0001370946-26-000067
SEC filingRevenue rose 2.6% to $10.1B, but a $1.135B goodwill impairment drove a net loss; adjusted EBITDA fell 8% as volumes declined across segments.
Owens Corning is a building products leader committed to building a sustainable future through material innovation. The company provides durable, sustainable, and energy-efficient solutions for roofing, insulation, and doors. Founded in 1938 and based in Toledo, Ohio, Owens Corning recorded net sales of $10.1 billion in 2025. The company is global in scope with approximately 25,000 employees in 31 countries. In February 2025, Owens Corning agreed to sell its global glass reinforcements business, completing a strategic shift to focus on building products in North America and Europe. The acquisition of Masonite International Corporation in May 2024 created a new Doors segment.
As of January 1, 2025, Owens Corning operates through three reportable segments: Roofing, Insulation, and Doors. In 2025, Roofing accounted for 43% of total reportable segment net sales, Insulation 36%, and Doors 21%. The Roofing segment primarily produces laminate asphalt roofing shingles, along with roofing components, composite lumber, and oxidized asphalt. It also manufactures glass mat and specialty veil materials. The Insulation segment offers a diverse portfolio of thermal and acoustical insulation products for residential, commercial, and industrial markets, with a geographic mix spanning the United States, Canada, Europe, and Latin America. The Doors segment, resulting from the Masonite acquisition, provides residential interior and exterior doors and door systems made from wood, glass, fiberglass, and metal, serving markets in the United States, Canada, and the United Kingdom.
Owens Corning's well-recognized brands include PINK® Next Gen™ FIBERGLAS™ Insulation, FOAMULAR®, FOAMGLAS®, and Paroc®. Roofing products include laminate asphalt shingles, glass nonwoven mat, and specialty veil materials. Insulation products include batts, loosefill, spray foam, wet use chopped strand, foam sheathing, pipe insulation, stone wool, and cellular glass. Doors include interior/exterior doors and components like frames, sills, and weatherstripping, as well as aluminum-framed glass doors for luxury homes.
Roofing products are sold through distributors, home centers, and lumberyards in the United States. Insulation is sold through insulation installers, home centers, lumberyards, retailers, and distributors in the US, Canada, Europe, and Latin America. Doors are sold through wholesale distribution channels (one-step and two-step distributors) and retail home centers, both in-store and online. No specific customer concentration is disclosed in the Business section.
According to industry reports and company estimates, Owens Corning's Roofing segment is the second largest producer of asphalt roofing shingles in the United States. The Insulation segment is North America's largest producer of residential, commercial, and industrial fiberglass insulation. The Doors segment is one of North America's largest producers of interior and exterior doors. Principal methods of competition include innovation, product design, service, location, quality, price, and product customization.
Owens Corning's strategy includes reshaping the company to focus on building products in North America and Europe, as demonstrated by the divestiture of the glass reinforcements business and the acquisition of Masonite. The company is committed to sustainability through its 2030 Sustainability Goals, targeting reductions in energy use, water consumption, waste, greenhouse gas emissions, and air pollutants. Innovation in material science is central to providing durable, sustainable, and energy-efficient solutions. The company also emphasizes maintaining leading market positions through product innovation, service, and quality, and fostering an inclusive, diverse culture with a strong focus on safety (Safer Together initiative) and employee engagement.
As of December 31, 2025, Owens Corning employed approximately 25,000 people globally, with about 11,000 located outside the United States. Approximately 61% of hourly employees are covered by collective bargaining agreements. The company's Recordable Incident Rate (RIR) was 0.60 in 2025. Owens Corning prioritizes safety through its Safer Together initiative and offers a Healthy Living well-being program. The company also focuses on employee performance management, succession planning, and fostering an inclusive corporate culture.
Owens Corning reported net sales of $10.1 billion in 2025, a 2.6% increase from $9.9 billion in 2024. The growth was driven by a full year of revenues from the Doors segment (acquired Masonite in May 2024) and higher selling prices in Roofing and Insulation, partially offset by lower sales volumes across all segments. Gross margin decreased $203 million to $2.8 billion (28.1% of sales vs. 30.9% prior year), reflecting volume declines and input cost inflation. Operating income (earnings before interest and taxes) fell sharply to $360 million from $1.5 billion, primarily due to a $1.1 billion goodwill impairment charge in the Doors segment. Net loss from continuing operations attributable to Owens Corning was $188 million, compared to net income of $947 million in 2024. Adjusted EBITDA, a non-GAAP measure management uses to evaluate performance, declined 8.1% to $2.3 billion from $2.5 billion, as growth in Doors was offset by weakness in Roofing and Insulation.
