Owens Corning
For the period ended Sep 30, 2026. Filed Nov 4, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2026 · Filed Nov 4, 2026
OC$121.31-2.4%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-06-30; filed 2026-08-05.
0001370946-26-000177
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-09-30; filed 2026-11-04.
0001370946-26-000225
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 137 previous paragraphs and 154 current paragraphs.
98 unchanged; 37 reworded; 19 added; 2 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 19 previous and 21 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (19)
Current report
Impairment Charges
Current report
In the third quarter of 2026, the Company conducted an interim goodwill impairment test for the Doors reporting unit due to a narrow valuation cushion, heightened macroeconomic uncertainties and a reduced financial outlook. The fair value was determined using the income approach. The test resulted in the carrying value of the reporting unit exceeding its fair value, and, resultingly, the Company recorded a $366 million pre-tax non-cash impairment charge, fully impairing the remaining Doors reporting unit goodwill in the third quarter of 2026. The Company also performed an interim impairment test for an indefinite-lived tradename used by its Doors reportable segment, triggered by the same conditions that precipitated the interim goodwill impairment test for the third quarter of 2026 as well as a management decision regarding a change in the expected use of the tradename. As a result of this test, the Company recorded a pre-tax non-cash impairment charge of $77 million and reclassified the asset to definite-lived intangible assets as of September 30, 2026.
Current report
GOODWILL IMPAIRMENT
Current report
In the third quarter of 2026, the Company recorded a non-cash impairment charge of $366 million related to the Doors reporting unit, fully impairing the remaining goodwill. In the third quarter of 2025, the Company recorded a non-cash impairment charge of $780 million related to the Doors reporting unit, which was equal to the excess of the reporting unit's carrying value over its fair value.
Current report
INTANGIBLE ASSETS IMPAIRMENT
Current report
In the third quarter of 2026, the Company recorded a pre-tax non-cash impairment charge of $77 million related to an indefinite-lived tradename used by our Doors reportable segment.
Current report
partially offset by lower manufacturing costs of $14 million. The remaining variance was driven by lower selling, general and administrative expenses of $7 million and slightly higher selling prices of $2 million, partially offset by the impact of production downtime.
Current report
For year-to-date 2026, EBITDA in our Roofing segment decreased $241 million compared to the same period in 2025. The decrease was primarily driven by lower volumes, input cost inflation of $53 million and higher delivery costs of $39 million. The remaining variance was driven by the impact of production downtime and lower selling prices of $9 million, which were partially offset by favorable mix and lower manufacturing costs of $8 million and lower selling, general and administrative expenses $7 million.
Current report
In our Insulation segment, net sales increased $60 million in the third quarter 2026 compared to the third quarter 2025, driven by higher volumes of 5% and higher selling prices of $11 million.
Current report
CRITICAL ACCOUNTING ESTIMATES
Current report
Goodwill Impairment Indicator Assessment
Current report
The Company tests goodwill for impairment during the fourth quarter of each year, or more frequently should circumstances change or events occur that would more likely than not reduce the fair value of a reporting unit below its carrying value.
Current report
Third Quarter Goodwill Triggering Event
Current report
In the third quarter of 2026, the Company performed its ongoing assessment to consider whether events or circumstances had occurred that could more likely than not reduce the fair value of our reporting units below their carrying values. During the third quarter of 2026, a reduced financial outlook for the Doors reporting unit was due to increased inflationary pressures and lower volumes, driven by heightened macroeconomic uncertainties including declines in North America discretionary residential repair and remodeling activities and challenges in North America residential new construction. Considering these developments together with the reporting unit's narrow cushion, due to the impairment taken in the fourth quarter of 2025, the Company concluded that a triggering event had occurred, requiring interim goodwill impairment testing as of September 30, 2026.
Current report
The test resulted in the carrying value of the reporting unit exceeding its fair value, and, resultingly, the Company recorded a $366 million pre-tax non-cash impairment charge, fully impairing the remaining Doors reporting unit goodwill in the third quarter of 2026. This charge was recorded in the Goodwill impairment line on the Consolidated Statements of Earnings and was included in the Corporate, Other and Eliminations reporting category. The fair value of the Doors reporting unit was determined based on the discounted cash flow analysis, or income approach. The reduction in fair value, and corresponding impairment charge, was primarily driven by an anticipated decrease in EBITDA, including 2027 in the Company's forecast. The most significant assumptions used in the fair value analysis were base year revenue, revenue growth rate, long-term growth rate, adjusted EBITDA margins and discount rate.
