around the our decreased prices these period million. shipping EBITDA largely me million generated adjusted quarter full ceased per operations $XXX $X on as results. timberlands by our turn guidance of lower credit of for sales our dispositions carbon $X $XXX elevated pending adjusted the to year year-to-date $XX was year of we the third partially as average quarter. and process. With a by EBITDA on earlier sold. Based the let stumpage realizations, primarily Third due from costs. the midyear to up prior weighted of sales are completed million the more we expectations that, performance to The decline prior net million year, for quarter driven year our $XX discussed we million Real higher April financial balance versus updating adjusted average XX% EBITDA quarter third lower EBITDA were in decrease acres acre in In offset it to million, segment, Estate

April Tice

Thanks, Mark.

operating $XX period. share. pension million per third the $XXX,XXX Pro included on a $XX in forma third quarter, totaled quarter $XXX charge. Adjusted net Sales to million items in On X costs per to was settlements, was recovery income million, $X.XX of Page share. basis, $X.XX $XX and $XX Moving down EBITDA disposition third a the the highlights and the net from plan to while million in year prior the $XXX,XXX or income financial our quarter million attributable forma a pro of on legal the income was $XX or million net million $XX Rayonier was for settlement supplement. related

we bottom resources our the X, an of provide Page On overview capital of and liquidity.

million cash available first by for prior versus The Our with reconciliation or and debt. for the interest partially cash year distribution, decrease cash to net $XXX provided operating CAD driven by was the the million million $XX offset lower year of months and of lower the EBITDA, GAAP on paid. in financial by cash provided supplement. We period. roughly other was third CAD, adjusted $XXX X of measures closed is A $X.X X of of quarter activities the Page billion

of XX-month At debt quarter maturity maturities debt trailing to significant debt X.Xx. portfolio adjusted cost our approximately approximately was average of average weighted end, years debt until weighted and XXXX. EBITDA with was our the X was net approximately X.X%, no Our

our XX%. end the enterprise stock Our closing price at was quarter to value on the of net based debt

only we As pending Subsequent net reduction Mark estimate $XX rate for in approximately X.X%. we quarter adjusted discussed, to dispositions, that million which leverage used the floating to imply our forma pro to average debt the debt, to pro X.Xx. proceeds completed forma reduced cost approximately weighted and of end, unhedged will disposition our of the off of debt pay EBITDA

now aspects the well posted Oklahoma as of results. detail and review to the Doug to website, capital an the over provide turn more structure call key our and presentation pro of supplemental of provide our as Washington the our maturity a Within debt forma Timber detailed overview we to dispositions profile. I'll

Douglas Long

Thanks, April.

Let's volumes, quarter comparable stumpage lower slightly strong million quarter Adjusted EBITDA year from $X.X revenues third region million mills. Meanwhile, by Total land-based were Timber of as costs harvest revenue. and net prior wet non-timber quarter $XX sawmill to higher the the demand than versus volumes as our realizations as by stumpage lumber ton, a increased demand Atlantic roughly in constrained relatively Southern in segment. the the a period, a per year start away $XX X higher the the average year X% our decrease to prior weighted Page in compared translated harvest region. Pulpwood end pipeline ton. per lower prior prices offset $XX prior was at market quarter prior that pricing prior due and on softer was Stable to availability due higher our higher with to well was chip our year X% revenue Atlantic markets versus X% and to pricing non-timber weaker year stumpage production supply driven higher-priced conditions Overall, pricing ground growth XX% year fell quarter from the U.S. grade the pulpwood per $XX shift geographic period quarter markets residual the reduced decreased in mix stumpage of sawlog ton. across improved most net roughly into Average third business. versus solutions in and

demand have weighed year rates the cycle XXXX. following that the pulp operating Market inventory past prices rebounded have South. containerboard and improved on destocking over heavily in

levels. That continued to overall there challenged soft in demand conditions recently, Southern housing softness when Log up with demand weakness Pine and XX% producers lows market Yellow to Encouragingly, markets. in September demand. prices lumber from and and lumber the production responded been Pine grade are quarter Yellow due Southern significant third now has picture throughout to said, remodel markets. Turning a lumber weak rebound in was curtailments by the mill continued for reduced repair lumber remains which

