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 The information posted on this section of the website was accurate at the time of posting but may have been superseded by subsequent disclosures.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 Six months ended
2nd Qtr
2017
2nd Qtr
2016
July 01
2017
Jun 25
2016
Sales and Earnings
Sales $536 $447 $1,003 $831
Operating income 135 67 208 106
Adjusted EBITDA(1) 165 94 268 155
Earnings (loss) 97 44 146 67
Adjusted earnings (loss)(1) 95 42 145 62
Per common share
Earnings (loss), basic(2) $1.13 $0.51 $1.70 $0.78
Adjusted earnings (loss), basic(1,3) $1.10 $0.49 $1.69 $0.73
Dividends declared(4) $0.30 $0.10 $0.40 $0.20
Select Balance Sheet Data
Operating working capital $181 $163 $181 $163
Total working capital 187 174 187 174
Total assets 1,772 1,654 1,772 1,654
Long-term debt(5) 547 745 547 745
Net debt, for financial covenant purposes(1) 567 751 567 751
Shareholders’ equity 784 553 784 553
Net debt to total capitalization, market basis(1) 20% 31% 20% 31%
Net debt to total capitalization, book basis(1) 36% 48% 36% 48%
Shipments (MMsf-3/8″)
North America 1,536 1,487 2,967 2,824
Europe 474 459 953 894
Indicative Average OSB Price
North Central ($/Msf-7/16″) $330 $264 $312 $245
South East ($/Msf-7/16″) $320 $245 $306 $230
Western Canada ($/Msf-7/16″) $324 $242 $294 $217
Europe (€/m3)(6) €230 €237 €228 €234
Key Performance Metrics
Return on capital employed (ROCE)(1) 44% 26% 37% 23%
Return on equity (ROE)(1) 51% 31% 41% 24%
Cash provided by operating activities $144 $83 $183 $86
Cash provided by operating activities, per share(1) $1.67 $0.97 $2.13 $1.01
(1) Non-IFRS measure; see Non-IFRS Financial Measures section.
(2) Basic and diluted earnings per share are the same except diluted earnings per share for Q2 2017 is $1.12 and 6 months 2017 is $1.69.
(3) Basic and diluted Adjusted earnings per share are the same except diluted Adjusted earnings per share for 6 months 2017 is $1.67 and 6 months 2016 is $0.72.
(4) Dividends declared per share stated in Canadian dollars.
(5) Includes current and non-current long-term debt.
(6) European indicative average OSB price represents the gross delivered price to the largest continental market.