CANADA - Norbord Inc., the world's largest OSB manufacturer, reported its second quarter 2020 results (2Q-2020) with adjusted EBITDA of USD 84 million, compared to USD 36 million in 2Q-2019.

Norbord recorded earnings of USD 18 million in the 2Q-2020, up from a loss of USD 14 million in the 2Q-2019. In the first half of 2020, Norbord recorded adjusted earnings of USD 52 million, compared to an adjusted loss of USD10 million.

Total sales in the 2Q-2020 were USD 421 million, compared to USD 447 million in the second quarter of 2019. In the first half of 2020 total sales decreased by USD 26 million or 6%. In North America, sales increased by 4% due to higher realized OSB prices, partially offset by a 12% decrease in shipment volumes. In Europe, sales were 30% lower due to lower average panel prices and a 15% decrease in shipment volumes.

In the first half of 2020 sales were USD 888 million, compared to USD 923 million in the same period last year, a decrease of USD 35 million or 4%. In North America, sales increased by 4% due to higher realized OSB prices, partially offset by a 9% decrease in shipment volumes. In Europe, sales decreased by 23% due to lower average panel prices and a 9% decrease in shipment volumes.

“The second quarter of 2020 started slowly as it overlapped with the significant pullback in economic activity that occurred during the early stages of the COVID-19 pandemic. However, we ultimately saw improving demand through the quarter that led to better than expected results. Our Adjusted EBITDA represented our best performance in seven quarters, more than doubling from year-ago levels and improving 12% from the prior quarter,” said Peter Wijnbergen, Norbord’s President & CEO. “Further, I am particularly pleased with our company’s ability to drive down costs while continuing to work safely within the strict protocols required by the pandemic.”