Revenue contraction of 10.5% in 2026Q1 combined with gross margin compression to 22.5% suggests persistent operational stress in core construction segments.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 9.84B | 10.1B | 10.97B | 9.68B | 9.76B | 8.5B | 7.05B | 7.16B | 7.06B | 6.38B | 5.68B | 5.35B | 5.28B | 5.29B | 5.17B | 5.33B | 5B | 4.8B | 5.85B | 4.98B | 6.46B | 6.32B | 5.67B | 4.06B | 4.87B | 4.76B | 4.94B | 5.05B | 5.01B | 4.37B | 3.83B |
| Revenue Growth % | -9.85% | -7.95% | 13.41% | -0.86% | 14.86% | 20.45% | -1.47% | 1.46% | 10.54% | 12.45% | 6.11% | 1.4% | -0.36% | 2.38% | -3.06% | 6.76% | 4.04% | -17.86% | 17.46% | -22.95% | 2.18% | 11.42% | 39.74% | -16.65% | 2.31% | -3.6% | -2.14% | 0.78% | 14.54% | 14.12% | 6.09% |
| Cost of Goods Sold | 7.19B | 7.22B | 7.68B | 6.84B | 7.05B | 6.28B | 5.41B | 5.53B | 5.41B | 4.79B | 4.25B | 4.18B | 4.3B | 4.29B | 4.37B | 4.3B | 4.05B | 3.99B | 4.96B | 4.2B | 5.39B | 5.17B | 4.65B | 3.3B | 4.13B | 3.94B | 4.01B | 3.81B | 3.94B | 3.45B | 2.83B |
| COGS % of Revenue | - | 71.46% | 70% | 70.68% | 72.24% | 73.92% | 76.74% | 77.26% | 76.63% | 75.05% | 74.95% | 78.07% | 81.48% | 81.08% | 84.49% | 80.66% | 81.03% | 83.14% | 84.88% | 84.39% | 83.5% | 81.69% | 82.01% | 81.36% | 84.77% | 82.7% | 81.26% | 75.57% | 78.74% | 78.8% | 73.96% |
| Gross Profit | 2.65B | 2.88B | 3.29B | 2.84B | 2.71B | 2.22B | 1.64B | 1.63B | 1.65B | 1.59B | 1.42B | 1.17B | 977M | 1B | 802M | 1.03B | 948M | 810M | 884M | 777M | 1.07B | 1.16B | 1.02B | 757M | 742M | 824M | 926M | 1.23B | 1.06B | 927M | 998M |
| Gross Margin % | 26.9% | 28.54% | 30% | 29.32% | 27.76% | 26.08% | 23.26% | 22.74% | 23.37% | 24.95% | 25.05% | 21.93% | 18.52% | 18.92% | 15.51% | 19.34% | 18.97% | 16.86% | 15.12% | 15.61% | 16.5% | 18.31% | 17.99% | 18.64% | 15.23% | 17.3% | 18.74% | 24.43% | 21.26% | 21.2% | 26.04% |
| Gross Profit Growth % | - | -12.42% | 16.04% | 4.69% | 22.29% | 35.04% | 0.8% | -1.27% | 3.52% | 12.03% | 21.23% | 20.06% | -2.5% | 24.94% | -22.29% | 8.86% | 17.04% | -8.37% | 13.77% | -27.11% | -7.94% | 13.42% | 34.87% | 2.02% | -9.95% | -11.02% | -24.9% | 15.77% | 14.89% | -7.11% | 5.94% |
| Operating Expenses | 2.06B | 1.16B | 1.19B | 952M | 902M | 846M | 746M | 785M | 782M | 699M | 660M | 598M | 563M | 589M | 588M | 602M | 599M | 604M | 712M | 577M | 589M | 4.86B | 551M | 757M | 742M | 824M | 926M | 1.23B | 1.06B | 927M | 998M |
| OpEx % of Revenue | - | 11.51% | 10.81% | 9.84% | 9.24% | 9.96% | 10.57% | 10.96% | 11.08% | 10.95% | 11.63% | 11.18% | 10.67% | 11.12% | 11.37% | 11.28% | 11.99% | 12.58% | 12.18% | 11.59% | 9.12% | 76.8% | 9.71% | 18.64% | 15.23% | 17.3% | 18.74% | 24.43% | 21.26% | 21.2% | 26.04% |
| Selling, General & Admin | 1.01B | 1.01B | 1.04B | 829M | 796M | 755M | 664M | 698M | 693M | 614M | 578M | 525M | 487M | 512M | 509M | 525M | 516M | 522M | 617M | 498M | 537M | 565M | 530M | 459M | 522M | 524M | 542M | 599M | 587M | 580M | 506M |
