Potlatch Corporation (PCH) has reported a 304.99 percent jump in profit for the quarter ended Dec. 31, 2016. The company has earned $14.37 million, or $0.35 a share in the quarter, compared with $3.55 million, or $0.09 a share for the same period last year.
Revenue during the quarter grew 12.82 percent to $155.68 million from $137.99 million in the previous year period.
Cost of revenue for the quarter was almost stable at $116.98 million, when compared with the previous year period. Gross margin for the quarter expanded 947 basis points over the previous year period to 24.86 percent.
Total expenses were $129.96 million for the quarter, up 1.43 percent or $1.83 million from year-ago period. Operating margin for the quarter expanded 938 basis points over the previous year period to 16.52 percent.
Operating income for the quarter was $25.72 million, compared with $9.86 million in the previous year period.
"Strong performance by each of our three businesses and improved lumber prices resulted in solid earnings this year," said Mike Covey, chairman and chief executive officer. "Our mills continue to run well and we achieved new quarterly production records in the third and fourth quarters. Resource successfully managed through challenging weather conditions to achieve our planned harvest volume for the year. Real Estate continues to identify opportunities to drive value and closed a series of attractive conservation sales during 2016. Turning to the balance sheet, we also reduced net debt by $125 million this year, increasing our financial flexibility, and returned $67 million to shareholders in the form of dividends and share repurchases,"stated Mr. Covey.
Operating cash flow improves significantly
Potlatch Corporation has generated cash of $102.12 million from operating activities during the year, up 37.97 percent or $28.10 million, when compared with the last year. Cash flow from investing activities was $93.35 million from investing activities during the year as against cash outgo of $33.59 million in the last year.
The company has spent $120.81 million cash to carry out financing activities during the year as against cash outgo of $56.52 million in the last year period.
Cash and cash equivalents stood at $82.58 million as on Dec. 31, 2016, up 942.07 percent or $74.66 million from $7.92 million on Dec. 31, 2015.
Real estate inventory surged 49.66 percent or $17.46 million to $52.62 million on Dec. 31, 2016. Net receivables were at $17.28 million as on Dec. 31, 2016, up 28.79 percent or $3.86 million from year-ago.
Total assets declined 8.75 percent or $88.93 million to $927.68 million on Dec. 31, 2016. On the other hand, total liabilities were at $771.41 million as on Dec. 31, 2016, down 5.10 percent or $41.47 million from year-ago.
Return on assets moved up 113 basis points to 2.30 percent in the quarter. At the same time, return on equity moved up 746 basis points to 9.20 percent in the quarter.
Debt comes down
Total debt was at $583.99 million as on Dec. 31, 2016, down 7.87 percent or $49.89 million from year-ago. Shareholders equity stood at $156.27 million as on Dec. 31, 2016, down 23.30 percent or $47.46 million from year-ago. As a result, debt to equity ratio went up 63 basis points to 3.74 percent in the quarter.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