Current report
Also, in the third quarter of 2026, the Company performed an interim impairment test for an indefinite-lived tradename used by its Doors reportable segment, triggered by the same conditions that precipitated the interim goodwill impairment test described above for the third quarter of 2026 as well as a management decision regarding a change in the expected use of the tradename. This decision changed the period over which the tradename was expected to provide economic benefits and was an additional factor in management's impairment assessment. As a result of this test, the Company recorded a pre-tax non-cash impairment charge of $77 million. This charge was recorded in the Intangible assets impairment line on the Consolidated Statements of Earnings and was included in the Corporate, Other and Eliminations reporting category. Following the impairment assessment, the Company determined that the tradename no longer had an indefinite useful life and, as of September 30, 2026, reclassified the remaining carrying value of the tradename of $79 million as a definite-lived intangible asset.
Current report
Fair value of the impaired tradename was calculated using the relief-from-royalty method by applying an estimated market participant royalty rate of 0.5% to the forecasted revenues associated with the tradename. The resulting cash flows from this calculation were discounted at a rate based on a market participant discount rate. The most significant assumptions used in the fair value analysis were base year revenue, revenue growth rate, long-term growth rate and royalty rate.
Current report
During the third quarter of 2026, the Company also determined that certain asset groups within our Doors reportable segment should be assessed for recoverability, primarily as a result of the same conditions that precipitated the interim Doors reporting unit goodwill impairment test described above. Recoverability of the long-lived assets, including definite-lived intangibles, was measured by comparing the carrying amount of the asset groups to the future net undiscounted cash flows expected to be generated by the asset groups. These comparisons determined that the asset groups were recoverable.
Current report
The following table summarizes the segment allocation of recorded goodwill on our Consolidated Balance Sheet as of September 30, 2026:
Removed paragraphs (2)
Previous report
In our Insulation segment, net sales increased $37 million in the second quarter 2026 compared to the second quarter 2025. Higher volumes of 7% and a $14 million favorable impact from translating sales denominated in foreign currencies into United States dollars were partially offset by the unfavorable impact from the divestiture of our building materials business in China and Korea and lower selling prices of $11 million.
Previous report
For year-to-date 2026, EBITDA in our Doors segment decreased $52 million compared to the same period in 2025. The decrease was primarily driven by lower volumes, higher manufacturing costs of $16 million and higher delivery costs of $11 million. Lower selling, general and administrative costs of $17 million were offset by the impact of production downtime, unfavorable mix, and input cost inflation of $3 million, which includes the impact of tariff refunds.
Reworded paragraphs (37)
Previous wording
Net earnings from continuing operations attributable to Owens Corning were earnings of $310 million in the second quarter of 2026, compared to earnings of $334 million in the second quarter of 2025. The Company generated $660 million in adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) from continuing operations in the second quarter of 2026, compared to $703 million in the second quarter of 2025. See the Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization From Continuing Operations section of the MD&A for further information regarding Adjusted EBITDA from continuing operations, including the reconciliation to Net earnings from continuing operations attributable to Owens Corning. Second quarter of 2026 segment earnings before interest, taxes, depreciation and amortization (“EBITDA”) performance compared to the second quarter of 2025 decreased $16 million in our Roofing segment, decreased $12 million in our Insulation segment and decreased $18 million in our Doors segment. Within our Corporate, Other and Eliminations category, General corporate expenses and other increased by $3 million.
Current wording
Net loss from continuing operations attributable to Owens Corning was $248 million in the third quarter of 2026, compared to $495 million in the third quarter of 2025. The Company generated $489 million in adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) from continuing operations in the third quarter of 2026, compared to $638 million in the third quarter of 2025. See the Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization From Continuing Operations section of the MD&A for further information regarding Adjusted EBITDA from continuing operations, including the reconciliation to Net earnings from continuing operations attributable to Owens Corning. Third quarter of 2026 segment earnings before interest, taxes, depreciation and amortization (“EBITDA”) performance compared to the third quarter of 2025 decreased $124 million in our Roofing segment, increased $3 million in our Insulation segment and decreased $31 million in our Doors segment. Within our Corporate, Other and Eliminations category, General corporate expenses and other decreased by $3 million.
Previous wording
During the three and six months ended June 30, 2026, the Company recognized a pre-tax gain of $7 million and a pre-tax loss of $175 million, respectively, primarily reflecting the revised transaction terms. The loss was measured as the excess of the carrying value of the discontinued operation over the fair value of consideration received and is presented within Net (loss) earnings from discontinued operations attributable to Owens Corning, net of tax, on the Consolidated Statements of Earnings.
