v3.25.2
Selected Segment Data
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Selected Segment Data SELECTED SEGMENT DATA
The Company operates in three segments: Siding, OSB, and LPSA. Our business units have been aggregated into these three segments based upon the similarity of economic characteristics, customers, and distribution methods. The results of operations are summarized below for each of these segments separately, as well as for the “Other” category, which comprises other products that are not individually significant.
•The Siding segment serves diverse end markets with a broad product portfolio of engineered wood siding, trim, soffit, and fascia, including LP® SmartSide® Trim & Siding, LP® SmartSide® ExpertFinish® Trim & Siding, LP BuilderSeries® Lap Siding, and LP® Outdoor Building Solutions® (collectively referred to as Siding Solutions).
•The OSB segment manufactures and distributes OSB structural panel products, including the innovative value-added OSB product portfolio known as LP® Structural Solutions (which includes LP® TechShield® Radiant Barrier, LP WeatherLogic® Air & Water Barrier, LP Legacy® Premium Sub-Flooring, LP NovaCore® Thermal Insulated Sheathing, LP® FlameBlock® Fire-Rated Sheathing, LP® TopNotch® 350 Durable Sub-Flooring) and LP® Oriented Strand Board.
•The LPSA segment manufactures and distributes OSB structural panel and Siding Solutions products in South America and certain export markets. This segment also sells and distributes a variety of companion products to support the region’s transition to wood frame construction. The LPSA segment carries out manufacturing operations in Chile and Brazil and operates sales offices in Argentina, Brazil, Chile, Colombia, Mexico, Paraguay, and Peru.
Performance of our business segments is evaluated based on net sales and segment Adjusted EBITDA. Accordingly, our chief operating decision maker, the chief executive officer, evaluates performance and allocates resources based primarily on net sales and segment Adjusted EBITDA for each business segment. Segment Adjusted EBITDA is defined as income attributed to LP excluding interest expense, provision for income taxes, depreciation and amortization, stock-based compensation expense, loss on impairment attributed to LP, business exit credits and charges, product-line discontinuance charges, other operating credits and charges, net, loss on early debt extinguishment, investment income, pension settlement charges, other non-operating items, income from discontinued operations, net of income taxes, and net income attributed to noncontrolling interest.
Information regarding the Company's business segments is presented below (dollar amounts in millions):
Three Months Ended June 30, 2025
SidingOSBLPSASegment TotalOtherConsolidated
Net sales$460 $250 $43 $753 $2 $755 
Cost of sales(314)(229)(31)(573)(3)(577)
Selling, general, and administrative expenses(44)(18)(6)(67)(13)(79)
Adjustments to Adjusted EBITDA:
Depreciation and amortization
20 13 2 36 — 36 
Other charges1
2 2 1 4 4 8 
Adjusted EBITDA$125 $19 $9 $153 $(10)$142 
Three Months Ended June 30, 2024
SidingOSBLPSASegment TotalOtherConsolidated
Net sales$415 $351 $46 $812 $2 $814 
Cost of sales(291)(222)(34)(548)(3)(551)
Selling, general, and administrative expenses(39)(15)(4)(58)(13)(71)
Adjustments to Adjusted EBITDA:
Depreciation and amortization
19 11 2 31 — 31 
Other charges1
1 1 — 2 3 5 
Adjusted EBITDA$105 $125 $10 $240 $(11)$229 
Six Months Ended June 30, 2025
SidingOSBLPSASegment TotalOtherConsolidated
Net sales$862 $517 $95 $1,474 $4 $1,478 
Cost of sales(590)(440)(68)(1,097)(6)(1,103)
Selling, general, and administrative expenses(85)(34)(12)(131)(24)(154)
Adjustments to Adjusted EBITDA:
Depreciation and amortization
40 26 4 70 — 70 
Other charges1
3 3 1 7 6 13 
Adjusted EBITDA$230 $73 $21 $324 $(20)$304 
Six Months Ended June 30, 2024
SidingOSBLPSASegment TotalOtherConsolidated
Net sales$776 $664 $93 $1,533 $5 $1,539 
Cost of sales(546)(441)(69)(1,056)(6)(1,062)
Selling, general, and administrative expenses(75)(31)(8)(114)(26)(140)
Adjustments to Adjusted EBITDA:
Depreciation and amortization
37 22 3 62 — 62 
Other charges1
3 1 — 4 8 12 
Adjusted EBITDA$195 $215 $20 $429 $(19)$411 
1 Other charges includes stock compensation and income from equity in unconsolidated affiliates.
 Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
NET INCOME TO ADJUSTED EBITDA RECONCILIATION
Net income$54 $160 $145 $267 
Add (deduct):
Provision for income taxes19 53 45 94 
Depreciation and amortization36 31 70 62 
Stock-based compensation expense7 4 12 11 
Loss on impairment17 — 17 — 
Other operating credits and charges, net2 1 4 1 
Business exit credits and charges— (14)— (15)
Interest expense4 4 7 8 
Investment income(4)(6)(8)(11)
Other non-operating items7 (5)12 (6)
Adjusted EBITDA$142 $229 $304 $411 
Information concerning identifiable assets by segment is as follows (dollar amounts in millions):
June 30, 2025December 31, 2024
Identifiable Assets
Siding$1,351 $1,319 
OSB556 554 
LPSA165 145 
Other584 551 
Total assets$2,656 $2,569 
Other segment related assets include cash and cash equivalents, short-term and long-term investments, corporate assets, and other items.