SEATTLE (From news reports) -- Weyerhaeuser reported a 50% drop in second-quarter profit on Thursday, hurt by continued weakness in commodity wood product pricing and softer demand across key end markets.

Sales of new U.S. single-family homes fell by the most in nearly three years in May as high mortgage rates and rising economic uncertainty sapped demand, pushing the supply of unsold houses on the market to its highest level since late 2007.

The company owns or controls about 10.5 million acres of timberlands primarily in the West, the South and the Northeast regions.

The Seattle-based company's net sales fell 3% to $1.88 billion, but exceeded analysts' average estimate of $1.84 billion, according to data compiled by LSEG.

Weyerhaeuser said its adjusted profit in the third quarter would be about $60 million lower than the second quarter.

The company reported an adjusted profit of $87 million in the second quarter.

The results come as the lumber industry braces for the impact of U.S. President Donald Trump's plans to impose 25% tariffs on imports from Canada. If imposed, total levies on Canadian lumber could reach as high as 40%, potentially driving up prices for domestic products.

In March, Weyerhaeuser had said U.S. import tariffs could raise its costs for products and raw materials. The warnings were disclosed under the "risk factors" segment of the company's regulatory filing. The company also said there had been a slight pullback in lumber demand as tariff-related uncertainty weighed on homebuilder sentiment.

The Seattle based company reported a profit of $87 million, or 12 cents per share in the quarter ended June 30, compared with $173 million, or 24 cents per share a year earlier.

However, the firm narrowly beat analysts' expectations of a profit of 11 cents per share.