| Invested through |
|
|---|---|
| Asset Classes | Listed equity |
| Impact strategy | Impact Equities and Bonds |
| Bloomberg ticker | OC US |
| ISIN code | US6907421019 |
| Industry group | Capital Goods |
| Aligned with SDGs |
Owens Corning develops and sells composite materials and building materials products and services using glass fiber technology. Revenues are derived from three segments: Insulation (35-40% of total sales), Roofing (35-40%) and Composites (25-30%). Insulation products help customers conserve energy and improve acoustical performance. The Roofing division produces roofing shingles and accessories. Fibre glass materials from the Composite division can be found in over 40,000 end-use applications within five primary markets: building and construction, transportation, consumer, industrial, and power & energy.
Demand for products from the Insulation and Roofing divisions depend on new housing construction, and replacement and remodeling demand. Materials of the Composite division are used in many different products across various industries. But the underlying driver for fibre glass based materials is the increasing demand for strong, light weight and long lasting products that need less use of traditional materials like wood, aluminium and steel.
About 65-70% of sales is from the US with the remainder derived from Europe (15-20%), Asia-Pacific (5-10%) and the rest of the world (5-10%). Within the US, 70-75% of sales is residential and 25-30% commercial. Owens Corning is based in Toledo, Ohio and has 20,000 employees worldwide.
Investment rationale
Owens Corning is a leader in recycled content for fiberglass insulation. Its products also contribute to lower energy consumption in the real estate sector, fitting our Sustainable Mobility & Infrastructure theme as well.
Several composite products made from fibre glass are used as alternatives for traditional wood, aluminum, steel and plastic materials. The company is the largest buyer of recycled glass in the world with 600 million kg per year. Glass fibre based insulation products have a recycled raw material content of 50% to 70%. The company also has a collection and recycling programme for its roofing shingles. The asphalt is sold to road paving companies and the glass fibre shield is recycled for re-use as raw material.
Alignment with Triodos Transitions: 39% of revenues is aligned with the Resource Transition and 39% of revenues is aligned with the Energy Transition. The contribution to the Resource Transition comes from 39% of revenues related to the impact objective Green Buildings. The contribution to the Energy Transition comes from 39% of revenues related to the impact objective Energy Efficiency.