hurricanes relates U.S. to the that it the impacted As

the of Hurricane of timberlands roughly minor. Georgia during that estimate and and South suffered degree X,XXX our some October, as to a Helene. acres of Florida We result portfolio across direct damage impact September currently was our

the We and have will now being be salvage were the more severely cut. of started which operations of in process tracks, impacted some clear thinned on

of but to due the of short contribute storm operations wet by quickly. respect be events conditions there term, We expect the salvage minimal no across to ownership. were to Milton, damage at the and notable but impacts wet QX. With to normalized Hurricane did production largely Florida our the activity operating In our mills operations was already completed fairly some there harvest timberlands end weather our customers' to some to

of will in the of Florida However, operations wind salvage the for parts thorn Georgia of throughout supply couple we timber contribute next quarters. elevated areas to and expect these

compared the higher period thus by fir continued as far market log harvest prior proportion domestic headwinds quarter by X% of was export offset our lower combination period. EBITDA quarter. as stumpage segment in log the of the above in per ton, third domestic for to year Northwest the from quarter. but versus lumber Volumes down volumes million pulpwood largely the on demand primarily were and exports. lower XXXX, year stable a due weaker The third Timber domestic $X of the demand lower average million $X reduced at increased Pacific realizations from driven lumber XX% during has well costs. from sawlog to per Northwest market both to in remained decreased quarter markets XX. delivered mills challenging was face year tension as $XX quarter The pricing and Moving a reduced was as ton, prior to net prior XX% Douglas volumes. Meanwhile, $XX increase Page Adjusted pricing year the prior At third year-over-year fairly Pacific

move However, reached prices translate to should to year, continue are earlier this prices XXXX. recover higher lows we the into as log as this lumber optimistic we that from

XX gains compared year have period to meters the of slightly driven due by EBITDA credit year up quarter. from pricing in stumpage prior results The was Chinese delivered more $XXX in generally higher the China's levels approximately Inventory demand weaker export key realizations. segment. Zealand was ton below Zealand. were Average October, prior primarily offtake carbon New per XX,XXX the decrease our EBITDA million the compared quarter, property shows Page ports port from the by environment third of sector. prior to to in lower demand and for $X lower the net $XX sales day, ongoing metrics Moving Adjusted quarter costs. In year and New adjusted operating per adjusted prior softness and Timber than million prices levels, year these was environment increased to to although cubic freight XX% offset but remains challenged. sawtimber

ago. Shifting As to of log the X.X to softwood meters a market. at at ports comparable cubic where early were November, inventories year million they domestic New approximately Chinese stood Zealand

prices the quarter year sawlog Third from period. delivered average increased X% prior

stabilization as rates encouraged in have increased by Zealand persist, economic confidence eased. property market are we consumer and signs of New While headwinds interest

deferred million The Zealand sales Third XXXX. over remainder active earlier elevated carbon third as firmed the in credits New reflects to sales $X that current market reduction were quarter a relative income period year-over-year of had prior the the non-timber XXXX in the $X lower anticipate announcement in has auction from in we We decrease the carb in the the quarter of following in available sales Zealand decreased remain of year amount we million will credit because pricing year. the New year XXXX of period. as in of

a the registered Lastly, breakeven in result segment, Trading quarter. third in our we

turn to are Timber our Real April now and As scale to a back trading over our cover activities economies primarily provide Estate designed Fee reminder, our additional business. I'll generate of it to results. export to low margins typically

April Tice

Thanks, Doug.

the the Page per Wildlight on higher of $XX on XXX detailed completed Real price The improved the price period. Real year the or EBITDA our $X,XXX development acre $XX Estate sales $XX,XXX X,XXX $X.X the reflects an the sales acres was higher XX, million. period. Jacksonville, Florida, roughly million segment of for down, at totaled residential was closed segment third of from prior compared during improved proportion sold revenue per project quarter million. as development totaling acre. we quarter sales in X in per average As strong third to contribution our acre. $XX million the acres average totaled Real during estate In Drilling category pod north development adjusted Estate slightly

project or acre. Heartwood nonresidential sales X development Savannah, our consisted We per also Georgia, had million of $XXX,XXX small $X.X Wildlight sales $XXX,XXX. In in X.X acres south of totaling for

