Norbord has recorded a second-quarter loss of US$15m, citing the “continued pressure on the North American OSB industry”.

While the results for the period are an improvement on the US$16m loss recorded in the first quarter, there was a noticeable decline from the US$33m profit recorded in the second quarter of 2006.

The downturn in the US housing market was cited as the main cause of the decline, although president and chief exectuive officer Barrie Shineton said that a strong performance from Norbord’s European operations had helped the company record quarter-on-quarter improvements, with EBITDA of US$17m.

“Norbord’s second quarter…was a sginificant acomplishment given the prolonged weakness in US housing starts and the related impact on North American building material prices,” said Mr Shineton.

“Our ability to continue generating positive results is due to strong performance from our European operations.”

Mr Shineton added that the company’s manufacturing cost position had helped to offset many of the issues from the quarter, with “our focus on mix, volume and cost containment” leading to margin improvements amounting to US$185m over the last five years.

Norbord also reported record OSB production volumes, up 8% year-on-year, which it said showed its ability to cope with challenging market conditions.