Owens Corning

Second-quarter revenue was $2.8 billion, adjusted EBITDA was $660 million, adjusted EBITDA margin was 24%, and adjusted EPS was $3.93. Roofing sales were approximately $1.3 billion with EBITDA of $441 million and a 34% margin; Insulation sales were $971 million with EBITDA of $213 million and a 22% margin; Doors sales were $513 million with EBITDA of $57 million and an 11% margin. Free cash flow was $199 million versus $129 million a year ago, capital additions were $194 million, and the company returned $264 million to shareholders in the quarter. For Q3, Owens Corning expects enterprise revenue of $2.6 billion to $2.7 billion and adjusted EBITDA margin of approximately 20% to 22%; segment outlook calls for Roofing revenue down mid- to high single digits with about a 30% EBITDA margin, Insulation revenue up mid-single digits with margin in line with Q2 at 22%, and Doors revenue down mid-single digits with about a 10% EBITDA margin.

Brian Chambers framed the quarter as evidence that the reshaped company is outperforming near-term markets through execution, market-leading positions, and disciplined capital deployment. He emphasized the company’s residential-focused portfolio, its brand and commercial strength, and multiple paths for growth in revenue, earnings, and cash flow. He also highlighted progress on strategic investments, including the Kansas City fiberglass line, the Alabama roofing plant, and AI-enabled commercial tools, while sounding confident that these investments support long-term value creation.

Todd Fister said Q2 EBITDA included $25 million of tariff refunds, which partially offset $30 million of net cost inflation tied to the Iran conflict. He noted free cash flow of $199 million, capital additions of $194 million, return on capital of 10% over the trailing 12 months, and leverage of 2.4x debt-to-EBITDA with $1.8 billion of liquidity, including $271 million of cash. He also reiterated 2026 corporate EBITDA expense of $245 million to $255 million, a tax rate of 24% to 26%, D&A of about $680 million, and capital additions of around $800 million.

Analysts focused on Insulation volume strength, Roofing pricing and channel inventories, the impact of tariff refunds, and whether margins can recover toward long-term targets. Management said Insulation’s strength reflected a mix of structural investment and pockets of good market demand, especially in nonresidential and Europe, while Nephi is being reopened mainly to support future rebuild activity and network flexibility. On Roofing, management said Q2 saw pull-forward ahead of price increases and that Q3 volumes should normalize as inventories work through, while also saying price realization is improving but inflation could keep price/cost negative for a while. They also said tariff refunds are mainly an offset to tariff costs already incurred, not a separate growth funding source.