Current wording
During the three months ended September 30, 2026, the Company recognized a pre-tax loss of $8 million, primarily reflecting a preliminary post-closing adjustment. During the nine months ended September 30, 2026, the Company recognized a pre-tax loss of $183 million, primarily reflecting revised transaction terms. These losses were measured as the excess of the carrying value of the discontinued operation over the fair value of consideration received, less costs to sell, and are presented within Net (loss) earnings from discontinued operations attributable to Owens Corning, net of tax, on the Consolidated Statements of Earnings.
Previous wording
Beginning in the first quarter of 2025, the U.S. government announced additional tariffs on goods imported into the U.S. from numerous countries and multiple nations have responded with reciprocal tariffs and other actions. Following the decision of the U.S. Supreme Court in the first quarter of 2026, the Company may be entitled to a refund of tariffs previously paid on certain imported products under the International Emergency Economic Powers Act. The Company estimates that approximately $50 million of tariff payments may be eligible for refund as a result of the decision. During the six months ended June 30, 2026, $25 million of the total estimated amount was recognized within Cost of sales.
Current wording
Beginning in the first quarter of 2025, the U.S. government announced additional tariffs on goods imported into the U.S. from numerous countries and multiple nations responded with reciprocal tariffs and other actions. Following the decision of the U.S. Supreme Court in the first quarter of 2026, the Company was entitled to a refund of tariffs previously paid on certain imported products under the International Emergency Economic Powers Act. The Company estimated that approximately $50 million of tariff payments were eligible for refund as a result of the decision. During the three and nine months ended September 30, 2026, the Company evaluated the refund under ASC 450, Contingencies, and recognized approximately $25 million and $50 million, respectively, within Cost of Sales on the Consolidated Statements of Earnings. The Company has received a majority of its tariff refunds claimed as of September 30, 2026.
Previous wording
Net sales increased $9 million and decreased $256 million in the second quarter and year-to-date 2026, respectively, compared to the same periods in 2025. For the second quarter, the increase was primarily driven by higher volumes in the Insulation segment and the favorable impact from translating sales denominated in foreign currencies into United States dollars, which was mostly offset by the unfavorable impact of divestitures in the Insulation and Doors segments. Year-to-date, the decrease was primarily driven by lower volumes in the Roofing and Doors segments and the unfavorable impact of divestitures, which was partially offset by the favorable impact from translating sales denominated in foreign currencies into United States dollar.
Current wording
Net sales decreased $195 million and decreased $451 million in the third quarter and year-to-date 2026, respectively, compared to the same periods in 2025. For the third quarter and year-to-date, the decrease was primarily driven by lower volumes in the Roofing and Doors segments and the unfavorable impact of divestitures.
Previous wording
Gross margin decreased $65 million and decreased $280 million in the second quarter and year-to-date 2026, respectively, compared to the same periods in 2025. For the second quarter, higher delivery costs, input cost inflation net of tariff recovery, and the impact of production downtime were partially offset by higher volumes in the Insulation segment and favorable mix. Year-to-date, the decrease was primarily driven by lower sales volumes in the Doors and Roofing segments, input cost inflation, the impact of production downtime, higher delivery costs and lower selling prices.
Current wording
Gross margin decreased $142 million and decreased $422 million in the third quarter and year-to-date 2026, respectively, compared to the same periods in 2025. For the third quarter, lower volumes, input cost inflation net of tariff recovery and higher delivery costs were partially offset by slightly higher selling prices, lower manufacturing costs, and lower selling, general and administrative expenses. Year-to-date, the decrease was primarily driven by lower sales volumes, input cost inflation net of tariff recovery, the impact of production downtime, higher delivery costs and lower selling prices.
Previous wording
Marketing and administrative expenses decreased $11 million and decreased $14 million in the second quarter and year-to-date 2026 compared to the same periods in 2025, respectively. For the second quarter and year-to-date 2026, the decrease was primarily driven by lower marketing spend and labor expenses due to cost control initiatives.
Current wording
Marketing and administrative expenses decreased $1 million and decreased $15 million in the third quarter and year-to-date 2026 compared to the same periods in 2025, respectively. For year-to-date 2026, the decrease was primarily driven by lower labor and marketing expenses due to cost control initiatives.
Previous wording
Other expense, net decreased $5 million and increased $70 million in the second quarter and year-to-date 2026 compared to the same periods in 2025, respectively. For the second quarter, the decrease was primarily driven by lower acquisition-related transaction costs and gain related to the sale of a site that was part of a previous restructuring action in the Roofing segment. For year-to-date, the increase was primarily driven by higher restructuring costs and an increase in the liability for the Paroc marine recall.