Roofing: Net sales decreased 4% to $4.4 billion, with approximately 7% lower volumes partially offset by $129 million in higher selling prices. EBITDA fell $121 million to $1.4 billion (32% margin vs. 33% prior year) due to lower volumes, $52 million input cost inflation, $20 million higher manufacturing costs, and other headwinds. The segment faces near-term demand uncertainty from weather patterns and competitive pricing.
Insulation: Net sales declined 6% to $3.7 billion, driven by 5% lower volumes, a $68 million unfavorable impact from the divestiture of the building materials business in China and Korea, and slight mix headwinds. EBITDA decreased $97 million to $848 million (23% margin vs. 24%), as production downtime of $50 million and input cost inflation of $42 million outweighed manufacturing cost savings and higher selling prices. Demand is tied to U.S. housing starts, which averaged 1.33 million SAAR in Q4 2025, down from 1.38 million a year ago.
Doors: Net sales surged 47% to $2.1 billion, entirely due to the Masonite acquisition. EBITDA was flat at $232 million (11% margin vs. 16%), as $43 million input cost inflation, lower volumes (~8%), and unfavorable manufacturing performance offset the acquisition benefit and lower SG&A. The segment recorded $1.1 billion in goodwill impairment and $39 million intangible impairment during 2025.
Management expects general corporate expenses of $245-$255 million in 2026 and capital expenditures of approximately $800 million. The Company sees near-term challenges in North American residential construction due to mortgage rates and soft discretionary repair/remodeling activity. Non-residential markets are expected to remain relatively stable. Roofing demand may ease, while Insulation faces continued headwinds from housing starts. The Doors segment outlook remains cautious given macroeconomic uncertainty. The Company is focused on cost management, productivity improvements, and capturing synergies. The planned divestiture of the Glass Reinforcements business is expected to close in early 2026, completing the strategic shift to residential and commercial building products.
As of December 31, 2025, Owens Corning held $345M in cash and equivalents. Total debt stood at $5,172M (including $50M short-term debt and $5,122M long-term debt), a net increase of $72M from 2024. Shareholders' equity was $3,853M, down from $5,077M due to the $1,135M goodwill impairment and $819M in share repurchases. Inventory increased to $1,472M, and deferred revenue (contract liabilities) totaled $133M, up from $118M in 2024.
The Notes disclose operating and finance lease obligations but do not provide specific purchase commitments. Undiscounted lease payments for continuing operations are $663M (operating) and $430M (finance) over the lease terms. No other material purchase commitments are disclosed.
In 2025, the Company repurchased 6.2M shares for $819M, significantly above the $488M in 2024. Dividends totaled $239M ($2.86 per share), with a quarterly dividend declared in February 2026 of $0.79, up from $0.715 in prior quarters. Debt net increased by $72M, reflecting $50M commercial paper issuance and $29M long-term repayments. Capital expenditures were $824M (8.2% of sales), up from $647M in 2024, driven by investments in Insulation ($326M) and Roofing ($246M).
The Company operates three segments: Roofing ($4,437M revenue, $1,411M EBITDA), Insulation ($3,700M revenue, $848M EBITDA), and Doors ($2,125M revenue, $232M EBITDA). Segment profitability is measured by EBITDA. Roofing saw a 4% revenue decline, Insulation 6% decline, while Doors grew 47% (driven by Masonite acquisition). Geographically, North America contributed 88% of total revenue, with U.S. operations at $8,270M. Europe represented 11% of sales. The Doors segment carries $380M of goodwill at risk after a $1,135M impairment in 2025.
The provided excerpt does not contain the consolidated statements of cash flows. The filing date is 2026-02-25 for 10-K year ending 2025, but the actual cash flow statement is not included in the provided text. Therefore, no cash flow analysis can be performed.