projects remains County, $XXX,XXX be We the parcel recently from Kitsap are to runway both at and acre. continued Washington within expect in Wildlight, There the Phase we continued in Wildlight sales the long trajectory. manufacturing to Heartwood, Hyundai response Heartwood healthy as opened, or and Mobis pipeline In of demand per also year. In growth future encouraged of interest materialize challenges commercial project both pace rate sold close the remain our sales as taking projects, the homebuilders $XXX,XXX an by at for interest facility continues area. industrial--use to in longer and next the economic we first to opportunities momentum continue on we a deals contending of relatively discussed future some in X favorable of with the see last both in environment. higher a the Despite are to quarter, to due that developers the

to Turning category. the Rural

and Rural consisting per increased in an totaled favorable, acre. interest price markets sales been at in overall approximately quarter The properties remains acres $XX certain and $X,XXX recent average X,XXX see Third million, to of pricing for roughly we months. demand encouraged have of buyer

during with the rural are we an of Overall, economic impact in further optimistic to for as and and into Real relatively spur important to That the rates of momentum properties. that pipeline both sales buyers, some transact. will activity sales willingness as our we head addition, rates approach we strong and continued interest lower XXXX the Estate interest development to to said, in buyers demand XXXX. contributed with component quarter interest business In uncertainty, year-end our we conservation-focused pleased coupled from continue see continue elevated which remains are

Rayonier quarter, range for EBITDA Based results, expect that moving be $X.XX, earnings our in expectations million the year full net earnings disposition the We of share per and of year full $X.XX. $XXX million recent to million, now outlook $X.XX adjusted Now attributable year-to-date $XXX forma income balance $X.XX will to $XXX pro further the to our on for activity expect XXXX. of we share $XXX and to to million. to fourth our of of on per

preparation ceased Our midyear around from the revised operations generally for disposition process. the reflects sales guidance reduced the harvest in properties as volume

Timber As the respect lower segments, pine the lower expect guidance full we XXXX markets. which in harvest we financial that disposition range impacts tons, segment, of our as mix, our individual impact of weather-related of Florida slightly quarter be and excluded approximately the volume to less of as quarter is and certain below potential to plan. With Georgia. a volumes asset X in reminder, to impact million due in Further, part sales the prior salvage the the our due compared Oklahoma prior in slightly Southern of year our prices as stumpage lower will disposition well anticipate guidance as sawlog end realizations geographic fourth third the to favorable

to XXX,XXX X.X expect Northwest year further our we lower third full in to and for adjusted solutions sawtimber to price We expect due EBITDA compared as below approximately year we lower expect segment, disposition to which Timber of Overall, realizations Lastly, to full remained slightly quarter. Southern acres our income higher we guidance Timber be of EBITDA full Washington. business, Pacific we in the below modestly X.X guidance Pacific the the adjusted below year land-based Timber full full end Timber anticipate our New million tons, the year X.X guidance segment, end track range. In XXXX. our prior we continue tons. are year to relative non-timber the achieve our the expect of lower to approximately XXXX on million prior momentum harvest prior Northwest by volume Overall, range. In our Zealand encouraged of full is guidance our slightly million year we of volumes now

and markets on elevated EBITDA Real year expect we segment, we below range softer credit Estate prior lower our to guidance New to In shipping Timber fall due turn Zealand now modestly transactions. I'll export our full adjusted our full sales, EBITDA fourth quarter However, carbon large costs. timing of strong several and within comments. guidance range, activity the year adjusted closing prior expect back contingent to for call to Mark the continue closing

Mark McHugh

Thanks, April.

to the platform. facing businesses. unlocking on real with unrelenting advancing executing capital advancing on As having fronts disposition and how of of proud our has timber and development asset we I'd our conclude these the the our like very on strides year. These plan, this past value challenge. important our focus communicated to each today's contend difficult realignment solutions despite over strategic include significant headwinds I'm in call, also initiatives team's our We've risen structure recognize made to estate that we've team our business initiatives land-based embedded

dynamics in pulpwood improved for supply-demand U.S. the While

spot been has more than have South a across in offset relative bright sawtimber markets this footprint. XXXX, in continued been by our weakness

macroeconomic through headwinds housing navigated translate Although pleased move environment U.S. I'm continue also optimal our further with adversely rate how end improved market, we to these market achieve should cuts relatively XXXX. a to by that impact I'm challenges an to coupled has team undersupplied demand, into as results. optimistic operating

we're to our year front, on On the finish closing a poised anticipated pipeline the very Estate Real strong based of quarter with activity.