Current wording
Other expense, net increased $27 million and increased $97 million in the third quarter and year-to-date 2026 compared to the same periods in 2025, respectively. For the third quarter, the increase was primarily driven by the impairment of investments. For year-to-date, the increase was primarily driven by higher restructuring costs, the impairment of investments and an increase in the liability for the Paroc marine recall.
Previous wording
Interest expense, net increased $6 million and increased $8 million in the second quarter and year-to-date 2026 compared to the same periods in 2025, respectively. For the second quarter and year-to-date 2026, the increase was driven by lower interest income, partially offset by lower interest on commercial paper balances.
Current wording
Interest expense, net decreased $3 million and increased $5 million in the third quarter and year-to-date 2026 compared to the same periods in 2025, respectively. For the third quarter, the decrease was primarily driven by lower interest on commercial paper balances. Year-to-date 2026, the increase was driven by lower interest income, partially offset by lower interest on commercial paper balances.
Previous wording
Income tax expense for the three and six months ended 2025 was $110 million and $198 million, respectively. The Company’s effective tax rate for the second quarter 2025 and the six months ended June 30, 2025 was 25%. The difference between the 25% effective tax rate and the U.S. federal statutory tax rate of 21% is primarily due to U.S. state and local income tax expense and foreign rate differential.
Current wording
Income tax expense for the three and nine months ended September 30, 2026 was $33 million and $150 million, respectively. The Company’s effective tax rate for the three and nine months ended September 30, 2026 were (15)% and 59%, respectively. The difference between the effective tax rate and the U.S. federal statutory tax rate of 21% for the three and nine months ended September 30, 2026 is primarily due to U.S. state and local income tax expense, foreign tax effects and non-deductible goodwill impairment.
Previous wording
Income tax expense for the three and six months ended 2026 was $102 million and $117 million, respectively. The Company’s effective tax rate for the second quarter 2026 and the six months ended June 30, 2026 was 25%. The difference between the 25% effective tax rate and the U.S. federal statutory tax rate of 21% is primarily due to U.S. state and local income tax expense and foreign tax effects.
Current wording
Income tax expense for the three and nine months ended September 30, 2025 was $102 million and $300 million, respectively. The Company’s effective tax rates for the third quarter 2025 and the nine months ended September 30, 2025 were (26)% and 77%, respectively. The difference between the (26)% effective tax rate and the U.S. federal statutory tax rate of 21% is primarily due to U.S. state and local income tax expense, foreign rate differential and non-deductible goodwill impairment.
Previous wording
Adjusted EBITDA from continuing operations is a non-GAAP measure that excludes certain items that management does not allocate to our segment results because it believes they are not representative of the Company’s ongoing operations. Adjusted EBITDA from continuing operations is used internally by the Company for various purposes, including reporting results of operations to the Board of Directors of the Company, analysis of performance and related employee compensation measures. Although management believes that these adjustments result in a measure that provides a useful representation of our operational performance, the adjusted measure should not be considered in isolation or as a substitute for Net earnings from continuing operations attributable to Owens Corning as prepared in accordance with accounting principles generally accepted in the United States.
Current wording
Adjusted EBITDA from continuing operations is a non-GAAP financial measure that excludes certain items that management does not allocate to our segment results because it believes they are not representative of the Company’s ongoing operations. Adjusted EBITDA from continuing operations is used internally by the Company for various purposes, including reporting results of operations to the Board of Directors of the Company, analysis of performance and related employee compensation measures. Although management believes that these adjustments result in a measure that provides a useful representation of our operational performance, the adjusted measure should not be considered in isolation or as a substitute for Net earnings from continuing operations attributable to Owens Corning as prepared in accordance with accounting principles generally accepted in the United States.
Previous wording
In our Roofing segment, net sales increased $10 million in the second quarter 2026 compared to the second quarter 2025. Lower volumes of approximately 1% were more than offset by favorable mix, a $3 million favorable impact from translating sales denominated in foreign currencies into United States dollars, and relatively flat selling prices.
Current wording
In our Roofing segment, net sales decreased $198 million in the third quarter 2026 compared to the third quarter 2025. Lower volumes of 17% were partially offset by favorable mix and slightly higher selling prices of $2 million.
Previous wording
For year-to-date 2026, net sales in our Roofing segment decreased $150 million compared to the same period in 2025. Lower volumes of approximately 7% and lower selling prices of $11 million were slightly offset by favorable mix and the favorable impact from translating sales denominated in foreign currencies into United States dollars.
Current wording
For year-to-date 2026, net sales in our Roofing segment decreased $348 million compared to the same period in 2025. Lower volumes of 10% and lower selling prices of $9 million were slightly offset by favorable mix and the favorable impact from translating sales denominated in foreign currencies into United States dollars.
