Total net sales for the second quarter of 2020 decreased by $40 million for Louisiana-Pacific versus the prior year to $548 million compared to the second quarter of 2019. Net income increased by $16 million over the prior year to $33 million, or 29 cents per diluted share.
SmartSide strand revenue increased by $7 million (four percent) and OSB prices increased by $37 million, the company said in its quarterly report.
“As the housing sector rebounded sharply in the second quarter, LP’s growing product diversity and customer breadth positioned us well to participate in the recovery. As demand accelerated through May and June, LP’s agility and strategic focus generated EBITDA and EPS growth despite significant downtime in April,” said said LP Chief Executive Officer Brad Southern.
Total net sales for the first six months of 2020 decreased by $37 million over the prior year to $1.133 billion compared to the first six months of 2019. SmartSide strand revenue increased by $11 million (or three percent) and OSB prices increased by $56 million on 10 % lower volume.
Net income attributed to LP for the first six months of 2020 increased by $22 million over the prior year to $66 million, or 58 cents per diluted share. In addition to the increase in OSB prices, wood fiber and resin costs were favorable to the prior year by $12 million.