Land sales hit Plum Creek profits
21 August 2014Earnings at Plum Creek were lower in the first half of the year despite a 30% boost in operating income from its timber operations.
The US group was held back by a 24% fall in revenues from its real estate operations, which were US$100m, compared with US$131m for the first six months of 2013.
Manufacturing was largely unchanged at US$184m and energy operations up US$7m to US$18m. However, revenues from timber were up 15% from US$316m to US$363m.
"So far this year the operating income and cash flow from our timber resources segments are up nearly 30% due to improving log prices and the additional harvests from lands we acquired in December," the company said.
Earnings were US$85m on revenues of US$673m, compared with US$102m on revenues of US$643m in 2013.
