Rayonier (RYN) Raymond James & Associates’ 46th Annual Institutional Investors Conference 2025 summary

Business overview and strategic vision

• Operates as a pure-play timber REIT with no downstream manufacturing, owning or leasing 2.5 million acres and generating stable cash flows.

• 70% of EBITDA comes from timber segments, 30% from real estate, a mix that has remained consistent.

• Evolving into a land resources company, focusing on maximizing portfolio value through alternative land uses and development, including decarbonization solutions.

• Significant value uplift possible by converting timberland to uses like carbon capture, solar, or real estate development, with up to 15x value increase per acre.

• Refreshed vision centers on realizing the full potential of land resources and meeting societal needs.

Portfolio strengths and market positioning

• Timberland holdings are concentrated in the U.S. South, Pacific Northwest, and New Zealand, with 70-71% in the U.S. South.

• Southern portfolio generates over 40% higher EBITDA per acre than the NCREIF South Index.

• Real estate business focuses on non-strategic, rural, unimproved, and improved development, with a shift toward higher-value development sales and HBU premiums rising from 15% to 56% over the last decade.

• Average HBU sales price per acre rose from $2,800 (2015–2017) to $4,500 (2021–2024), with development sales now 44% of real estate revenue.

• Major development projects, Wildlight and Heartwood, drive value creation across large land footprints.

Land-based solutions and growth opportunities

• Land-based solutions include alternative land use (solar, wind, CCS), carbon markets, and fiber for bioenergy.

• Solar and CCS are the most significant near- to medium-term opportunities, with solar leases offering up to 10x EBITDA per acre versus timber.

• Solar options pipeline grew from 7,000 acres (2021) to 39,000 acres (2024), with expected cash flow growth as options convert to leases.

• CCS demand in the U.S. projected to grow from 25 million to over 300 million tons in the next decade, with 150,000–154,000 acres under CCS lease by 2024.

• CCS leases can yield up to 5x timber EBITDA, with surface timber operations continuing alongside CCS.