Louisiana-Pacific Corporation (LP) (NYSE: LPX) has announced its financial results for the three and six months ended June 30, 2025.
Second Quarter 2025 Highlights (vs. Second Quarter 2024):
-
Siding net sales rose by $45 million (11%) to $460 million.
-
Oriented Strand Board (OSB) net sales declined by $101 million to $250 million.
-
Consolidated net sales decreased by $60 million to $755 million.
-
Net income was $54 million, down $106 million year-over-year.
-
Net income per diluted share was $0.77, a decrease of $1.46 per share.
-
Adjusted EBITDA was $142 million, down $86 million.
-
Adjusted Diluted EPS was $0.99, down $1.10 per share.
-
Cash provided by operating activities totaled $162 million.
Capital Allocation Update:
During the quarter, LP invested $68 million in capital expenditures and paid $19 million in cash dividends. The company also declared a quarterly dividend of $0.28 per share, payable on August 29, 2025, to shareholders of record as of August 15, 2025. Total liquidity stood at $1.1 billion as of June 30, 2025.
LP Chairperson and CEO Brad Southern noted that the Siding segment achieved record sales volume, revenue, and EBITDA in the second quarter. He acknowledged that OSB markets remain challenging due to commodity prices at multi-year lows but stated that the company intends to continue executing its OSB strategy with efficiency and discipline.
Outlook:
For the third quarter of 2025, LP expects Siding net sales of approximately $430 million (3% year-over-year growth) and Siding Adjusted EBITDA of about $110 million (26% margin). OSB Adjusted EBITDA is projected at approximately negative $45 million, while consolidated Adjusted EBITDA is expected to be around $65 million.
For the full year 2025, LP anticipates Siding net sales of approximately $1.7 billion (9% growth) with Siding Adjusted EBITDA of $430 million (25% margin). OSB Adjusted EBITDA is forecast at negative $25 million, and consolidated Adjusted EBITDA is projected at $405 million. Capital expenditures for the year are expected to total about $350 million.
Additional Highlights:
-
For the first six months of 2025, consolidated net sales declined by $60 million to $1.5 billion.
-
Siding revenue grew by $86 million (11%), supported by higher volumes and pricing.
-
OSB revenue declined by $147 million, reflecting lower prices and slightly lower volumes.
-
Net income for the first half of 2025 decreased by $123 million to $145 million ($2.07 per diluted share).
Segment Performance:
-
Siding: Net sales rose 11% year-over-year in both the quarter and half-year, driven by higher volumes and pricing. Adjusted EBITDA increased 19% in Q2 and 18% in the first half.
-
OSB: Net sales declined 29% in Q2 and 22% in the first half due to lower prices. Adjusted EBITDA fell 85% in Q2 and 66% year-to-date.
-
LPSA: Net sales decreased by 7% in Q2 but rose 2% year-to-date. Adjusted EBITDA declined 13% in Q2 but grew 4% over the first half.
