2 May 2013, Ttjonline news - While Nordic mills struggled in the first quarter, across the Atlantic in North America mills are recording their best performance for years thanks to a housing sector revival.

Total and single family-housing starts improved 36% and 28% respectively, with forecasts predicting one million housing starts in 2013. The seasonally-adjusted US housing starts number for March was 47% higher than a year ago.

Norbord recorded a five-fold increase in earnings before interest, tax, depreciation and amortisation (EBITDA) to US$111m (2012: US$21m), helped by the North Central benchmark OSB price doubling on a year ago and reaching the highest average price in nine years.

"Our strong first quarter results reflect a broad-based US housing recovery that is accelerating," said Norbord president and CEO Barrie Shineton.

"While we will likely see increasing market volatility, I believe improving OSB demand will continue to outstrip supply for at least the rest of this year."

Norbord is perparing to restart its curtailed OSB mill in Jefferson, Texas by mid-2013.

Boise Cascade's first-quarter sales were up 27% on a year ago to US$744.9m, with net profits reaching US$80.1m. Boise's initial public flotation on the stock exchange in February has also raised US$262.7m of capital.

The wood products division - comprising engineered wood, lumber and plywood - recorded a 28% sales increase to US$269.2m. EBITDA were up 62% to US$27.1m.

The division's sales grew primarily due to 24% higher plywood sales volumes, a 28% growth for LVL and a 37% boost to I-joist volumes. Higher lumber sales volumes and prices also contributed.

"Commodity wood product prices in the first quarter of 2013, including structural panels and lumber, were well above five-year average historical levels," Boise said.

Weyerhaeuser's wood products business reported its strongest quarterly earnings since 2005, with earnings of US$178m. OSB prices rose 24% from the previous quarter and lumber prices were up 20%.

It is predicting higher sales volumes across all product lines in the second quarter.

West Fraser's lumber division posted EBITDA of US$146m, compared to losses of US$7m a year ago. Substantial price increases for spruce-pine-fir and Southern yellow pine were recorded, resulting in no export taxes being paid under the Softwood Lumber Agreement for its Canadian shipments to the US.

The panels division's EBITDA were US$15m, up from US$5m a year ago. Price growth was recorded for its plywood, MDF and LVL products.