our of generate development we're Our financing we ambitions optimistic conditions timberland continued earlier premiums categories. Meanwhile, entitled that make could to and remain the demand Day detailed properties team strides the advancing land-based favorable this in estate continues significant have to our year, the rural values at with our more both across we and our real we seeing solutions projects, sale business. significant acreage to through in consistent further Investor bolster

development storage, by year-end. capture under acres option over and have for for acres XX,XXX solar XX,XXX and carbon to approximately have now we Specifically, expect lease under

improve last our toward strong by the disconnect completed the the targets we the out as I we sheet, a additional profile. public target. we're of build strengthen with return us disposition progress opportunities we in on with counterparties dispositions growth at EBITDA and $X announced that goals detailed between values, that laid February. And significant toward the date when high-quality encouraged we've lastly, our diligently the billion to start work private communicated to our very and long-term November, Consistent to we allowed of capital to XXXX capitalize have the shareholders call, plan the and continues pipeline as timberland XXXX team made balance Our

accretive and execute to growth notwithstanding share. In back per forward. That shareholder able transitory quite is sum, optimistic to positioned been both to opportunities questions. a I'll our enhance the market CAD the team Rayonier future call further for that headwinds NAV to and as manner navigate, concludes execute remarks, to plan in continues prepared and value have on we now the that move We our well turn I is the operator remain

Operator

Instructions] [Operator Our Matthew with McKellar RBC from Capital question comes first Markets.

Matthew McKellar

first maybe process color Congratulations you to more the provide business? And in of your maybe strategic billion bring on target? how stake you your further towards on the alternatives New for transactions. Could holistically, around the Zealand dispositions options bit for where $X is your evaluating you evaluating are a

Mark McHugh

that is this Matthew, Mark. I'll one. take

and New New our engaged venture to have report much alternatives we new anything Zealand First That relates the of of venture be would that of a evaluation the interest that with that been ongoing, process in longer as evaluation, we've Recall joint governance prior indicated we all, on previously as don't the joint process it full respect status process the discussed agreement a in provisions given calls, the this front evaluation to to strategic Zealand. is there. really Zealand on we New point. in at

comment further we're in still not time. process to So but in through much again, at a position working that we're point this

kind to or laid target some speculation is there's and $X billion recognize of calls, dispositions a As that and on of don't until that we as comment kind of any we prior a the plan on disposition transaction around definitive as M&A that relates of elevated future may contract. evaluate, we our But discussed it broader out year. matter, given level plans general we an closed last type there interest the

transparent options it what past consideration to relates So have very under been the been over we have as year.

time. achieved out with original of that of completed provide much what evaluating might we we're our set the original to do consideration in still target at be We've not to now, under New at planning having we're alternatives where Given essentially plan. and other further around alternatives this X/X any Zealand, details

our of New So opportunistic as to it to at including dispositions be this we intend additional relates very point, Zealand. any consideration

Matthew McKellar

next, China expect your on beetle-affected there Great. do you side, wanes? comment into On terms harvest of supply in through seeing you you from the on and evolves reduction supply in as how what how stimulus then could those log market are demand the And Maybe to in in measures expectations the Europe China demand? side, XXXX? for flow

Douglas Long

is This that in share Yes, much particular, I'll this Sure. taken China. come Doug. on supply mentioned a a demand at take now, greater stable of kind mentioned Europe supply have the time supply side, one. you Right from seen I in supply up but as before, reduction down. we the of and New in Zealand is the as into incoming relatively the point has has

we're housing. created did past waitlist this rates they've see you stimulus seeing talked has what positive in worked we movement about, more against quarter, for us. shipping But The some and the price stimulus, government there. as increased done has that So pumped the

and And goes so we're unclear forward. us opportunities how that go some that as long hoping given forward. that's really people, will short-term opportunistic for been it's But

of the working we're up coming volume had we've goes. a now, Zealand but New that's majority basically, improvements she right So of assumptions But as has in taken that now. the with it's volume on steady kind

Zealand for that's our So operations. pricing for been New positive

Operator

Pettinari with Anthony is question next from Citi. Our

Gregory Andreopoulos

This is Anthony morning. on this Gregory for

quick a dispositions. one the Just on

a I'm at taking look deck the So slide now.

