Earnings Report

Owens Corning Q1 Roofing Sales Fall 14%

Company sees stable roofing demand

By Tanja Kern, Senior Strategic Content Editor

Owens Corning reported a 14% decline in first-quarter roofing sales as residential construction and remodeling activity remained under pressure.

The roofing segment posted sales of $960 million in the first quarter, down from $1.12 billion a year earlier. Roofing EBITDA fell to $231 million from $332 million, while EBITDA margin declined to 24% from 30%.

Companywide, Owens Corning reported first-quarter net sales from continuing operations of $2.27 billion, down 10% from the prior year. Net earnings attributable to Owens Corning from continuing operations fell to $38 million, or 47 cents per diluted share, from $255 million, or $2.95 per diluted share, a year earlier.

CEO Brian Chambers said the company’s results reflected its ability to deliver “strong financial performance within current market conditions” while continuing its transition to a more focused building products company.

Looking ahead, Owens Corning said it expects roofing demand to remain “solid but slightly down versus prior year” in the second quarter, absent major storm activity. The company said heightened restocking activity at the end of the first quarter is expected to affect near-term comparisons.

Owens Corning expects second-quarter revenue from continuing operations of $2.6 billion to $2.7 billion and adjusted EBITDA margins of 20% to 22%.

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Tanja Kern covers economic trends and the intersection of architecture, design, and construction for Roofing Contractor, with an emphasis on the forces reshaping the industry. She develops and amplifies content that connects roofing professionals with the intelligence they need to compete and grow.

With more than 20 years of experience, Tanja has written for national business, consumer and trade publications. She holds a Master of Science in magazine publishing from Northwestern University's Medill School of Journalism.