Louisiana-Pacific(LPX) - 2025 Q1 - Quarterly Results

Sales Performance - Siding net sales increased by $41 million (11$402 million, driven by 9% higher volumes and 2% higher prices[5] - OSB net sales decreased by $46 million (15$267 million, due to 11% lower prices and 4% lower volumes[9] - Consolidated net sales remained flat at $724 million[9] - Net sales for Q1 2025 remained flat at$724 million compared to Q1 2024[22] - Net sales for the Siding segment increased to $402 million in Q1 2025 from$361 million in Q1 2024, while OSB segment sales decreased to $267 million from$313 million[31] Income and Profitability - Net income decreased by $17 million to$91 million, with net income per diluted share at $1.30, a decrease of$0.18[10] - Net income for Q1 2025 was $91 million, a decrease of 15.7$108 million in Q1 2024[22] - Gross profit decreased to $197 million in Q1 2025, down from$214 million in Q1 2024, representing a decline of approximately 7.9%[22] - Adjusted income decreased to $89 million in Q1 2025 from$111 million in Q1 2024, with adjusted diluted EPS falling to $1.27 from$1.53[32] EBITDA and Key Performance Measures - Adjusted EBITDA was $162 million, a decrease of$20 million year-over-year[5] - Adjusted EBITDA decreased to $162 million in Q1 2025 from$182 million in Q1 2024, with Siding segment adjusted EBITDA increasing to $106 million from$90 million[32] - Adjusted EBITDA is reported as a key performance measure, reflecting the company's operational performance[20] Future Guidance - The company expects Siding net sales for Q2 2025 to be between $445 million and$455 million, representing 9-10% growth[6] - Full year 2025 Siding net sales guidance is approximately $1.7 billion, indicating over 9$410 million[6] Liquidity and Capital Management - Total liquidity as of March 31, 2025, was $1.0 billion[5] - Cash and cash equivalents decreased to$256 million as of March 31, 2025, down from $340 million at the end of 2024[23] - The company repurchased$61 million of common stock in Q1 2025, compared to $13 million in Q1 2024[24] Market Indicators - Housing starts in the U.S. are monitored as a leading indicator of demand for the company's products[25] - Housing starts for single-family homes decreased to 228,000 in Q1 2025 from 241,000 in Q1 2024, while multi-family starts increased to 89,000 from 80,000[27] - The total number of housing starts reported by the U.S. Census Bureau for Q1 2025 was 317,000, slightly down from 321,000 in Q1 2024[27] Operational Efficiency - Overall equipment effectiveness (OEE) for Siding segment decreased to 76% in Q1 2025 from 78% in Q1 2024, and for LPSA segment decreased to 67% from 76%[30] - The company aims to optimize capital investments and improve overall equipment efficiency through OEE tracking across all sites[29] - The company monitors sales volumes in million square feet (MMSF) to identify changes in product demand and market opportunities[28]