| SG&A % of Revenue | - | 10.03% | 9.49% | 8.57% | 8.15% | 8.88% | 9.41% | 9.75% | 9.82% | 9.62% | 10.18% | 9.81% | 9.23% | 9.67% | 9.84% | 9.84% | 10.33% | 10.87% | 10.55% | 10% | 8.31% | 8.94% | 9.34% | 11.3% | 10.71% | 11% | 10.97% | 11.87% | 11.72% | 13.26% | 13.2% |
| Research & Development | 113M | 150M | 144M | 123M | 106M | 91M | 82M | 87M | 89M | 85M | 82M | 73M | 76M | 77M | 79M | 77M | 76M | 61M | 69M | 42M | 59M | 58M | 47M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | 1.48% | 1.31% | 1.27% | 1.09% | 1.07% | 1.16% | 1.22% | 1.26% | 1.33% | 1.44% | 1.36% | 1.44% | 1.45% | 1.53% | 1.44% | 1.52% | 1.27% | 1.18% | 0.84% | 0.91% | 0.92% | 0.83% | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 2M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 7M | 21M | 26M | 37M | -7M | 4.23B | -26M | 298M | 220M | 300M | 384M | 634M | 478M | 347M | 492M |
| Operating Income | 584M | 1.72B | 2.11B | 1.89B | 1.81B | 1.37B | 895M | 843M | 867M | 894M | 762M | 575M | 414M | 413M | 214M | 430M | 349M | 206M | 172M | 200M | 477M | -3.7B | 470M | 757M | -2.16B | 229M | -575M | 578M | -1.07B | 250M | -466M |
| Operating Margin % | 5.94% | 17.02% | 19.19% | 19.48% | 18.52% | 16.12% | 12.69% | 11.77% | 12.29% | 14% | 13.42% | 10.75% | 7.85% | 7.8% | 4.14% | 8.06% | 6.98% | 4.29% | 2.94% | 4.02% | 7.38% | -58.48% | 8.28% | 18.64% | -44.25% | 4.81% | -11.64% | 11.45% | -21.28% | 5.72% | -12.16% |
| Operating Income Growth % | - | -18.33% | 11.72% | 4.26% | 31.97% | 53.07% | 6.17% | -2.77% | -3.02% | 17.32% | 32.52% | 38.89% | 0.24% | 92.99% | -50.23% | 23.21% | 69.42% | 19.77% | -14% | -58.07% | 112.9% | -886.81% | -37.91% | 135.11% | -1041.48% | 139.83% | -199.48% | 154.22% | -526.4% | 153.65% | -213.11% |
| EBITDA | 1.21B | 2.33B | 2.73B | 2.38B | 2.28B | 1.83B | 1.35B | 1.29B | 1.3B | 1.26B | 1.1B | 875M | 718M | 745M | 563M | 748M | 669M | 531M | 503M | 543M | 755M | -3.47B | 698M | 963M | -1.95B | 466M | -372M | 788M | -869M | 423M | -334M |
| EBITDA Margin % | 12.33% | 23.1% | 24.86% | 24.64% | 23.4% | 21.59% | 19.16% | 18.03% | 18.42% | 19.82% | 19.46% | 16.36% | 13.61% | 14.07% | 10.89% | 14.02% | 13.39% | 11.06% | 8.6% | 10.91% | 11.69% | -54.83% | 12.3% | 23.71% | -40.05% | 9.79% | -7.53% | 15.61% | -17.35% | 9.67% | -8.72% |
| EBITDA Growth % | -55.02% | -14.44% | 14.43% | 4.38% | 24.47% | 35.72% | 4.72% | -0.69% | 2.77% | 14.48% | 26.29% | 21.87% | -3.62% | 32.33% | -24.73% | 11.81% | 25.99% | 5.57% | -7.37% | -28.08% | 121.78% | -596.7% | -27.52% | 149.36% | -518.67% | 225.27% | -147.21% | 190.68% | -305.44% | 226.65% | -181.07% |
| D&A (Non-Cash Add-back) | 629M | 614M | 622M | 499M | 476M | 465M | 457M | 448M | 433M | 371M | 343M | 300M | 304M | 332M | 349M | 318M | 320M | 325M | 331M | 343M | 278M | 231M | 228M | 206M | 205M | 237M | 203M | 210M | 197M | 173M | 132M |
