Selected Segment Data

9 Months Ended

Sep. 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 Sheathing, LP WeatherLogic® Air & Water Barrier, LP Legacy® Premium Sub-Flooring, LP® FlameBlock® Fire-Rated Sheathing, and 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 September 30, 2025
	Siding		OSB		LPSA		Segment Total		Other		Consolidated
Net sales	$	443	$	179	$	39	$	661	$	2	$	663
Cost of sales	(301)		(203)		(27)		(531)		(3)		(534)
Selling, general, and administrative expenses	(48)		(18)		(9)		(75)		(20)		(95)
Adjustments to Adjusted EBITDA:
Depreciation and amortization	20		14		2		36		—		36
Other charges1	3		1		—		5		8		12
Adjusted EBITDA	$	117	$	(27)	$	5	$	95	$	(13)	$	82
	Three Months Ended September 30, 2024
	Siding		OSB		LPSA		Segment Total		Other		Consolidated
Net sales	$	420	$	253	$	47	$	720	$	2	$	722
Cost of sales	(280)		(215)		(32)		(527)		(2)		(530)
Selling, general, and administrative expenses	(38)		(17)		(6)		(61)		(15)		(75)
Adjustments to Adjusted EBITDA:
Depreciation and amortization	19		11		1		31		—		31
Other charges1	1		1		—		2		3		5
Adjusted EBITDA	$	123	$	33	$	9	$	165	$	(12)	$	153
	Nine Months Ended September 30, 2025
	Siding		OSB		LPSA		Segment Total		Other		Consolidated
Net sales	$	1,305	$	696	$	134	$	2,135	$	6	$	2,141
Cost of sales	(890)		(643)		(95)		(1,628)		(9)		(1,637)
Selling, general, and administrative expenses	(133)		(52)		(21)		(206)		(44)		(250)
Adjustments to Adjusted EBITDA:
Depreciation and amortization	60		40		6		106		—		106
Other charges1	6		4		2		12		13		25
Adjusted EBITDA	$	348	$	46	$	25	$	419	$	(33)	$	386
	Nine Months Ended September 30, 2024
	Siding		OSB		LPSA		Segment Total		Other		Consolidated
Net sales	$	1,196	$	917	$	140	$	2,253	$	7	$	2,261
Cost of sales	(825)		(656)		(101)		(1,583)		(8)		(1,591)
Selling, general, and administrative expenses	(113)		(47)		(14)		(174)		(41)		(215)
Adjustments to Adjusted EBITDA:
Depreciation and amortization	55		33		4		92		—		93
Other charges1	4		2		—		6		10		17
Adjusted EBITDA	$	318	$	249	$	29	$	594	$	(32)	$	564

1 Other charges includes stock compensation and income from equity in unconsolidated affiliates.

	Three Months Ended September 30,				Nine Months Ended September 30,
	2025		2024		2025		2024
NET INCOME TO ADJUSTED EBITDA RECONCILIATION
Net income	$	9	$	90	$	154	$	358
Add (deduct):
Provision for income taxes	9		23		54		117
Depreciation and amortization	36		31		106		93
Stock-based compensation expense	12		4		24		15
Loss on impairment	13		—		31		—
Other operating credits and charges, net	1		1		5		2
Business exit credits and charges	1		—		1		(14)
Interest expense	4		4		11		12
Investment income	(5)		(6)		(12)		(17)
Other non-operating items	1		4		13		(2)
Adjusted EBITDA	$	82	$	153	$	386	$	564

Information concerning identifiable assets by segment is as follows (dollar amounts in millions):

	September 30, 2025		December 31, 2024
Identifiable Assets
Siding	$	1,380	$	1,319
OSB	543		554
LPSA	168		145
Other	559		551
Total assets	$	2,649	$	2,569

Other segment related assets include cash and cash equivalents, short-term and long-term investments, corporate assets, and other items.