NYSE$OC

Owens Corning Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Owens Corning reported strong performance driven by the resiliency of the team, the strength of its businesses, and the earnings power of the company amid changing market conditions.

Owens Corning reported a net sales increase of 7% and net earnings attributable to Owens Corning of $124 million. The company's adjusted EBIT was $333 million and adjusted EBITDA was $460 million. Diluted EPS was $1.32 and adjusted diluted EPS was $2.49. Operating cash flow was $675 million and free cash flow was $535 million.

  • Net sales increased by 7% compared to the prior year.
  • Net earnings attributable to Owens Corning decreased by 45%.
  • Adjusted EBIT increased by 2% year-over-year.
  • Free cash flow was $535 million, up from $162 million in the prior year.

Headline financials

Total Revenue

$2.29B

Previous: $2.13B+7.2%
EPS (adj)

$2.49

Previous: $2.20+13.2%
Adjusted EBITDA

$460M

Previous: $452M+1.8%
Adjusted EBITDA Margin

20.0%

Previous: 21.0%-4.8%
Operating Cash Flow

$675M

Previous: $335M+101.5%
Free Cash Flow

$535M

Previous: $162M+230.2%
Net Income

$122M

Previous: $228M-46.5%
Operating Income

$179M

Previous: $323M-44.6%
Gross Profit

$570M

Previous: $559M+2.0%
Cash & Equivalents

$1.1B

Previous: $959M+14.6%
Total Assets

$10.8B

Previous: $10B+7.4%
Stock-Based Comp

$13M

Previous: $14M-7.1%

Revenue & EPS history

Owens Corning · Revenue · Quarterly

$2.29B

Q4 2022+7.2%vs Q4 2021
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Owens Corning · $1.76B total across 2 segments · Q4 2022

  • Insulation
    $956M+10.8%
  • Roofing
    $799M+12.2%

Forward guidance

The company expects many of its end markets to be more challenging as the impacts of ongoing inflation, higher interest rates, and continued geopolitical uncertainties result in a decelerating global economic environment. For first-quarter 2023, the company expects overall performance to result in a moderate decline of net sales, versus the comparable quarter in the prior year, with EBIT margins of low to mid-teens.

Headwinds

  • Ongoing inflation
  • Higher interest rates
  • Continued geopolitical uncertainties
  • Decelerating global economic environment
  • Moderate decline of net sales

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 Q4 2022

Historical avgQ4 2022

-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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