Previous wording
In our Roofing segment, EBITDA decreased $16 million in the second quarter 2026 compared to the second quarter 2025. The decrease was primarily driven by higher delivery costs of $23 million and input cost inflation of $19 million, partially offset by favorable mix and lower manufacturing costs of $11 million. The remaining variance was driven by the impact of production downtime, lower volumes, and relatively flat selling prices.
Current wording
In our Roofing segment, EBITDA decreased $124 million in the third quarter 2026 compared to the third quarter 2025. The decrease was primarily driven by lower volumes, input cost inflation of $28 million and higher delivery costs of $16 million,
Previous wording
In our Roofing segment, the Company expects non-discretionary roof replacement activity to remain solid in the near-term. The Company expects seasonal storm demand to be in line with historical averages, but the impact of heavier inventory restocking in the second quarter is expected to reduce purchases in the third quarter. The Company expects global non-residential construction markets to be relatively stable in the near-term. The Company will continue to focus on managing costs, capital expenditures and working capital to best service the market demand.
Current wording
In our Roofing segment, the Company expects lower market demand in the near-term following limited storm activity, resulting in additional inventory destocking in the fourth quarter. The Company expects global non-residential construction markets to be relatively stable in the near-term. The Company will continue to focus on managing costs, capital expenditures and working capital to best service the market demand.
Previous wording
For year-to-date 2026, net sales in our Insulation segment decreased $5 million compared to the same period in 2025. The unfavorable impact from the divestiture of our building materials business in China and Korea and lower selling prices of $32 million were partially offset by higher volumes of 2%. The remaining variance was driven by a $39 million favorable impact from translating sales denominated in foreign currencies into United States dollars and favorable mix.
Current wording
For year-to-date 2026, net sales in our Insulation segment increased $55 million compared to the same period in 2025. The unfavorable impact from the divestiture of our building materials business in China and Korea and lower selling prices of $21 million were partially offset by higher volumes of 3%. The remaining variance was driven by a $39 million favorable impact from translating sales denominated in foreign currencies into United States dollars and favorable mix.
Previous wording
In our Insulation segment, EBITDA decreased $12 million in the second quarter 2026 compared to the second quarter 2025. Higher volumes and favorable manufacturing costs were more than offset by input cost inflation of $19 million, the impact of production downtime of $15 million, lower selling prices of $11 million, and higher delivery costs.
Current wording
In our Insulation segment, EBITDA increased $3 million in the third quarter 2026 compared to the third quarter 2025. Higher volumes, higher selling prices of $11 million, lower manufacturing costs and lower production downtime of $7 million were mostly offset by input cost inflation of $29 million and higher delivery costs of $20 million.
Previous wording
For year-to-date 2026, EBITDA in our Insulation segment decreased $70 million compared to the same period in 2025. The decrease was primarily driven by the impact of production downtime of $35 million, lower selling prices of $32 million, input cost inflation of $30 million and higher delivery costs, which were partially offset by higher volumes, lower manufacturing costs, and slightly favorable mix.
Current wording
For year-to-date 2026, EBITDA in our Insulation segment decreased $67 million compared to the same period in 2025. The decrease was primarily driven by input cost inflation of $59 million, the impact of production downtime of $28 million, lower selling prices of $21 million and higher delivery costs of $25 million, which were partially offset by higher volumes, lower manufacturing costs, and slightly favorable mix.
Previous wording
During the second quarter of 2026, the average Seasonally Adjusted Annual Rate (“SAAR”) of U.S. housing starts was 1.347 million starts, which was up from 1.327 million starts in the second quarter of 2025.
Current wording
During the third quarter of 2026, the average Seasonally Adjusted Annual Rate (“SAAR”) of U.S. housing starts was 1.293 million starts, which was down from 1.330 million starts in the third quarter of 2025.
Previous wording
In our Doors segment, net sales decreased $41 million in the second quarter 2026 compared to the second quarter 2025 due to lower volumes of 3%, primarily driven by the exit of our Prineville, Oregon facility, a $19 million unfavorable impact from the divestiture of our distribution business and slightly unfavorable mix.
Current wording
In our Doors segment, net sales decreased $62 million in the third quarter 2026 compared to the third quarter 2025 due to lower volumes of 7%, partially impacted by the exit of our Prineville, Oregon facility, a $19 million unfavorable impact from the divestiture of our distribution business and unfavorable mix, which was partially offset by higher selling prices of $6 million.
