Louisiana-pacific Corporation · NYSE:LPX
Louisiana-pacific — Q4 2023 Earnings Presentation
18 slides from Louisiana-pacific's earnings presentation, Feb 14, 2024
Slide 1: Q4 and FY 2023 Earnings Presentation
Q4 and FY 2023 Earnings Presentation February 14, 2024
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation contains statements concerning Louisiana-Pacific Corporation's (LP) future results and performance that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based upon the beliefs
Slide 3: Statement Relating to the Use of Non-GAAP Financial Measures
STATEMENT RELATING TO THE USE OF NON-GAAP FINANCIAL MEASURES During the course of this presentation, certain non-GAAP financial measures will be presented. Non-GAAP financial measures should be considered only as a supplement to, and not as superior to, financial measures prepared in accordance with
Slide 4: Highlights
HIGHLIGHTS
Slide 5: Q4 2023 and FY 2023 Financial Results
OTHER KEY Q4 2023 Financial Results POINTS $658M $129M $159M $0.71 Net Sales Adj. EBITDA1 Op. CF Adj. EPS1 Liquidity (7)% 29% $118M $0.10 • Ending cash $222M • Full availability of $550M credit facility • $772M in total liquidity at year end (14)% $17M $17M $64M Siding Growth OSB Price Impact Divide
Slide 6: Siding – Q4 2023 vs. Q4 2022
SIDING – Q4 2023 VS. Q4 2022 ($ in millions) $(17) $88 $2 $(26) $6 $(6) $72 $7 2 Overall Overall (15)% Mill Raw materials Inventory 2 23% 1% conversions $7M absorption 22% OEE 77%, $8M $(3)M Flat to PY Labor $(2)M Mill overhead $(1)M 2022 Siding Siding Investment Inflationary Other 2023 Adjusted EBI
Slide 7: Siding – FY 2023 vs. FY 2022
SIDING – FY 2023 VS. FY 2022 ($ in millions) $(70) $339 $52 $(95) $(10) $(4) $269 $(14) Overall Overall (14)% Mill Raw materials SG&A 5% conversions $(9)M $(7)M OEE 77%, $(9)M +1% YOY Labor Press Rebuild 23% 2 $(5)M $(5)M 20% 2 Freight $10M Mill overhead $(3)M 2022 Siding Solutions Siding Solutions
Slide 8: OSB – Q4 2023 vs. Q4 2022
OSB – Q4 2023 VS. Q4 2022 ($ in millions) $46 Overall Overall Overall $59 11% (88)mmsf, 105mmsf, (18)% 35% Commodity 15% OEE 76%, Mix $21 +5ppts 52%, +15ppts Structural Solutions flat $7 2 Raw materials Mill costs $7M 22% $17 $(18) $20 $8M Inventory $13 Labor $(1)M reserves $6M 2 5% SG&A $4M 2022 AS
Slide 9: OSB – FY 2023 vs. FY 2022
OSB – FY 2023 VS. FY 2022 ($ in millions) $(814) $1,034 Overall Overall Raw materials Inventory (198)mmsf, (128)mmsf, (8)% $8M reserves $31M (12)% Mix 51%, +3ppts Labor $(6)M Mill overhead $(793) OEE 75%, $18M 2 +3ppts 50% Net Freight $8M $220 $(51) $63 $(34) $2 21% 2 2022 ASP Commodity Structual So
Slide 10: Cash Flow
CASH FLOW ($ in millions) 1 This is a non-GAAP financial measure. See “Statement Relating to the Use of Non-GAAP Financial Measures” and “Reconciliation of Net Income to Non-GAAP Adjusted EBITDA.” PAGE 10
Slide 11: 2024 Guidance and Sensitivities
2024 Guidance and Sensitivities Siding Growth and Margin Full Year 1st Quarter Siding Revenue ~ $1.45B (+8-10% growth) $340-350M (+3-5% growth) Siding Adjusted EBITDA 1 $280-300M (~20% margin5) $65-70M (~20% margin5) OSB Cycle Average Annual Adjusted EBITDA 1,2 : ($60 EBITDA / MSF) x (4 BSF Capacity
Slide 12: Appendix
APPENDIX
Slide 13: Siding Growth and Innovation
SIDING GROWTH AND INNOVATION Growth (TTM) Q4 Innovation Mix U.S. Single Q4 2022 Volume Q4 2023 Volume Siding Volume Siding Price Family Housing Starts1 8% 8% (14)% +5% (6)% 92% 92% ExpertFinish Q4-22 Q4-23 Q4-22 Q4-23 Q4-22 Q4-23 Primed SmartSide 1 Actual U.S. housing starts data from U.S. Census Bu
Slide 14: Financial Performance
FINANCIAL PERFORMANCE ($ in millions, except per share amounts) PAGE 14
Slide 15: Reconciliation of Net Income to Non-GAAP Adjusted EBITDA
RECONCILIATION OF NET INCOME TO NON- GAAP ADJUSTED EBITDA ($ in millions) PAGE 15
Slide 16: Reconciliation of Net Income to Non-GAAP Adjusted Income and Adjusted Diluted EPS
RECONCILIATION OF NET INCOME TO NON-GAAP ADJUSTED INCOME AND ADJUSTED DILUTED EPS ($ in millions, except per share amounts) PAGE 16
Slide 17: Net Sales and Adjusted EBITDA by Segment
NET SALES AND ADJUSTED EBITDA BY SEGMENT ($ in millions) PAGE 17
Slide 18: Reconciliation of Income from Discontinued Operations to Non-GAAP Adjusted EBITDA
RECONCILIATION OF INCOME FROM DISCONTINUED OPERATIONS TO NON-GAAP ADJUSTED EBITDA FROM DISCONTINUED OPERATIONS ($ in millions) PAGE 18