Investors

Norbord’s business strategy is focused entirely on the wood panels sector – in particular OSB – in North America and Europe. Our strategy is composed of the following six key components:

  1. Develop world class safety culture.
  2. Pursue growth in OSB.
  3. Own high-quality assets with low-cost positions.
  4. Maintain a margin-focused operating culture.
  5. Focus on growth customers.
  6. Allocate capital with discipline.

Norbord is of the view that the successful execution of this strategy will provide real value for our shareholders over the cycle. The information posted on this section of the website was accurate at the time of posting but may have been superseded by subsequent disclosures.

Summary of Financial Performance

US$ millions, unless otherwise noted Three months ended Nine months ended
3rd Qtr
2016
3rd Qtr
2015
Sep 24
2016
Sep 26
2015
Key Performance Metrics
Return on capital employed (ROCE) 32% 8% 26% 6%
Return on equity (ROE) 41% (3)% 29% (7)%
Cash provided by (used for) operating activities $97 $23 $183 $(32)
Cash provided by (used for) operating activities, per share $1.13 $0.27 $2.14 $(0.38)
Sales and Earnings
Sales $453 $378 $1,284 $1,094
Operating income (loss) 87 8 193 (2)
Adjusted EBITDA 114 30 269 65
Earnings (loss) 55 (9) 122 (69)
Adjusted earnings (loss) 58 (4) 120 (30)
Per common share
Earnings (loss), basic and diluted(1) $.64 $(0.11) $1.43 $(0.81)
Adjusted earnings (loss), basic and diluted(2) $0.68 $(0.05) $1.40 $(0.36)
Dividends declared(3) $0.10 $0.10 $0.30 $0.60
Select Balance Sheet Data
Operating working capital $156 $145 $156 $145
Total working capital 229 147 229 147
Total assets 1,718 1,653 1,718 1,653
Net debt, for financial covenant purposes(2) 705 758 705 758
Shareholders’ equity 593 520 593 520
Shipments (MMsf-3/8″)
North America 1,463 1,409 4,287 4,038
Europe(4) 438 453 1,332 1,315
Indicative Average OSB
Average OSB price – North Central ($/Msf-7/16″) $301 $204 $264 $197
Average OSB price – South East ($/Msf-7/16″) $256 $176 $239 $175
Average OSB price – Western Canada ($/Msf-7/16″) $265 $158 $233 $156
Average OSB price – Europe (€/m3)(3) €235 €220 €234 €223
Net debt to total capitalization
Net debt to total capitalization, market basis(2) 29% 32% 29% 32%
Net debt to total capitalization, book basis(2) 45% 51% 45% 51%
(1)  Basic and diluted earnings (loss) per share are the same except diluted earnings per share for 9 months 2016 is $1.42.
(2)  Basic and diluted Adjusted earnings (loss) per share are the same except diluted Adjusted earnings per share for Q3 2016 is $0.67 and for the 9 months 2016 is $1.39.
(3)  Dividends declared per share stated in Canadian dollars.
(4) European indicative average OSB price represents the gross delivered price to the largest continental market.