Northwest about Southern the the should Pacific of how to we quality, mix, expect ton smaller lower portfolio a wondering think site a of acreage. the the if impact any tailwinds that index the land we Or pie sale dollar it's is commercial much basis? included on impact Oklahoma if You piece operable into on acreage, I'm portfolio, log the slide a on granted should there. per next price year helpful

Mark McHugh

Yes. much the the question. of recognizing the is to talking good portfolio, the dispositions, Washington a XX%, did about forma portfolio. XX% were Southern portfolio. impact pro portion we smaller that, And No, overall we overall it's a With of a that include respect on

residual like. Oklahoma, of to portfolio portfolio. impacts looked kind were material overall of that With our So some to pretty respect there what X% Southern that's

impact value that properties pronounced. That a So acre broader than just at the Oklahoma transact general per much as a that the all -- be to wouldn't tend matter, lower said, U.S.

Productivity there. in less or be South. much tends there's are to Markets thinner Oklahoma. and upside certainly HBU lower alternatives

a wouldn't to to given small I But overall impact it piece on of of is. really an certainly, it again, So log see just addition through the kind as portfolio how overall relates business subtraction. we relates and portfolio, the driving it impacts as as significant certainly as it view pricing, the it a it how upgrade residual

Gregory Andreopoulos

And Understood. more just specifically. on timberland's cost one maybe

South EBIT the the looking a costs year-over-year maybe at Pacific Northwest. bridges and you the the I'm and So the in slight in for and South year-over-year Northwest, Pacific had flat tailwind

bucket kind there of fourth So into am quarter. if down moving cost you I we the can break wondering your pieces and how should the about think

Mark McHugh

relatively the is you're U.S. seeing, you in What said, stable as Sure.

we in higher Oregon in operations. costs. The in Washington we cost Pacific operations than South. had And seen were our Northwest, reduction operations particularly have those we in some had in

reducing some country. reductions. just our impact recently that an ground -- fuel are some the seen there had we've those the we've disposition also of higher in well on So costs impact a as And operations positive announced steeper as

we expect some also we so reductions opportunities for there And operations. change cost as the

Operator

[Operator Instructions] with Our Mark next Seaport is question from Partners. Research Weintraub

Mark Weintraub

Congrats the real One the follow-up quick on disposition on progress that. program. on

CAD, understand accretive the CAD. mentioned obviously, -- to I You

mean share. said You accretive also you by to What did exactly? NAV that per

Mark McHugh

valuations timberland is assets we in versus general thesis stronger this I much seeing market. the key the of one mean the public that as program underlying a are market of disposition private matter,

NAV for And share buybacks translate would accretion. so obviously, think we're example, deploy monetizing we generally properties in into the to public those market into and proceeds that, that internally, using

impact around of the proceeds. And so that and statement approaching of how allocation plan we're deployment was kind capital of really of overall a the more

Mark Weintraub

it. Got

get. valuations on of putting was the would as it trying on That was So you say you a putting perhaps internally basically getting the sort it to to clarification than opposed markets value were implied relative I you what what the was a it. to public se, were statement per higher just

Mark McHugh

yes. That's absolutely right,

Mark Weintraub

that on that, to Okay. about not them then that should to Very fair to transactions But preclude obviously, Does $X Or that dispositions, case, that of to into good. et necessarily might were billion if possibility be take $X specifics would you then is be look be above And XX% like how you providing it reinvesting cetera. the going we you're, meaningfully as thinking be billion? say you're acquisition other recognizing target. the opportunities? incremental you the roughly to that? say, And

Mark McHugh

Zealand, terms appetite target the we And the do that considering generally prior that Yes, something X/X look, it's hasn't of being great Zealand, we've of as because touched calls relative think deduced how we target, talked our calls to New just in And that. take obviously, I still it our through on about of us to question. were potentially New sort around this really to a billion on over certainly in overshoot $X view original way in would prior the changed. you

compelling exchange deliberately While the other have Alternatively, we're if allocation if And nimble doing some assets target, other could of take we management, exceed to achieve value we averse Look, timberland to intend delever always able adhere building with we've view look target, that we might continue see operated particularly incremental portfolio not this as to mindset or we're do with long-term for we acquisitions that to a those buyback like-kind on we opportunity. to taken shareholders, if to return certainly a alternatives billion to capital market the looking values to compelling really not active to we're consider share. overshoot per so and or example. going we've flexibility to transactions, forward. market we to to mindset redeploy further capital in towards through proceeds future. And into were the $X our

