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Timber certainly has a penis and is capable of ejaculation. It's not ambiguous. 

Warning: explicit language (and spoilers I guess?)

When you have sex with Timber in your tent in the human route, you ask him to "whip it out for you," and you think to yourself, "you're about to give him the best blowjob ever." Timber eventually says you "just can't go on livin' without slurpin' some wolf dick." You even get the choice to spit or swallow.

I tried to use a spoiler for this section but it did not work D:

That's Over

The only point of ambiguity is that we can't say for certain that Timber is cis. He could be intersex, as some intersex folks do have penises, and may be able to ejaculate in some cases, but, whether or not an intersex person identifies as cis or trans is a personal choice that has a ton of factors. But given that Nami isn't really shy about explicit representation and the contrast with how Tofu/Plum/Twigs have no mention of sexually dimorphic characteristics, he's probably cis.

You have to choose options that will unlock that option for you. Pick the flirtiest options available

Finish the other routes

Twigs is nonbinary, so the use of they/them to refer to them is intentional. Also, the reveal that Twigs is a real character and not a self-insert necessitates ambigious language regarding what their gender is and, more relevant to your question, what sex they were assigned at birth. I'm genuinely not sure either; I don't think a single sex scene in the game references their sexually dimorphic characteristics despite us knowing that Timber, for example, has a penis. I feel like I read somewhere that Twigs is transmasc, but I could be wrong? And that still doesn't really provide an answer 😭 so I hope any smut written for Twimber isn't too far off from what Nami intended for her character.

Edit: Apparently, Twigs is canonically agender, which, while under the nonbinary umbrella, is not synonymous

!También tiene versión en español! Cuando lo abres, escoge su lenguaje preferida :)

It's set in the same universe too! Syrup 2, Lonely Wolf Treat, and others show the connections to this game, as well as the general lore surrounding animal folk, witches, and humans