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Jun 30, 2024

Louisiana-Pacific Q2 2024 Earnings Report

Reported record sales and earnings in Siding, and increased third quarter and full year Siding guidance.

Key Takeaways

LP Building Solutions reported a strong second quarter in 2024, with consolidated net sales increasing by 33% to $814 million and net income reaching $160 million. The company experienced significant growth in both Siding and OSB segments, driven by higher sales volumes and prices. Adjusted EBITDA increased to $229 million, reflecting the company's strategic execution and cost control.

Siding net sales increased by 30% to $415 million.

Oriented Strand Board (OSB) net sales increased by 53% to $351 million.

Consolidated net sales increased by 33% to $814 million.

Net income was $160 million, an increase of $181 million.

Total Revenue
$814M
Previous year: $611M
+33.2%
EPS
$2.09
Previous year: $0.55
+280.0%
OSB - Structural Solutions Sales
452M
Previous year: 412M
+9.7%
OSB - Commodity Sales Volume
415M
Previous year: 354M
+17.2%
Siding Solutions Sales Volume
459M
Previous year: 384M
+19.5%
Gross Profit
$263M
Previous year: $119M
+121.0%
Cash and Equivalents
$317M
Previous year: $71M
+346.5%
Free Cash Flow
$175M
Previous year: $15M
+1066.7%
Total Assets
$2.53B
Previous year: $2.3B
+9.9%

Louisiana-Pacific

Louisiana-Pacific

Louisiana-Pacific Revenue by Segment

Forward Guidance

The Company is providing financial guidance for the third quarter of 2024 and full year 2024.

Positive Outlook

  • Siding net sales year-over-year growth: 16% to 18% (Q3 2024)
  • Siding net sales year-over-year growth: 14% to 16% (Full Year 2024)
  • Siding Adjusted EBITDA: $95 million to $105 million (Q3 2024)
  • Siding Adjusted EBITDA: $355 million to $375 million (Full Year 2024)
  • OSB Adjusted EBITDA: $10 million to $20 million (Q3 2024)

Challenges Ahead

  • OSB Adjusted EBITDA: $225 million to $245 million (Full Year 2024)
  • Consolidated Adjusted EBITDA: $105 million to $125 million (Q3 2024)
  • Consolidated Adjusted EBITDA: $580 million to $620 million (Full Year 2024)
  • Capital Expenditures: $200 million to $220 million (Full Year 2024)
  • Capital expenditures related to strategic growth and sustaining maintenance projects are expected to be between $50 million to $60 million and $150 million to $160 million, respectively.

Revenue & Expenses

Visualization of income flow from segment revenue to net income