Louisiana-Pacific Corp Earnings Cheat Sheet: Loss Widens

Louisiana-Pacific Corporation (NYSE:LPX) reported its results for the third quarter. Louisiana-Pacific is engaged in the manufacture of building products. It operates in three segments: Oriented Strand Board, Siding, and Engineered Wood Products.

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Louisiana-Pacific Earnings Cheat Sheet for the Third Quarter

Results: Loss widened to $65.6 million (49 cents per diluted share) from $32 million (loss of 24 cents per share) in the same quarter a year earlier.

Revenue: Rose 8.7% to $350.6 million from the year earlier quarter.

Actual vs. Wall St. Expectations: LPX reported an adjusted net loss of 19 cents per share. By that measure, the company fell short of the mean analyst estimate of a loss of 18 cents per share. Analysts were expecting revenue of $344.7 million.

Quoting Management: “The building products market moved ahead at a slow place in the third quarter,” said Rick Frost, Chief Executive Officer. “Housing activity remains at low levels, consumer confidence has been negatively affected by the political situation in Washington and job recovery remains muted. LP was agile in our response to the market conditions and ended the quarter with slightly higher cash balances than at the end of June.”

Key Stats:

The company has now fallen short of analyst estimates for the last three quarters. It missed the mark by 8 cents in the second quarter and by 4 cents in the first quarter.

Revenue rose last quarter after seeing a drop the quarter before. Revenue fell 18.9% to $362.4 million in the second quarter from the year earlier.

Looking Forward: Analysts seem more negative about the company’s results for the next quarter than a month ago. The average estimate for the fourth quarter has moved from a loss of 20 cents a share to a loss of 21 cents over the last thirty days. The average estimate for the fiscal year has reached a loss of 74 cents per share, down from a loss of 72 cents ninety days ago.

Competitors to Watch: Universal Forest Products, Inc. (NASDAQ:UFPI), Weyerhaeuser Company (NYSE:WY), Masisa S.A. (MYSZY), Masonite (Africa) Limited (NYSE:MAS), and Pfleiderer Grajewo SA (GRJ).

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(Source: Xignite Financials)