UPDATE 1-Universal Forest Products Q4 revenue tops Wall St

* Q4 loss per share 3 cents, in line with estimates

* Revenue $338.6 mln vs $325 mln expected

SAN FRANCISCO Feb 8 (Reuters) - Universal Forest Products Inc (UFPI.O) reported on Monday a fourth-quarter loss in line with expectations and said it expected another challenging year ahead.

The company supplies lumber, plastic, and other building materials for the so-called "do-it-yourself" market, providing consumers with the tools needed for personal projects. Demand for its products dropped sharply during the recession.

"Although we expect 2010 to be challenging, we've laid the groundwork to achieve new and sustainable growth in the future, and we're already seeing results," Chief Executive Michael Glenn said in a statement.

For the fourth quarter, the company posted a net loss of $663,000, or 3 cents per share, on net sales of $338.6 million. That compared with a loss of $793,000, or 4 cents per share, on net sales of $423.7 million in the same quarter a year before.

Analysts had expected a loss of 3 cents per share, on revenue of $325 million, according to the averages on Thomson Reuters I/B/E/S.

Shares of the Grand Rapids, Michigan-based company had closed 1.1 percent lower at $33.02, and were little changed in after-hours trading in response to the results. The stock has traded between $19.01 and $47.78 in the past 52 weeks. (Reporting by Braden Reddall in San Francisco and Ernest Scheyder in New York; Editing by Bernard Orr)