LP sales increase 10% in third quarter

OSB price deflation hurts earnings, but siding and engineered wood stepped up.

Nashville, Tenn.-based Louisiana-Pacific Corp. (LP) reported third-quarter sales of $507 million, up 10% from the same quarter last year.

The company said OSB prices continued to decline in the quarter, resulting in lower eanrings. LP reported income from continuing operations of $38 million, up from $31 million in last year's third quarter.

"Each of our business segments generated positive adjusted EBITDA in the quarter," said CEO Curt Stevens. 

He added: "We saw the pace of improvement in the housing market slow over the summer. However, the pace of permit activity, builder confidence and a slightly better economy should allow housing starts to grow in coming quarters." 

The company's engineered wood products segment saw sales increase to $72 million, up from $62 million in the third quarter of 2012.

In the siding segment, sales of $149 million increased 11% from $134 million. 

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