Previous wording
For year-to-date 2026, net sales in our Doors segment decreased $106 million compared to the same period in 2025, primarily due to lower volumes of 8% and a $29 million unfavorable impact from the divestiture of our distribution business. This was partially offset by a $6 million favorable impact of translating sales denominated in foreign currencies into United States dollars and slightly favorable mix.
Current wording
For year-to-date 2026, net sales in our Doors segment decreased $168 million compared to the same period in 2025, primarily due to lower volumes of 7%, including the impact of exiting our Prineville, Oregon facility, a $48 million unfavorable impact from the divestiture of our distribution business and slightly unfavorable mix. This was partially offset by a $6 million favorable impact of translating sales denominated in foreign currencies into United States dollars and higher selling prices of $6 million.
Previous wording
In our Doors segment, EBITDA decreased $18 million in the second quarter 2026 compared to the second quarter 2025. Higher delivery costs of $11 million, lower volumes, higher manufacturing costs of $7 million, and unfavorable mix were partially offset by $8 million of lower selling, general and administrative costs and lower input cost inflation of $7 million, which includes the impact of tariff refunds.
Current wording
In our Doors segment, EBITDA decreased $31 million in the third quarter 2026 compared to the third quarter 2025. The decrease was primarily driven by higher delivery costs of $12 million, lower volumes and input cost inflation of $10 million. The remaining variance was driven by lower selling, general and administrative costs of $7 million and higher selling prices of $6 million, which were partially offset by higher manufacturing costs of $3 million and slightly unfavorable mix.
Previous wording
For year-to-date 2026, EBITDA in our Roofing segment decreased $117 million compared to the same period in 2025. The decrease was primarily driven by lower volumes, input cost inflation of $25 million, and higher delivery costs of $23 million. The remaining variance was driven by lower selling prices of $11 million, the impact of production downtime, and higher manufacturing costs of $6 million, which were partially offset by favorable mix.
Current wording
For year-to-date 2026, EBITDA in our Doors segment decreased $83 million compared to the same period in 2025. The decrease was primarily driven by lower volumes, higher delivery costs of $23 million, higher manufacturing costs of $19 million and input cost inflation of $13 million, net of tariff recovery. Lower selling, general and administrative costs of $24 million and higher selling prices of $6 million were partially offset by the impact of production downtime and slightly unfavorable mix.
Previous wording
The outlook for the Doors segment is driven by the new residential construction and residential repair and remodeling markets in North America and Europe. The Company expects the North America residential new construction market to remain challenged in the near-term, with discretionary residential repair and remodeling activity in North America remaining soft. The Company will concentrate on managing costs, capturing synergies, capital expenditures and working capital.
Current wording
The outlook for the Doors segment is driven by the new residential construction and residential repair and remodeling markets in North America and Europe. The Company expects the North America residential new construction market to remain challenged in the near-term, with discretionary residential repair and remodeling activity in North America remaining soft. The Company will concentrate on managing costs, capturing synergies and optimizing capital expenditures and working capital.
Previous wording
The impact on EBITDA from Corporate, Other and Eliminations was $26 million lower and $53 million higher in the second quarter and year-to-date 2026 compared to the same periods in 2025, respectively. For the second quarter, the decrease was primarily driven by the loss on sale of business in the prior year. For year-to-date, the increase primarily driven by higher restructuring costs and an increase in the liability for the Paroc marine recall, partially offset by the loss on sale of business in the prior year.
Current wording
The impact on EBITDA from Corporate, Other and Eliminations was $319 million higher and $266 million higher in the third quarter and year-to-date 2026 compared to the same periods in 2025, respectively. For the third quarter and year-to-date, the increase to EBITDA was primarily driven by lower impairment charges related to the Doors segment.
Previous wording
General corporate expense and other was $3 million lower and remained flat in the second quarter and year-to-date 2026 compared to the same periods in 2025, respectively.
Current wording
General corporate expense and other was $3 million lower and $3 million lower in the third quarter and year-to-date 2026 compared to the same periods in 2025, respectively.
Previous wording
In 2026, we expect general corporate expenses to be approximately $245 million to $255 million.
Current wording
In 2026, we expect general corporate expenses to be approximately $235 million to $245 million.
Previous wording
The Company's primary sources of liquidity are its balance of Cash and cash equivalents from continuing operations of $271 million as of June 30, 2026, its commercial paper program ("CP Program") and Senior Revolving Credit Facility (as defined below).
Current wording
The Company's primary sources of liquidity are its balance of Cash and cash equivalents from continuing operations of $179 million as of September 30, 2026, its commercial paper program ("CP Program") and Senior Revolving Credit Facility (as defined below).
