Louisiana-Pacific Corporation's (LP) net sales for the Q2 2023 decreased year-over-year by $519 million, or 46%, to $611 million. This included a decrease in OSB segment revenue of $444 million, or 66%, driven by 57% lower average selling prices and 21% lower volumes. Siding segment revenue decreased $37 million or 10%, due to 16% lower volume offset by 6% higher prices. The remaining decrease in net sales was related to decreases in South America segment and other revenue of $18 million and $20 million, respectively.
Income (loss) for the Q2 2023 decrease year-over-year by $367 million, or 106% to $(20) million, or $(0.28) per diluted share. This primarily reflects a $398 million decrease in Adjusted EBITDA, $34 million of business exit charges (of which, $30 million were non-cash charges) related to an off-site framing operation (Entekra Holdings, LLC), and $16 million of settlements of OSB patent-related claims, partially offset by a $95 million lower income tax provision.
"LP earned $93 million in EBITDA in the quarter while operating with exceptional safety and efficiency," said Brad Southern, Chair & CEO. "As the housing outlook continues to improve, I am confident that LP's strategy positions us well for long-term growth."
First Six Months of 2023
Net sales for the first six months of 2023 decreased year-over-year by $1,102 million, or 48%. This included a decrease in OSB revenue of $998 million or 70%, due to 61% lower prices and 24% lower volume. Siding segment revenue decreased $38 million or 5%, due to 13% lower volume offset by 8% higher prices. The remaining decrease in net sales was related to decreases in South America segment and other revenue of $29 million and $38 million, respectively.
Income operations for the first six months of 2023 decreased year-over-year by $768 million, or 100% to $1 million, or $0.02 per diluted share. The decrease primarily reflects a $930 million decrease in Adjusted EBITDA, $34 million of business exit charges (of which, $30 million were non-cash charges) related to an off-site framing operation (Entekra Holdings, LLC), and $16 million of settlements of OSB patent-related claims, partially offset by a $218 million lower income tax provision.
Louisiana-Pacific Corporation is a leading manufacturer of high-performance building products.
