Norbord reports a loss of $30m for 20196 February 2020
Norbord’s full year report states an EBITDA of $138m for 2019 compared to $724m in 2018 recording an adjusted loss of $30m compared to $412m in 2018.
Norbord recorded adjusted EBITDA of $27m in Q4 much lower than the Q3 earnings of $33m and significantly less than 2018’s Q4 results of $70m. The quarter-on-quarter decline was explained as being due to lower shipment volumes and higher downtime, only marginally offset by slightly higher North American OSB prices.
Norbord recorded a Q4 adjusted loss of $11m compared to a $9m adjusted Q3 loss and adjusted earnings of $26m for Q4 2018.
“2019 was a challenging year for Norbord,” said Peter Wijnbergen, Norbord’s president and CEO. “Our financial results were disappointing relative to our record performance in 2018, as the slowdown in US housing starts through most of 2019 decreased North American OSB demand and a slowing of German industrial production put downward pressure on European panel prices.
“In the face of these challenges, we focused on reducing both costs and production, by indefinitely curtailing operations at our 100 Mile House, British Columbia mill and Line 1 at our Cordele, Georgia mill.”