Louisiana-Pacific Corporation (LP) reported its financial results for the Q4 and year ended December 31, 2024.
Q4 2024 Highlights
Net sales for the Q4 2024 increased year-over-year by $22 million (or 3%) to $681 million. Siding revenue increased by $29 million (or 9%) to $362 million, due to 3% higher volumes and 6% higher prices. OSB net sales decreased by $5 million (or 2%) to $267 million, driven by 7% lower prices partially offset by 6% higher volumes.
Net income increased year-over-year by $4 million to $63 million ($0.89 per diluted share). This increase primarily reflects a decrease in Adjusted EBITDA of $5 million (or 4%) and a $15 million increase in tax provision, offset by a decrease in foreign currency loss. The year-over-year decrease in Adjusted EBITDA includes $18 million due to lower OSB selling prices, partially offset by higher Siding net sales and higher OSB sales volumes.
Full Year 2024 Highlights
Net sales for 2024 increased year-over-year by $360 million (or 14%) to $2.9 billion. Siding revenue increased by $230 million (or 17%) to $1.6 billion, due to 11% higher volumes and 6% higher prices. OSB revenue increased by $159 million (or 15%) to $1.2 billion, due to 10% higher volumes and 4% higher prices.
Net income increased year-over-year by $243 million (or 137%) to $420 million ($5.89 per diluted share). The increase primarily reflects a $210 million increase in Adjusted EBITDA, a $46 million improvement in business exit credits and charges, and the non-recurrence of OSB patent-related settlement claims of $16 million paid in 2023. This was partially offset by a $66 million increase in the provision for income taxes. The year-over-year increase in Adjusted EBITDA includes $143 million from higher Siding net sales, $55 million from higher OSB sales volumes, and $35 million due to higher OSB selling prices.
"LP's Siding business delivered a strong end to a record year, with 9% revenue growth in the quarter and 17% growth for the year,” said LP Chairperson and Chief Executive Officer Brad Southern. “Growth, margin expansion, and a very strong balance sheet leave LP well positioned for further investments in demand creation and Siding capacity expansion."
As a leader in high-performance building solutions, Louisiana-Pacific Corporation (LP Building Solutions) manufactures engineered wood products that meet the demands of builders, remodelers and homeowners worldwide.
