Home builders getting back to work helped Nashville-based Louisiana Pacific turn something close to a profit during the 2nd quarter. Revenues on the sale of siding and wood materials are up 18 percent.
“Cautiously optimistic” continues to be the phrase of choice from LP CEO Curt Stevens. But talking to analysts, he had reason to cheer. For only the second time in since 2006, LP made a quarterly profit, though not technically.
“After adjusting for the costs associated with our successful debt refinancing, LP made money.”
Stevens says the company will try to remain nimble as new construction picks back up. Housing starts are expected to reach 750,000 this year. That’s up 25 percent from last year.
LP has idled many of its saw mills. Stevens says it would cost the company between $5 and $10 million to bring each of them back on line.