Louisiana-Pacific (LPX) Q1 2026 earnings summary

Executive summary

• Net sales for Q1 2026 were $574 million, down 21% year-over-year, with both Siding and OSB segments experiencing significant declines in sales and volumes.

• Adjusted EBITDA was $82 million, a decrease of $80 million year-over-year, reflecting lower OSB prices and volumes, and lower Siding volumes partially offset by higher Siding prices.

• Net income dropped to $27 million, a 70% decrease from Q1 2025, and diluted EPS was $0.38–$0.39, down from $1.30–$1.33.

• Siding segment saw a 9% increase in average selling price but an 18% decline in volume; OSB segment experienced a 33% drop in commodity volume and a 28% decrease in adjusted EBITDA margin.

• Cash used in operations was $38 million, compared to $64 million provided in Q1 2025, reflecting lower profitability and working capital changes.

Financial highlights

• Gross profit for Q1 2026 was $115 million, down from $197 million in Q1 2025.

• Siding net sales decreased 10% to $360 million, driven by lower volumes despite higher prices; OSB net sales fell by $99 million to $168 million, with both prices and volumes declining.

• Adjusted Diluted EPS was $0.38–$0.39, down $0.91–$0.95 year-over-year.

• Cash and cash equivalents at quarter-end were $164 million, down from $256–$292 million at year-end 2025.

• Capital expenditures for Q1 2026 totaled $61 million; full-year 2026 capex expected to be ~$390 million.

Outlook and guidance

• Q2 2026 guidance: Siding net sales of $435–$445 million, Siding Adjusted EBITDA of $115–$120 million, OSB Adjusted EBITDA of $(10) million, consolidated Adjusted EBITDA of $100–$105 million.

• Full-year 2026 guidance: Siding net sales of $1.64–$1.67 billion, Siding Adjusted EBITDA of $410–$425 million (25–26% margin), OSB Adjusted EBITDA of $(10)–$(40) million, consolidated Adjusted EBITDA of $345–$360 million, capital expenditures of ~$390 million.

• Management expects to fund capital expenditures through cash on hand, operations, and available credit.

• Guidance reflects tempered expectations due to weak housing starts, high input costs, and macro uncertainty.

• OSB EBITDA for Q2 projected as a $10 million loss, with similar results expected in Q3 and Q4 if current prices persist.