NYSE$OC

Owens Corning Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Owens Corning reported first-quarter results, with net sales in-line with the prior year and adjusted EBIT margin of 19%.

Owens Corning reported net sales of $2.3 billion, in-line with the prior year. The company generated net earnings of $299 million and adjusted EBIT of $438 million. Diluted EPS was $3.40 and adjusted diluted EPS was $3.59.

  • Net sales were $2.3 billion, in-line with prior year.
  • Net earnings margin was 13%, adjusted EBIT margin was 19%, and adjusted EBITDA margin was 25%.
  • Diluted EPS was $3.40 and adjusted diluted EPS was $3.59.
  • Operating cash flow was $24 million and free cash outflow was $128 million.

Headline financials

Total Revenue

$2.3B

Previous: $2.33B-1.3%
EPS

$3.40

Previous: $2.77+22.7%
Operating Cash Flow

$24M

No prior period
Free Cash Flow

-$128M

No prior period
Capital Expenditures

-$152M

No prior period
Net Income

$299M

Previous: $383M-21.9%
Operating Income

$403M

Previous: $534M-24.5%
Gross Profit

$680M

Previous: $589M+15.4%
Cash & Equivalents

$1.25B

Previous: $757M+65.7%
Total Assets

$11.3B

Previous: $10.8B+4.0%
R&D Expense

$31M

No prior period
Stock-Based Comp

$14M

Previous: $13M+7.7%

Revenue & EPS history

Owens Corning · Revenue · Quarterly

$2.3B

Q1 2024-1.3%vs Q1 2023
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Owens Corning · $2B total across 2 segments · Q3 2023

  • Roofing
    $1.08B+8.1%
  • Insulation
    $913M-5.4%

Forward guidance

Owens Corning expects its North American building and construction markets to remain favorable, with good demand for its products in the near-term. Outside North America, macroeconomic trends and geopolitical tensions continue to result in slow global economic growth. For the second-quarter 2024, the company expects overall performance to result in net sales in line with second quarter 2023, while generating approximately 20% EBIT margins for its existing businesses.

Tailwinds

  • North American building and construction markets expected to remain favorable.
  • Good demand for products in the near-term.
  • Expects to generate approximately 20% EBIT margins for its existing businesses.
  • Capital Additions Approximately $550 million
  • Depreciation and Amortization Approximately $550 million

Headwinds

  • Macroeconomic trends and geopolitical tensions continue to result in slow global economic growth.
  • General Corporate Expenses $240 million to $250 million
  • Interest Expense $70 million to $80 million
  • Effective Tax Rate on Adjusted Earnings 24% to 26%
  • The above outlook excludes the impact of any acquisitions or divestitures not yet completed.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

-0.9%

Avg return

Earnings day

-1.1%

Avg return

5 days after

+0.5%

Avg return

30 days after

38%

26 / 68 earnings

Positive

+19.5%

Q3 2011

Best reaction

-13.9%

Q2 2011

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.1%-2.6%-3.1%
Q4 2025-2.3%-7.8%-17.4%
Q3 2025-9.5%-15.8%-7.4%
Q1 2025-8.5%+0.4%-5.1%
Q4 2024-1.6%-6.9%-10.7%
Q3 2024+2.7%+6.0%+10.6%
Q2 2024-6.3%-4.5%-3.3%
Q1 2024-1.5%+2.4%+8.2%
Q4 2023-3.3%-4.8%+8.7%
Q3 2023-7.7%-8.7%+7.9%
Q2 2023+6.3%+7.1%+3.6%
Q1 2023+4.0%+6.1%+9.9%
Q4 2022-1.7%-3.4%-13.2%
Q3 2022-6.7%-4.2%+1.8%
Q2 2022+8.7%+12.3%+3.1%
Q1 2022+6.7%+8.3%+13.0%
Q4 2021+5.8%+6.2%+6.3%
Q3 2021+3.3%+4.1%-3.4%
Q2 2021+4.5%+2.4%+6.9%
Q1 2021+1.3%+2.3%+9.8%
Q4 2020-2.2%-2.1%+8.0%
Q3 2020-2.3%-1.1%+7.9%
Q2 2020+0.0%+1.4%+12.9%
Q1 2020+8.1%+1.1%+30.9%
Q4 2019+6.1%-1.8%-50.5%
Q3 2019-2.7%-0.6%+6.1%
Q2 2019+7.6%+3.6%-0.7%
Q1 2019-9.6%-6.7%-10.2%
Q4 2018-6.9%-10.7%-16.5%
Q3 2018-4.5%-6.2%+8.0%
Q2 2018-7.1%-3.8%-12.1%
Q1 2018-11.8%-13.5%-14.9%
Q4 2017-2.5%-1.9%-11.0%
Q3 2017-2.0%+0.8%+8.4%
Q2 2017+6.0%+4.6%+9.4%
Q1 2017-2.3%-3.1%-0.9%
Q4 2016+2.7%+4.1%+11.0%
Q3 2016-3.0%-2.0%+7.9%
Q2 2016-1.6%-2.6%-1.9%
Q1 2016-9.0%
Q4 2015-1.7%
Q3 2015-0.7%
Q2 2015+2.6%
Q1 2015-3.9%
Q4 2014-2.7%
Q3 2014+3.1%
Q2 2014-4.5%
Q1 2014-4.8%
Q4 2013+8.4%
Q3 2013-4.9%
Q2 2013-1.4%
Q1 2013+6.3%
Q4 2012-10.7%
Q3 2012-4.3%
Q2 2012+5.2%
Q1 2012-0.2%
Q4 2011-4.4%
Q3 2011+19.5%
Q2 2011-13.9%
Q1 2010+2.4%
Q1 2011+2.0%
Q4 2008+10.7%
Q4 2010+10.7%
Q3 2010-3.0%
Q3 2009-3.0%
Q2 2009-8.1%
Q4 2009-8.1%
Q2 2010-8.1%

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