Rayonier Inc. Q4 Earnings Rise; Announces Spin Off (RYN)

Shares of Rayonier Inc. (RYN) were up over 11% on Monday morning after the company reported earnings above analysts’ estimates. 

RYN’s Earnings in Brief

RYN reported earnings of $80 million, or 62 cents per share, up from $76 million, or 59 cents per share a year ago. Revenue for the quarter was $520.2 million,  above analysts’ estimate of $442.36 million. FY2013 earnings were $372 million, or $2.86 per share, compared to $279 million, or $2.17 per share last year. RYN also announced that it now plans to separate its  from its Forest Resources and Real Estate business. The spin off will result in two separate publicly traded companies

CEO Commentary

Paul Boynton, Chairman, President and CEO commented: ”As part of our strategic planning process, we began in-depth analysis and preparation for the business separation almost two years ago. With an improving U.S. housing market, strong timber export markets, and the successful expansion of our cellulose specialties capacity, we concluded that now is the optimal time to pursue the separation of these two non-integrated businesses.”

 RYN’s Dividend

RYN paid its last quarterly dividend of 49 cents on December 31. The company is expected to declare its next dividend sometime in February.

Stock Performance 

Rayonier shares were up $4.57, or 11.10% during pre-market trading Monday. The stock is down 2% YTD.