Boise Cascade Company Q1 2026 Earnings Recap

Boise Cascade’s shares dipped slightly (-0.1%) following modest first quarter sales declines and margin pressure, with investors likely concerned about ongoing EWP pricing weakness and margin compression despite stable volume trends and steady plywood pricing.

Key Takeaways

• Consolidated first quarter sales declined 2% year-over-year to $1.5 billion, reflecting a 1% decrease in total U.S. housing starts and a 5% drop in single-family starts.
• Net income dropped sharply to $17.8 million ($0.50/share) from $40.3 million ($1.06/share) a year ago, driven by lower sales and margin compression.
• Building Materials Distribution (BMD) segment sales fell 1% with EBITDA down from $62.8 million to $48.2 million; gross margins declined across product lines, notably engineered wood products (EWP).
• Wood Products sales decreased 4% to $398.2 million, with segment EBITDA declining due to lower EWP selling prices and higher conversion costs despite some cost savings on OSB and improved plywood volumes and prices.
• First quarter gross margin slipped 30 basis points to 14.4%, with BMD EBITDA margin falling to 3.5% from 4.5%, partly due to weather-related branch closures and cost leverage impacts.