Rayonier, a US-based international company specialising in performance fibres , timber, real estate, has reported its second quarter financial results. Net income for second quarter 2005 was $16.9 million, which included a discontinued operation loss of $24.7 million.

Sales for the second quarter of $312 million were $35 million and $22 million above first quarter 2006 and second quarter of 2005, respectively.

In the performance fibres sector, sales of $166 million and operating income of $16 million were $20 million and $5 million above first quarter, respectively. The results were said to reflect higher prices and volumes partly offset by increased costs. Compared with the second quarter of 2005, sales increased $13 million as a result of higher cellulose specialties volume and prices. However, operating income decreased $3 million as higher raw material and energy costs more than offset increased sales.

The company recently announced that it has secured long term contracts into 2011 with its key customers for nearly 80% of its high-value cellulose specialties production, representing almost two million metric tons and more than $2 billion in revenue at current pricing.