Owens Corning Stock Drops as Firm Warns of Slowdown Ahead | Global News Avenue

Owens Corning (OC) Stocks fell 4% on Monday as demand for its old products from manufacturers of thermal insulation and other building materials fell and warned of headwinds in North America and Europe.

Owens Corning reports adjustments for the fourth quarter Earnings per share (EPS) Revenue of $3.22 rose 23% year-on-year to $2.84 billion. Both exceeded the forecast.

However, revenue from $564 million in door sales was not found in the 2023 figures. Sales of roofs and insulation materials fell, while composite sales were basically flat.

The company said that “new residential buildings and remodels are expected to remain softer in the short term” and “commercial construction activity in North America is expected to be slower than the previous year.” In addition, Owens Corning said, “not yet implemented.” Gradually increasing tariffs may also have near-term impacts.”

In the quarter, Owens Corning predicted revenue from continued operations to the mid-20% year-on-year and adjusted for glass reinforcements to move to discontinued operations. In a transcript of the conference call provided by Alphaense, executives said they also expect inflation to have a higher impact than a year ago. Over the entire year, revenue from its old products will drop slightly due to lower volumes.

Even today’s decline, Owens Corning’s stock has increased by about 8% over the past year.