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Weyerhaeuser Co (Weyerhaeuser Co) Operating Income : $1,147 Mil (TTM As of Dec. 2023)


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What is Weyerhaeuser Co Operating Income?

Weyerhaeuser Co's Operating Income for the three months ended in Dec. 2023 was $228 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $1,147 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Weyerhaeuser Co's Operating Income for the three months ended in Dec. 2023 was $228 Mil. Weyerhaeuser Co's Revenue for the three months ended in Dec. 2023 was $1,774 Mil. Therefore, Weyerhaeuser Co's Operating Margin % for the quarter that ended in Dec. 2023 was 12.85%.

Good Sign:

Weyerhaeuser Co operating margin is expanding. Margin expansion is usually a good sign.

Weyerhaeuser Co's 5-Year average Growth Rate for Operating Margin % was 6.40% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Weyerhaeuser Co's annualized ROC % for the quarter that ended in Dec. 2023 was 5.98%. Weyerhaeuser Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 37.88%.


Weyerhaeuser Co Operating Income Historical Data

The historical data trend for Weyerhaeuser Co's Operating Income can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Weyerhaeuser Co Operating Income Chart

Weyerhaeuser Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 744.00 1,623.00 3,577.00 3,099.00 1,127.00

Weyerhaeuser Co Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 290.00 238.00 329.00 352.00 228.00

Weyerhaeuser Co Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,147 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Weyerhaeuser Co  (NYSE:WY) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Weyerhaeuser Co's annualized ROC % for the quarter that ended in Dec. 2023 is calculated as:

ROC % (Q: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=912 * ( 1 - -1.39% )/( (15724 + 15223)/ 2 )
=924.6768/15473.5
=5.98 %

where

Note: The Operating Income data used here is four times the quarterly (Dec. 2023) data.

2. Joel Greenblatt's definition of Return on Capital:

Weyerhaeuser Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2023 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2023  Q: Dec. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=1152/( ( (2620 + max(353, 0)) + (2739 + max(370, 0)) )/ 2 )
=1152/( ( 2973 + 3109 )/ 2 )
=1152/3041
=37.88 %

where Working Capital is:

Working Capital(Q: Sep. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(443 + 528 + 186) - (496 + 135 + 173)
=353

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(354 + 566 + 219) - (596 + 0 + 173)
=370

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Dec. 2023) EBIT data.

3. Operating Income is also linked to Operating Margin %:

Weyerhaeuser Co's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2023 )/Revenue (Q: Dec. 2023 )
=228/1774
=12.85 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.


Be Aware

Compared with a company's EBITDA margin, Operating Margin can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin may decline. Often the Operating Margin declines well before the company's revenue or even profit decline. Therefore, Operating Margin is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia's Operating Margin had already been in decline since 2002, although its earnings per share were still rising. Investors who paid attention to Operating Margin would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Weyerhaeuser Co Operating Income Related Terms

Thank you for viewing the detailed overview of Weyerhaeuser Co's Operating Income provided by GuruFocus.com. Please click on the following links to see related term pages.


Weyerhaeuser Co (Weyerhaeuser Co) Business Description

Traded in Other Exchanges
Address
220 Occidental Avenue South, Seattle, WA, USA, 98104-7800
Weyerhaeuser ranks among the world's largest forest product companies. Following the 2016 sale of its pulp business to International Paper, Weyerhaeuser operates three business segments: timberlands, wood products, and real estate. Weyerhaeuser is structured as a real estate investment trust and is not required to pay federal income taxes on earnings generated by timber harvest activities. Earnings from its wood products segment are subject to federal income tax. Weyerhaeuser acquired fellow timber REIT Plum Creek in 2016.
Executives
David M Wold officer: VP & Chief Accounting Officer C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Keith O'rear officer: Senior Vice President C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Denise M Merle officer: Senior Vice President C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Devin W Stockfish director, officer: President and CEO C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
James Calvin O'rourke director C/O THE MOSAIC COMPANY, 101 EAST KENNEDY BLVD., SUITE 2500, TAMPA FL 33602
Albert Monaco director #3000, 425 - 1ST STREET SW, CALGARY A0 T2P 3L8
Travis A Keatley officer: Senior Vice President 220 OCCIDENTAL AVE SOUTH, SEATTLE WA 98104
Adrian M Blocker officer: Senior Vice President C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Nancy S. Loewe officer: Senior Vice President and CFO 351 PHELPS DRIVE, IRVING TX 75038
Russell S Hagen officer: Senior Vice President and CFO C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Deidra C Merriwether director 100 GRAINGER PARKWAY, LAKE FOREST IL 60045
Nicole Weyerhaeuser Piasecki director 2000 WELLS FARGO PLACE, 30 EAST 7TH STREET, SAINT PAUL MN 55101-4930
James A Kilberg officer: Senior Vice President C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104
Marc F Racicot director 1411 E. MISSION AVENUE, SPOKANE WA 99202
Lawrence A Selzer director C/O WEYERHAEUSER COMPANY, 220 OCCIDENTAL AVENUE SOUTH, SEATTLE WA 98104

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