Previous wording
Cash and cash equivalents were $271 million as of June 30, 2026, compared to $265 million as of June 30, 2025. Cash and cash equivalents held by foreign subsidiaries may be subject to foreign withholding taxes upon repatriation to the U.S. As of June 30, 2026 and December 31, 2025, the Company had $144 million and $97 million, respectively, in cash and cash equivalents in certain of its foreign subsidiaries. The Company continues to assert indefinite reinvestment for certain of its continuing operations in accordance with Accounting Standards Codification (“ASC”) 740 based on the laws as of enactment of the tax legislation.
Current wording
Cash and cash equivalents were $179 million as of September 30, 2026, compared to $343 million as of September 30, 2025. Cash and cash equivalents held by foreign subsidiaries may be subject to foreign withholding taxes upon repatriation to the U.S. As of September 30, 2026 and December 31, 2025, the Company had $104 million and $97 million, respectively, in cash and cash equivalents in certain of its foreign subsidiaries. The Company continues to assert indefinite reinvestment for certain of its continuing operations in accordance with Accounting Standards Codification (“ASC”) 740 based on the laws as of enactment of the tax legislation.
Previous wording
Operating activities: Net cash flow provided by operating activities decreased by $34 million for the six months ended June 30, 2026 compared to the same period in 2025. The decrease was primarily due to lower cash earnings, partially offset by the change in working capital. For the six months ended June 30, 2026, there was no depreciation and amortization related to discontinued operations.
Current wording
Operating activities: Net cash flow provided by operating activities decreased by $139 million for the nine months ended September 30, 2026 compared to the same period in 2025. The decrease was primarily due to lower cash earnings, partially offset by the change in working capital. For the nine months ended September 30, 2026, there was no depreciation and amortization related to discontinued operations.
Previous wording
Investing activities: Net cash flow provided by investing activities increased by $354 million for the six months ended June 30, 2026 compared to the same period in 2025. The increase was primarily driven by the proceeds from the sale of GR business, partially offset by higher cash paid for property, plant and equipment. For the six months ended June 30, 2026, cash paid for property, plant and equipment related to discontinued operations was $28 million.
Current wording
Investing activities: Net cash flow used for investing activities decreased by $341 million for the nine months ended September 30, 2026 compared to the same period in 2025. The decrease was primarily driven by the proceeds from the sale of the GR business, partially offset by higher cash paid for property, plant and equipment. For the nine months ended September 30, 2026, cash paid for property, plant and equipment related to discontinued operations was $28 million.
Previous wording
Financing activities: Net cash flow used for financing activities increased by $254 million for the six months ended June 30, 2026 compared to the same period in 2025. The increase was primarily driven by lower net proceeds from CP Notes, partially offset by lower treasury stock repurchases in the current year.
Current wording
Financing activities: Net cash flow used for financing activities increased by $294 million for the nine months ended September 30, 2026 compared to the same period in 2025. The increase was primarily driven by the repayment of the 2026 senior notes, partially offset by lower treasury stock repurchases in the current year.
Previous wording
Please refer to Item 7, Management’s Discussion and Analysis of Financial Condition and Results of Operations, included in the 2025 Form 10-K for more details on these material cash requirements. During the second quarter of 2026, there have been no material changes to our expected uses of cash and contractual obligations.
Current wording
Please refer to Item 7, Management’s Discussion and Analysis of Financial Condition and Results of Operations, included in the 2025 Form 10-K for more details on these material cash requirements. During the third quarter of 2026, there have been no material changes to our expected uses of cash and contractual obligations.
Previous wording
As of June 30, 2026, the Company had $5.2 billion of total debt. The Company's current portion of long-term debt primarily relates to $899 million of the current portion of 3.400% senior notes maturing in the third quarter of 2026 and 5.500% senior notes maturing in the second quarter of 2027. Further discussion of the amount and timing of the future scheduled maturities of our senior notes can be found in Note 10 of the Consolidated Financial Statements. As of June 30, 2026, the Company's Short-term debt includes $65 million of CP Notes.
Current wording
As of September 30, 2026, the Company had $4.9 billion of total debt. The Company's current portion of long-term debt primarily relates to $499 million of 5.500% senior notes maturing in the second quarter of 2027. In the third quarter of 2026, the Company fully repaid the $400 million of 2026 senior notes at maturity using a combination of cash on hand and commercial paper borrowings. Further discussion of the amount and timing of the future scheduled maturities of our senior notes can be found in Note 10 of the Consolidated Financial Statements. As of September 30, 2026, the Company's Short-term debt includes $100 million of CP Notes.
