Norbord plant
Forestry company Norbord Inc. returned to profitability in the second quarter as sales volumes and North American pricing improved along with the resurgence in construction activity.
The wood panel maker reported Thursday its profit was $37-million or 85 cents per share, with $278-million in revenue.
That contrasted with a loss of $18-million or 42 cents per share in the second quarter of 2009, when revenue was just $174-million.
The Toronto-based company, part of the Brookfield Asset Management group, has struggled with the prolonged downturn of house construction in North America and Europe.
Norbord's main product is oriented-strand board, a type of wood panelling that is a popular substitute for plywood in the construction industry.
The company's chief executive officer, Barrie Shineton, says all of Norbord's operating mills were running at full capacity during the second quarter and North American prices for OSB were up, although he cautioned that the market remain fragile.
"Economic news continues to be mixed, however a housing recovery is taking hold and we remain confident that our financial performance will continue to improve on the prior year," Mr. Shineton said.