US-based steel producer Insteel Industries Inc. has announced its financial results for the fourth quarter of the fiscal year 2023-24 ended September 28.
In the given quarter, the company’s net earnings amounted to $4.7 million, compared to $5.6 million recorded in the same quarter of the previous fiscal year, due to narrower spreads between selling prices and raw material costs relative to the prior year quarter, along with lower shipments, while its net sales declined 14.7 percent year on year to $134.3 million, mainly due to persistent competitive pricing pressures in the company’s welded wire reinforcing markets and the impact of low-priced PC strand imports.
Moreover, in the fourth quarter, Insteel’s shipments declined by 5.2 percent, while its average selling prices declined by 2.8 percent, both on quarter-on-quarter basis.
“As we move forward into fiscal year 2025, we anticipate a gradual improvement in business conditions across our markets. Although recent leading indicators for nonresidential construction spending have been mixed, we expect that declining inflation and the downward trajectory in interest rates will help stimulate demand in the months ahead. Additionally, we remain optimistic about the impact of spending from the Infrastructure Investment and Jobs Act, which is expected to boost infrastructure-related project activity and lay a stronger foundation for future growth,” H.O. Woltz III, Insteel’s President and CEO, said.