Owens Corning sees Q4 revenue $2.1B-$2.2B, consensus $2.47B

The company provided de following outlook for Q4: The key economic factors that impact the company’s business are residential repair activity, residential remodeling activity, U.S. housing starts, and commercial construction activity. Owens Corning (OC) expects residential new construction and remodeling to remain challenged with softer market conditions and year-end inventory destocking impacting all three businesses. The company expects near-term market demand for non-discretionary roofing repair activity to decline significantly in the fourth quarter, driven by lower storm activity and reduced distribution inventories versus prior year. Non-residential construction activity in North America is expected to be down slightly, and market conditions in Europe are anticipated to gradually improve. Owens Corning expects minimal Q4 impact from tariff exposure as a result of long-term and short-term mitigation efforts, based on current tariff policies. In the Q4, the company anticipates reducing its approximately $50 million tariff exposure to a net impact of about $10M, primarily in the Doors business. For the Q4, Owens Corning expects to continue to outperform prior cycles in the challenging market environment based on the structural improvements made to the company and its market-leading positions. It expects revenue from continuing operations to be down mid-to-high teens to approximately $2.1B-$2.2B. The enterprise expects to generate adjusted EBITDA margin from continuing operations of approximately 16%-18%. Owens Corning remains committed to delivering the long-term targets provided at its May 2025 Investor Day, including revenue growth, an annual adjusted EBITDA margin of mid-20% for the enterprise, and $5B of cumulative free cash flow by 2028.