Service Centers
Ryerson Posts Profit for Q3
Written by Sandy Williams
November 3, 2016
Ryerson Holding Co., a processor and distributor of metals in the U.S., Canada, Mexico and China, reported net income of $8.2 million for third quarter.
Sales for the quarter totaled $735.1 million, essentially unchanged from second quarter. Shipments fell 5.0 percent sequentially and 2.4 percent year-over-year to 480,000 tons. The lower volume was partially offset by higher average selling price per ton of $1,531 compared to $1,465 per ton in second quarter.
Carbon shipment totals declined 6.2 percent from Q2 and 6 percent y/y to 361,000 ton. Carbon net sales of $371,000 were up slightly from second quarter but down 9.1 percent from Q3 2015.
Aluminum shipments were down 4 percent sequentially and 2 percent y/y to 48,000 tons; stainless was down -15 percent sequentially and up 17.5 percent y/y to 67,000 tons.
“The Ryerson Team performed well in a challenging environment,” said Ryerson’s President and CEO Eddie Lehner. “While industrial metals demand continued to contract year over year and decline sequentially more than indicative historical trends, and spot carbon sheet index pricing fell almost 20% in the quarter, Ryerson was able to increase gross margin, net income, and earnings per share in the third quarter compared to prior year.”
He added, “Despite an industrial metals climate characterized by deflation and demand contraction, under-investment in many of the world’s largest economies, most notably the U.S., is receiving the attention if not action it deserves as the deleterious impacts of break-fix and haphazard investment result in declining productivity and stagnation.”
Sandy Williams
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