Boise Cascade, L.l.c. · NYSE:BCC
Boise Cascade, L.l.c — Q3 2024 Earnings Presentation
16 slides from Boise Cascade, L.l.c's earnings presentation, Nov 5, 2024
Slide 1: Boise Cascade Company Third Quarter 2024 Earnings Webcast
Boise Cascade Company Third Quarter 2024 Earnings Webcast November 5, 2024
Slide 2: Forward-Looking Statements
Forward-Looking Statements u This presentation includes statements about our expectations of future operational and financial performance that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regardin
Slide 3: Executive Summary
Executive Summary u Consolidated Results Ø 3Q24 sales were $1.7 billion, down 7% from 3Q23 Ø 3Q24 net income was $91.0 million, or $2.33 per share, compared to net income of $143.1 million, or $3.58 per share, in 3Q23 u Good financial performance in moderate demand environment Ø Steady execution in
Slide 4: 3Q 2024 Financial Highlights
3Q 2024 Financial Highlights Sales Adjusted EBITDA $216.5 (7)% $1,834.4 (29)% $1,713.7 $154.5 104.9 1,670.3 $ Millions $ Millions 1,567.5 87.7 122.9 453.9 515.2 77.4 (307.6) (351.1) (10.7) (11.3) 3Q 2024 3Q 2023 3Q 2024 3Q 2023 n BMD n Wood n Eliminations n BMD n Wood Corporate November 5, 2024 4
Slide 5: Wood Products EWP
Wood Products EWP LVL I-joists (mmcf) (mmelf) 6.0 80 5.1 4.9 5.0 70 4.8 66 64 5.0 4.7 63 59 4.1 60 57 54 4.0 3.6 50 3.0 39 40 2.0 30 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q ($/cf) ($/melf) $2,400 $36 2,168 $2,200 2,088 2,093 $32 31.17 2,018 2,035 30.14 29.93 1,961 28.75 29.08 $2,000 1,921 28.12 27.62 $28 $1,800 $24
Slide 6: Wood Products Plywood
Wood Products Plywood Sales Volume Net Sales Price (mmsf 3/8" basis) ($/msf 3/8" basis) 450 440 $400 378 382 375 406 367 365 362 400 383 390 391 372 333 363 350 $300 300 250 $200 200 150 100 $100 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 2023 2024 November 5, 2024 6
Slide 7: Building Materials Distribution Sales
Building Materials Distribution Sales ($ Millions) (% of Sales) $2,000 100 $1,800 21 23 23 23 22 23 21 1,637 1,655 1,670 1,567 $1,600 1,505 1,493 80 1,379 $1,400 $1,200 60 39 40 40 40 41 42 44 $1,000 $800 40 $600 $400 20 40 37 37 37 37 35 35 $200 $0 0 1Q 2Q 3Q 4Q 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 2
Slide 8: Building Materials Distribution EBITDA
Building Materials Distribution EBITDA (EBITDA % of sales) 8.0% 10.0% 8.6% 6.5% 6.3% 8.0% 5.9% 6.0% 5.6% 5.6% 5.6% 7.0% 5.4% 6.0% 6.0% 5.7% 5.5% 4.0% 4.0% 2.0% 2.0% —% —% 2020 2021 2022 2023 YTD Q3 1Q 2Q 3Q 4Q 1Q 2Q 3Q 2024 2023 2024 November 5, 2024 8
Slide 9: BCC Q4 Indicators
BCC Q4 Indicators Segment Key Drivers Q4 Expectations EWP Volumes October comparable to Q3 monthly pace; however, expect seasonally slower pace for remainder of quarter EWP Pricing Low single-digit sequential declines Wood Products Plywood Volumes October comparable to Q3 monthly average; however, e
Slide 10: Capital Allocation
Capital Allocation u Capital Expenditures u Shareholder Returns Ø $136 million YTD 2024 Ø $220 million in dividends paid YTD September 2024 l Wood - $62 million l BMD - $73 million Ø Board authorization of 4Q quarterly dividend of $0.21 per Ø $220 million - $240 million share planned for 2024 l Wood
Slide 11: Outlook
Outlook u Housing starts forecasts are approximately 1.35 million for 2024 and at or modestly above 1.40 million for 2025 Ø Single-family housing starts outpacing 2023 levels by 10%, whereas multi-family starts have declined sharply from historic levels Ø Home affordability challenges persist, but n
Slide 12: Appendix
Appendix November 5, 2024
Slide 13: Appendix: Net income to EBITDA reconciliation
Appendix EBITDA represents income before interest (interest expense and interest income), income taxes, and depreciation and amortization. Additionally, we disclose Adjusted EBITDA, which further adjusts EBITDA to exclude the change in fair value of interest rate swaps. The following table reconcile
Slide 14: Appendix: Segment income to EBITDA reconciliation
Appendix The following table reconciles segment income to EBITDA for the three months ended September 30, 2024 and 2023, and June 30, 2024: Three Months Ended ($ Millions) 3Q24 3Q23 2Q24 Wood Products Segment income $ 53.9 $ 99.6 $ 72.8 Depreciation and amortization 23.6 23.4 22.3 Segment EBITDA $ 7
Slide 15: Appendix - Lumber Composite Price
Appendix - Lumber Composite Price First Quarter Second Quarter Third Quarter Fourth Quarter $800 $700 $600 $500 $400 $300 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 2011 - 2020 Average 2023 2024 Source: Random Lengths November 5, 2024 15
Slide 16: Appendix - Panel Composite Price
Appendix - Panel Composite Price First Quarter Second Quarter Third Quarter Fourth Quarter $800 $700 $600 $500 $400 $300 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 2011 - 2020 Average 2023 2024 Source: Random Lengths November 5, 2024 16