Louisiana-Pacific Corporation

Louisiana-Pacific Corporation, known as LP Building Solutions (NYSE: LPX), makes engineered wood siding and structural building panels. Siding serves new construction and repair and remodeling. Oriented strand board, or OSB, is used in roofs, walls and floors. The company also operates in South America.

September-quarter results

Three months ended September 30. USD millions, except diluted earnings per share. Adjusted figures use the company's current definitions.

Adjusted EBITDA removes taxes, depreciation, amortization, interest, stock compensation and selected impairment, operating and non-operating items. Adjusted earnings also exclude foreign-exchange gains and losses and use normalized taxes. Prior-year adjusted EPS has been recast to match that definition.

Growth against earlier expectations

In August, management expected siding to return to volume and revenue growth in Q3. Actual sales of $473 million exceeded the $460 million to $470 million forecast. Unit shipments rose 2% and average net prices rose 5%. Siding adjusted EBITDA of $119 million was within the $110 million to $120 million forecast.

Siding's profit margin was roughly 25%, against about 26% a year earlier. Higher raw-material, freight and labor costs, maintenance costs and inventory reductions absorbed much of the benefit from stronger sales. Nine-month siding sales remained below 2025 at $1.274 billion versus $1.305 billion.

Consolidated Q3 adjusted EBITDA of $82 million exceeded August's $50 million to $60 million forecast. For the full year, the company now expects $270 million to $280 million, compared with $255 million to $270 million in August.

The spending plan

The original year-end report forecast approximately $400 million of 2026 capital spending. The plan was $320 million in August and is now $300 million. The latest reduction is entirely in sustaining maintenance: $180 million falls to $160 million. Planned strategic growth investment remains $140 million.

LP spent $176 million through September, leaving about $124 million under the annual plan. Q3 capital spending was $56 million.

Cash, debt and shareholder payments

Q3 operating cash was $112 million, compared with $89 million a year earlier. Subtracting capital spending leaves $56 million, against $5 million. On the same basis, nine-month cash after capital spending was $38 million, below $99 million in 2025.

Cash was $265 million at September 30, compared with $228 million in June and $292 million at December 31. Senior-note principal remained $350 million, due in 2029. Debt after issuance costs was $349 million.

The $750 million revolving credit facility was undrawn at September 30, and LP reported covenant compliance. Its roughly $1 billion liquidity total includes available borrowing capacity. Nine-month dividends used $63 million. No shares were repurchased, while $177 million of authorization remained available.

The OSB cycle

OSB's Q3 adjusted loss narrowed to $24 million from $27 million. Lower inventory reserve adjustments helped, while lower selling prices and higher costs worked against that improvement. Structural Solutions shipments fell 10%, while commodity-panel shipments rose 25%.

LP announced an indefinite curtailment of OSB production at Jasper, Texas, during Q3. The relevant asset group had no impairment indicator at September 30.

The annual OSB adjusted EBITDA forecast improved to a $95 million loss from a $120 million loss. Q4 still assumes a $35 million loss using October 30 published prices held constant for modeling. The next results can test whether siding growth continues, costs ease and cash generation supports the remaining capital plan.