Plum Creek Timber Company has seen its net income increase by US$10m during the third quarter, as it benefits from “geographic, resource and business diversity”.
Revenues from timber rose from US$190m to US$194m year-on-year and real estate saw a jump from US$94m in 2007 to US$108m in 2008. Revenue from its manufacturing operations dropped from US$119m to US$104m.
This saw overall revenues increase from US$407m to US$414m, operating income up by US$1m to US$99m and net income from US$59m to US$69m.
“We’re pleased to report increased income during the third quarter, reflecting the benefits of Plum Creek’s geographic, resource and business diversity,” said president and chief executive officer Rick Holley.
“While we are concerned about the state of the overall economy, we are confident that we can continue to build and deliver value for our shareholders by managing our resources and effectively allocating capital for long-term total returns.”
Mr Holley added the company is in “excellent financial shape” as it enters the final quarter, aided by its recently completed southern timberlands joint venture with the Campbell Group, which has provided it with an “untapped US$750m line of credit and cash in excess of US$270m”.