| EBIT | 73M | 361M | 1.13B | 1.67B | 1.59B | 1.44B | -116M | 734M | 833M | 666M | 697M | 553M | 346M | 385M | 74M | 459M | 205M | 192M | 196M | 145M | 9.35B | -3.74B | 443M | 757M | -2.16B | 229M | -575M | 578M | -1.07B | 250M | -466M |
| Net Interest Income | -258M | -256M | -212M | -76M | -109M | -126M | -132M | -131M | -117M | -107M | -108M | -100M | -114M | -112M | -114M | -108M | -110M | -111M | -116M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 258M | 256M | 212M | 76M | 109M | 126M | 132M | 131M | 117M | 107M | 108M | 100M | 114M | 112M | 114M | 108M | 110M | 111M | 116M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -702M | -1.61B | -1.18B | -291M | -194M | -56M | -1.15B | -252M | -164M | -335M | -175M | -121M | -181M | -140M | -258M | -75M | -249M | -125M | -92M | -177M | 8.6B | -784M | -31M | 0 | -173M | 0 | -216M | -152M | 102M | 0 | -115M |
| Pretax Income | -184M | 105M | 922M | 1.59B | 1.61B | 1.31B | -256M | 591M | 703M | 559M | 587M | 454M | 233M | 273M | -44M | 355M | 100M | 81M | 80M | 23M | 9.08B | -4.48B | 439M | 221M | -2.33B | 102M | -791M | 426M | -964M | 71M | -581M |
| Pretax Margin % | -1.87% | 1.04% | 8.4% | 16.47% | 16.54% | 15.46% | -3.63% | 8.25% | 9.96% | 8.76% | 10.34% | 8.49% | 4.42% | 5.16% | -0.85% | 6.65% | 2% | 1.69% | 1.37% | 0.46% | 140.47% | -70.88% | 7.74% | 5.44% | -47.8% | 2.14% | -16.01% | 8.44% | -19.25% | 1.62% | -15.16% |
| Income Tax | 220M | 293M | 275M | 401M | 373M | 319M | 129M | 186M | 156M | 269M | 188M | 120M | 5M | 68M | -28M | 74M | -840M | 14M | 919M | -8M | 997M | -387M | 227M | -131M | -31M | -57M | -312M | 149M | -306M | 9M | -288M |
| Effective Tax Rate % | -119.57% | 279.05% | 29.83% | 25.16% | 23.11% | 24.28% | -50.39% | 31.47% | 22.19% | 48.12% | 32.03% | 26.43% | 2.15% | 24.91% | 63.64% | 20.85% | -840% | 17.28% | 1148.75% | -34.78% | 10.99% | 8.63% | 51.71% | -59.28% | 1.33% | -55.88% | 39.44% | 34.98% | 31.74% | 12.68% | 49.57% |
| Net Income | -533M | -522M | 647M | 1.2B | 1.24B | 995M | -383M | 405M | 545M | 289M | 393M | 330M | 226M | 204M | -19M | 276M | 933M | 64M | -813M | 96M | -65M | -4.1B | 204M | 115M | -2.81B | 39M | -478M | 270M | -705M | 47M | -284M |
| Net Margin % | -5.42% | -5.17% | 5.9% | 12.36% | 12.71% | 11.71% | -5.43% | 5.66% | 7.72% | 4.53% | 6.92% | 6.17% | 4.28% | 3.85% | -0.37% | 5.17% | 18.67% | 1.33% | -13.9% | 1.93% | -1.01% | -64.83% | 3.59% | 2.83% | -57.66% | 0.82% | -9.68% | 5.35% | -14.07% | 1.07% | -7.41% |
| Net Income Growth % | -309.02% | -180.68% | -45.9% | -3.63% | 24.72% | 359.79% | -194.57% | -25.69% | 88.58% | -26.46% | 19.09% | 46.02% | 10.78% | 1173.68% | -106.88% | -70.42% | 1357.81% | 107.87% | -946.88% | 247.69% | 98.41% | -2109.31% | 77.39% | 104.09% | -7302.56% | 108.16% | -277.04% | 138.3% | -1600% | 116.55% | -222.94% |
| Net Income (Continuing) | -404M | -188M | 647M | 1.19B | 1.24B | 995M | -385M | 405M | 547M | 290M | 399M | 334M | 228M | 205M | -16M | 281M | 940M | 67M | -811M | 31M | -65M | -4.09B | 212M | 91M | -2.81B | 39M | -476M | 270M | -666M | 62M | -284M |
