Owens Corning, the building-materials maker based in Toledo, Ohio, announced a decrease in earnings and sales for the third quarter. The decline is attributed to the impact of rising mortgage rates on the demand for home-building supplies.
For the quarter ended September 30, Owens Corning reported a net income of $337 million, or $3.71 per share. This is a decrease from $470 million, or $4.84 per share, recorded during the same period last year. Adjusted earnings, excluding certain one-time items, came in at $4.15 per share, surpassing the average analyst target of $3.89 per share.
Owens Corning experienced a 2% decline in third-quarter sales, amounting to $2.48 billion. This figure falls short of the average estimate of $2.54 billion from analysts polled by FactSet. The company's roofing sales declined by 8% to $1.1 billion during the three-month period.
Despite weaker macroeconomic trends internationally and increasing interest rates impacting global economic growth, Owens Corning expects its building and construction end markets to remain relatively stable in the near term. The company remains cautiously optimistic about its prospects.
During the third quarter, Owens Corning returned $187 million to its shareholders through dividends and share repurchases.