Overview

• US engineered wood maker's Q1 adjusted EBITDA and EPS beat analyst expectations despite sales decline

• Q1 net sales fell yr/yr, driven by lower OSB prices and reduced siding volumes

• Company says lower OSB prices and siding volumes offset by higher siding prices

Outlook

• Louisiana-Pacific sees Q2 Siding net sales at $435-445 mln, about 4% lower year-over-year

• Company expects full-year Siding net sales of $1.65-1.67 bln, about 2% lower year-over-year

• Louisiana-Pacific projects 2026 capital expenditures of about $390 mln

Result Drivers

• LOWER OSB PRICES - Co said lower OSB prices reduced net sales and adjusted EBITDA

• HIGHER SIDING PRICES - Co said higher siding prices, due to annual price increases and favorable mix, partially offset lower volumes

Company press release: ID:nBwc6TqzBa

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q1 Siding Sales		$360 mln
Q1 Adjusted EPS	Beat	$0.38	$0.12 (9 Analysts)
Q1 Adjusted EBITDA	Beat	$82 mln	$53.59 mln (11 Analysts)

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 3 "hold" and 2 "sell" or "strong sell"

• The average consensus recommendation for the forest & wood products peer group is "buy"

• Wall Street's median 12-month price target for Louisiana-Pacific Corp is $94.50, about 35.5% above its May 5 closing price of $69.75

• The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 24 three months ago

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