| Discontinued Operations | 0 | -334M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 69M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 39M | 40M | 43M | 44M | 46M | 39M | 40M | 40M | 41M | 42M | 40M | 40M | 38M | 37M | 37M | 40M | 38M | 33M | 42M | 37M | 44M | 47M | 49M | 51M | 49M | 37M | 39M | 44M | 19M | 24M | 21M |
| EPS (Diluted) | -6.65 | -6.26 | 7.36 | 13.14 | 12.70 | 9.54 | -3.55 | 3.68 | 4.89 | 2.55 | 3.41 | 2.79 | 1.91 | 1.71 | -0.16 | 2.23 | 7.37 | 0.50 | -6.56 | 0.74 | -0.91 | -74.12 | 3.40 | 1.92 | -50.98 | 0.66 | -8.72 | 4.67 | -13.15 | 0.88 | -5.49 |
| EPS Growth % | -333.45% | -185.05% | -43.99% | 3.46% | 33.12% | 368.73% | -196.47% | -24.74% | 91.76% | -25.22% | 22.22% | 46.07% | 11.7% | 1168.75% | -107.17% | -69.74% | 1374% | 107.62% | -986.49% | 181.32% | 98.77% | -2280% | 77.08% | 103.77% | -7824.24% | 107.57% | -286.72% | 135.51% | -1594.32% | 116.03% | -224.77% |
| EPS (Basic) | - | -6.26 | 7.44 | 13.27 | 12.85 | 9.61 | -3.55 | 3.71 | 4.94 | 2.59 | 3.44 | 2.82 | 1.92 | 1.73 | -0.16 | 2.25 | 7.43 | 0.51 | -6.56 | 0.75 | -0.96 | -74.12 | 3.68 | 2.08 | -50.98 | 0.72 | -8.72 | 4.98 | -13.15 | 0.89 | -5.49 |
| Diluted Shares Outstanding | 80.2M | 83.45M | 87.9M | 91M | 97.7M | 104.3M | 108.6M | 110.1M | 111.4M | 113.2M | 115.4M | 118.2M | 118.3M | 119.1M | 119.4M | 123.5M | 126.6M | 127.1M | 127.8M | 129M | 71.3M | 55.3M | 59.9M | 59.9M | 55.1M | 59.95M | 54.8M | 59.5M | 53.6M | 53.5M | 51.7M |
| Basic Shares Outstanding | 80.2M | 83.45M | 87M | 90.1M | 96.6M | 103.5M | 108.6M | 109.2M | 110.4M | 111.5M | 114.4M | 117.2M | 117.5M | 118.2M | 118.75M | 122.5M | 125.6M | 124.8M | 127.8M | 128.4M | 67.4M | 55.3M | 55.3M | 55.2M | 55.1M | 55.06M | 54.8M | 54.1M | 53.6M | 52.9M | 51.7M |
| Dividend Payout Ratio | - | - | 32.15% | 15.72% | 10.96% | 10.85% | - | 23.46% | 16.88% | 30.8% | 20.61% | 23.64% | 24.78% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 5.93% | - | 29.79% | - |
Cyclical demand and impairments
As reported in recent financial statements, Owens Corning experienced a 10.5% year-over-year revenue decline in 2026Q1, signaling a persistent contraction that follows a broader trend of decelerating growth observed since the peak demand levels seen in the latter half of the 2024 fiscal year.
The consistent revenue decline suggests that the company is struggling to offset volume losses in its core insulation and composites segments with pricing actions. Investors should monitor whether this trend reflects a structural shift in residential construction demand or merely a temporary cyclical trough in the repair and remodel market.
Based on the latest quarterly data, gross margins have compressed to 22.5% in 2026Q1, down significantly from the 32.9% peak observed in 2024Q2, indicating that the company is facing mounting pressure from input cost volatility and a diminished ability to pass through price increases to customers.