Previous wording
On March 5, 2025, the Company established a CP Program for the issuance of CP Notes with maturities ranging up to 397 days from the date of issuance. As of June 30, 2026, there were $65 million of CP Notes outstanding under the CP Program with a weighted average interest rate and weighted average maturity period of 4.00% and 5 days, respectively. We do not intend to have outstanding borrowings under the CP Program in excess of available capacity under our Senior Revolving Credit Facility.
Current wording
On March 5, 2025, the Company established a CP Program for the issuance of CP Notes with maturities ranging up to 397 days from the date of issuance. As of September 30, 2026, there were $100 million of CP Notes outstanding under the CP Program with a weighted average interest rate and weighted average maturity period of 4.17% and 9 days, respectively. We do not intend to have outstanding borrowings under the CP Program in excess of available capacity under our Senior Revolving Credit Facility.
Previous wording
We review supplier terms and conditions on an ongoing basis, and have negotiated payment terms extensions in recent years in connection with our efforts to reduce working capital and improve cash flow. Separate from those terms extension actions, certain of our subsidiaries have entered into paying agency agreements with third-party administrators. These voluntary supply chain finance programs (collectively, the “Programs”) generally give participating suppliers the ability to sell, or otherwise pledge as collateral, their receivables from the Company to the participating financial institutions, at the sole discretion of both the suppliers and financial institutions. The Company is not a party to the arrangements between the suppliers and the financial institutions. The Company’s obligations to its suppliers, including amounts due and scheduled payment dates, are not impacted by the suppliers’ decisions to sell, or otherwise pledge as collateral, amounts under these arrangements. The Company’s payment terms to the financial institutions, including the timing and amount of payments, are based on the original supplier invoices. One of the Programs includes a parent guarantee to the participating financial institution for a certain U.S. subsidiary that, at the time of the respective program’s inception in 2015, was a guarantor subsidiary of the Company’s credit agreement. The obligations are presented as Accounts payable within Total current liabilities on the Consolidated Balance Sheets and all activity related to the obligations is presented within operating activities on the Consolidated Statements of Cash Flow.
Current wording
We review supplier terms and conditions on an ongoing basis, and have negotiated payment terms extensions in recent years in connection with our efforts to reduce working capital and improve cash flow. Separate from those terms extension actions, certain of our subsidiaries have entered into paying agency agreements with third-party administrators. These voluntary supply chain finance programs (collectively, the “Programs”) generally give participating suppliers the ability to sell, or otherwise pledge as collateral, their receivables from the Company to the participating financial institutions, at the sole discretion of both the suppliers and financial institutions. The Company is not a party to the arrangements between the suppliers and the financial institutions. The Company’s obligations to its suppliers, including amounts due and scheduled payment dates, are not impacted by the suppliers’ decisions to sell, or otherwise pledge as collateral, amounts under these arrangements. The Company’s payment terms to the financial institutions, including the timing and amount of payments, are based on the original supplier invoices. One of the Programs includes a parent guarantee to the participating financial institution for a certain U.S. subsidiary that, at the time of the respective program’s inception in 2015, was a guarantor subsidiary of the Company’s credit agreement. The obligations are presented as Accounts payable within Total current liabilities on the Consolidated Balance Sheets and all activity related to the obligations is presented within operating activities on the Consolidated Statements of Cash Flows.
Previous wording
Working safely is an expectation at Owens Corning. We believe this organization-wide expectation provides for a safer work environment for employees, improves our manufacturing processes, reduces our costs and enhances our reputation. Furthermore, striving to be a world-class leader in safety provides a platform for all employees to understand and apply the resolve necessary to be a high-performing, global organization. One of our primary safety measures is the Recordable Incidence Rate (“RIR”) as defined by the United States Bureau of Labor Statistics. For the three months ended June 30, 2026, our RIR was 0.75, compared to 0.60 in the same period a year ago. For the six months ended June 30, 2026, our RIR was 0.65, compared to 0.58 in the same period a year ago.
Current wording
Working safely is an expectation at Owens Corning. We believe this organization-wide expectation provides for a safer work environment for employees, improves our manufacturing processes, reduces our costs and enhances our reputation. Furthermore, striving to be a world-class leader in safety provides a platform for all employees to understand and apply the resolve necessary to be a high-performing, global organization. One of our primary safety measures is the Recordable Incidence Rate (“RIR”) as defined by the United States Bureau of Labor Statistics. For the three months ended September 30, 2026, our RIR was 0.81, compared to 0.56 in the same period a year ago. For the nine months ended September 30, 2026, our RIR was 0.71, compared to 0.58 in the same period a year ago.