Mark Weintraub

And quick helpful. Very Great. Okay. then One, being how with year this so last the much X of the ones. EBITDA disposition? associated properties part was

Mark McHugh

Yes.

all disclosed this isn't with in recognize seasonality scale again, particular of the just sort patterns relevant contribution given of just different property a any of haven't and respect to because, be harvest We going like. the period short-term that areas that year that to

average to similarly situated that around then X-year the we But and look multiples harvesting $XX general that And so compared that indicated NCREIF multiple matter, in that, X-year on we ceased indices. we rather, a generally as was back million midyear. a that showed

it general year kind you a how were about of of half as of thinking matter, we roughly million partial contribution the is that as think can $XX contribution. So

Mark Weintraub

end Helpful. to further solar, you year. being lastly, XX,XXX XX,XXX year? Or by potentially fruition solar -- little particularly you beginning are you. And road? projects, mentioned still next the coming come to in to those Do Got a CCS, then expect any these the of of down exercised the

Douglas Long

question. Yes, that before, options is going of Doug. This least now, X talked we've I'll process think And at as that take X looking I in those these before Yes. being about at we're or still typically years right take exercised. go. into where

there turning see confidence into in us going pretty So that's some be forward the I basically that a that to solar see immediate are anything some excited lease. don't about. developments improvement we'll But some and give area going

and going people basically implemented And to the that is order, they backlog. Commission processed. is due Regulatory aimed now, forward. they've a issued Energy backlog what getting make things in it. queue Right there's for to enter before diligence it's it Federal done order going have an go improve the of reduce some XX-month this sure process into the the these new it's we does to really And about So as

focuses here you do it key on, been our time land at are that's implements everything the they a plan. But start. just as so folks basically a before so And here's some when got ready, place? And are, in of it essentially you we deposit order, the and then have control challenge said, new

in, then if you got penalties. go if also the deadlines, withdraw you some you penalty when process and put a money miss you to So upfront

well But time. that as an through there this improve this So shift rates temporary have But work amount believe kind in positive we in to for that this see into exercising hope to and point and expect so. of see opportunity we do these should more the into as backlog start the we conversion sector very as next of to go leases year here from will the quickly we're options that reduce over some backlog through forward. or still a you we as working at

to and industry money improve in the also this, that But and the to rates. size an end to going about XX% with that of that we've on average reduce thinking Before kind we as we have dollars, project seen talked of penalties the the now a the XX% that. that put backlog higher was on we're of folks conversion rate depending down be lot more penalties, going these of the millions and think and that's to

Mark McHugh

to now properties diligence anticipated Mark, lot will the add I like front really that what seen to higher we've reforms of the a that I'll year that. am referred is to, occurred, occurring of that, that key ago. just a than year arduous. these quite bit is is last byproduct process on the that at the option be get more we more I what under is rate expect in mean I based But due a conversion end. that work on we have considerably Again, that

we XX% communicated our think given happened that conversion with at higher be reform. We're Day, our XX% Investor that certainly anticipating of to I to estimate rate. what's key is

Mark Weintraub

Would Or just that in, future? would that in the be to your comes anything existing backlog? that apply for

Douglas Long

bulk of good Yes. our existing I the feel about backlog.

scale. have we been So focusing large on developers high-quality really and

and we large But producers books and no these on options have more space. electricity have already kind of consumers line. So sellers. we're of our in of rolled are also in that electricity that be the we've now we're going working probably developer early been now folks with we very off some to but And the with projects working good in entered in longer believe XXXX

we're And about so we good feel where at.

be applied still they believe, of be doesn't that bulk do conversion but will conversion good off that rates. to strongly mean the we that have feel it. about have some It roll there we So won't rate, what now, we

Operator

will there And at questions turn no Mings back time. call remarks. for further closing you. I this the Collin Thank to are

Collin Mings

thank like Mings. Please for us. is This right. everybody follow-up Collin to questions. joining I'd All contact any us with

Operator

That participating. conference. you. all for conclude Thank Thank today's does you

disconnect at this You may time.

Rayonier (RYN) 7 Nov 242024 Q3 Earnings call transcript