The erosion of gross margins appears to be a direct consequence of the high fixed-cost nature of glass-melting operations combined with unfavorable asphalt-to-oil spreads. This trend suggests that the company's historical pricing power may be weakening as the competitive landscape for building materials becomes increasingly sensitive to volume-based discounting.
According to the provided income statement data, Owens Corning has reported negative net income in four of the last six quarters, with a net margin of -4.6% in 2026Q1, which warrants further investigation into the nature of non-operating charges and potential asset impairments.
The recurring discrepancy between positive operating income and negative net income suggests that significant non-operating items, such as restructuring costs or goodwill impairments, are heavily impacting the bottom line. Analysts should scrutinize whether these charges are truly one-time events or indicative of a deeper, structural revaluation of the company's asset base.
As evidenced by the income statement, operating margins have plummeted to 5.3% in 2026Q1 from a high of 22.5% in 2024Q2, demonstrating that the company's high fixed-cost structure is currently acting as a significant drag on profitability during this period of revenue contraction.
The inability to scale SG&A and overhead costs in proportion to declining revenue suggests that the company is currently experiencing negative operating leverage. This trend implies that unless management can successfully implement aggressive cost-rationalization measures, the bottom line will remain highly sensitive to further volume declines in the housing sector.
Based on the reported figures, the combination of a 10.5% revenue decline and a negative net margin of -4.6% suggests that the company's current business model may be facing more than just cyclical headwinds, potentially indicating a fundamental deterioration in core segment profitability.
Short-sellers would likely focus on the company's inability to maintain profitability despite its market-leading position in fiberglass insulation. The transition toward interior products through acquisitions like Masonite may introduce new integration risks that could further complicate the company's already strained income statement profile.
Quick answers to the most common questions about buying OC stock.
For fiscal year 2025, Owens Corning (OC) reported total revenue of $10.10B. This represents a 163.6% increase compared to $3.83B in 1996.
Owens Corning (OC) reported a net loss of $522.0M for the fiscal year ending 2025.
Owens Corning (OC) reported an operating income of $1.72B, resulting in an operating profit margin of 17.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Owens Corning (OC) generated $2.88B in gross profit for the year, representing a gross profit margin of 28.5%. This demonstrates the company's core pricing power and production efficiency.