Overview

• Land resources REIT's Q4 revenue and adjusted EPS beat analyst expectations

• Company completed merger with PotlatchDeltic, forming a leading land resources REIT

• Q4 adjusted EBITDA beat estimates, driven by core segment performance

Outlook

• Rayonier expects Southern Timber harvest volumes of 12.1 to 12.6 mln tons in 2026

• Company anticipates Northwest Timber log pricing to be higher in 2026

• Rayonier forecasts Real Estate Adjusted EBITDA of $180 to $200 mln for 2026

Result Drivers

• MERGER COSTS - Rayonier's Q4 results were affected by $6.3 mln in costs related to the merger with PotlatchDeltic

• SOUTHERN TIMBER - Adjusted EBITDA fell 8% due to lower stumpage realizations and non-timber income, despite higher harvest volumes

• REAL ESTATE SALES DROP - Real Estate segment sales and operating income fell sharply due to fewer acres sold and absence of large dispositions

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q4 Revenue	Beat	$117.50 mln	$110.06 mln (5 Analysts)
Q4 Adjusted EPS	Beat	$0.20	$0.11 (5 Analysts)
Q4 EPS		$0.16
Q4 Adjusted Net Income	Beat	$32.10 mln	$18.84 mln (4 Analysts)
Q4 Net Income		$25.90 mln
Q4 Adjusted EBITDA	Beat	$61.70 mln	$55.35 mln (5 Analysts)
Q4 Operating Income		$27 mln

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the specialized reits peer group is "buy."

• Wall Street's median 12-month price target for Rayonier Inc is $26.00, about 15.9% above its February 10 closing price of $22.43

• The stock recently traded at 45 times the next 12-month earnings vs. a P/E of 42 three months ago

Press Release: ID:nBw81hPfSa

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