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 The information posted on this section of the website was accurate at the time of posting but may have been superseded by subsequent disclosures.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 Year ended
1st Qtr
2018
1st Qtr
2017
Dec 31
2017
Dec 31
2016
Sales and Earnings
Sales $576 $467 $2,177 $1,766
Operating income 139 73 549 280
Adjusted EBITDA(1) 170 103 672 385
Earnings 95 49 436 183
Adjusted earnings (1) 96 50 389 174
Per common share
Earnings, basic $1.10 $0.57 $5.06 $2.14
Earnings, diluted $1.09 $0.57 $5.03 $2.13
Adjusted earnings, basic(1) $1.11 $0.58 $4.51 $2.03
Adjusted earnings, diluted(1) $1.10 $0.58 $4.49 $2.02
Dividends declared(2) $0.60 $0.10 $1.50 $0.40
Select Balance Sheet Data
Operating working capital $218 $171 $127 $118
Total working capital 338 182 295 278
Total assets 2,097 1,725 2,103 1,799
Long-term debt(5) 549 547 548 746
Net debt, for financial covenant purposes(1) 422 580 333 619
Shareholders’ equity 1,087 1,019 1,019 650
Net debt to total capitalization, market basis(1) 13% 22% 11% 25%
Net debt to total capitalization, book basis(1) 24% 38% 21% 41%
Shipments (MMsf-3/8″)
North America 1,521 1,431 6,066 5,888
Europe 461 479 1,867 1,779
Indicative Average OSB Price
North Central ($/Msf-7/16″) $370 $293 $353 $269
South East ($/Msf-7/16″) $331 $292 $330 $245
Western Canada ($/Msf-7/16″) $359 $265 $326 $234
Europe (€/m3)(6) €274 €226 €239 €233
Key Performance Metrics
Return on capital employed (ROCE)(1) 42% 29% 45% 27%
Return on equity (ROE)(1) 37% 30% 47% 30%
Cash provided by operating activities $4 $39 $608 $313
Cash provided by operating activities, per share(1) $0.05 $0.45 $7.05 $3.66
(1) Non-IFRS measure; see the Non-IFRS Financial Measures section in Norbord’s Q1 2018 Management’s Discussion and Analysis (MD&A) dated May 2, 2018 and 2017 MD&A dated February 1, 2018 for a quantitative reconciliation of these non-IFRS measure to the most directly comparable IFRS measure.

(2) Dividends declared per share stated in Canadian dollars.

(3) Includes current and non-current long-term debt.

(4) European indicative average OSB price represents the gross delivered price to the largest continental market.