By Roshan Fernandez

Boise Cascade reported lower sales and profits in the first quarter, as home construction continues to slow in the U.S. due to macroeconomic uncertainties and elevated mortgage rates.

The Boise, Idaho, maker of wood products on Monday reported a first-quarter profit of $40.3 million, or $1.06 a share, compared with $104.1 million, or $2.61 a share, a year earlier.

Revenue fell 7% from a year earlier, to $1.54 billion. Analysts surveyed by FactSet had forecast sales of $1.52 billion.

The company said that total U.S. housing starts and single-family housing starts fell 2% and 6%, respectively, during the first quarter. Single-family housing starts are key to the company's sales.

Sales of wood products and building materials distribution decreased 11% and 7%, respectively.

The company's chief executive, Nate Jorgensen, said its results were constrained by demand, difficult weather conditions and planned downtime at its Oakdale veneer and plywood mill in Louisiana.

"As we move through the second quarter and better understand the underlying demand for 2025, we will be prepared and flexible as the economic situation changes," Jorgensen said.

The company said the 2025 market demands are difficult to predict, with most forecasts for housing starts ranging from flat to mid-single-digit declines, year-over-year.

Future product pricing, particularly for commodities, could be volatile as a result of economic uncertainty and tariffs, the company said.

Shares fell 3.4% in Monday's aftermarket trading.

Write to Roshan Fernandez at roshan.fernandez@wsj.com

(END) Dow Jones Newswires

May 05, 2025 16:57 ET (20:57 GMT)

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