Steel Mills

Radius expects wider Q2 loss
Written by Ethan Bernard
March 18, 2024
Radius Recycling anticipates a wider loss in its fiscal second quarter vs. the first quarter, according to preliminary results.
The Portland, Ore.-based company, formerly Schnitzer Steel Industries, has announced a preliminary net loss of ~$35 million in its Q2’24 ended Feb. 29, widening from a loss of $18 million in the previous quarter.
“Without question, current market conditions remain challenging as cyclical headwinds are creating tighter supply flows and compressing metal spreads,” Chairman and CEO Tamara Lundgren said in a statement on March 14.
In its second quarter, the company said it introduced a plan to reduce selling, general, and administrative expense by 10% and to boost production “efficiencies.”
These measures include “reductions in headcount and other employee-related expenses, as well as decreases in non-trade procurement spend, transportation and logistics, and other outside services,” Radius said.
The company said these are expected to deliver $40 million in aggregate annual benefits. This is in addition to the $30 million in annual benefits previously announced and “substantially implemented in the second quarter.”
Radius noted tight supply flows for recycled metals and “unusually wet winter weather” hit sales volumes and metal spreads for both recycled metals and finished steel.
Ferrous sales volumes are anticipated to fall sequentially by 15%, while nonferrous sales volumes are expected to be down 3% in the same comparison, Radius said.
The company will report financial results for its fiscal Q2’24 on Thursday, April 4.

Ethan Bernard
Read more from Ethan BernardLatest in Steel Mills

Nucor names Batterbee, Bledsoe to HR roles
Nucor Corp. has promoted Thomas J. Batterbee to the position EVP of human resources and talent and appointed Elizabeth Bledsoe to the newly created position of president of human resources and talent.

Millett sees tariffs, CORE case benefiting SDI
Steel Dynamics' top exec thinks Trump’s tariff policies, as well as the results from the recent CORE case, will prove advantageous to the Fort Wayne, Ind.-based steelmaker and aluminum company.

USW digs in on opposition to USS-Nippon deal
“We remain deeply concerned about the national and economic security implications of the subject transaction,” the union stated in the letter dated April 21.

SDI’s Q1 earnings slump on-year, but up sequentially
SDI earnings slip in first quarter year over year, but are up sequentially.

POSCO inks MoU with Hyundai on Louisiana EAF mill
POSCO has signed a Memorandum of Understanding (MoU) with Hyundai Motor Group that includes an equity investment in Hyundai’s previously announced EAF mill set to be built in Louisiana.