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Ryerson reports higher net income for Q4, full-year 2018

Wednesday, 06 March 2019 21:34:30 (GMT+3)   |   San Diego
       

Ryerson Holding Corporation, a processor and distributor of industrial metals, today reported results for the fourth quarter and full-year ended December 31, 2018.

Revenues were $1.16 billion for the fourth quarter of 2018, up 43.1 percent from the year-ago period due to increases in tons shipped of 22.8 percent and average selling price per ton of 16.5 percent. On a same-store basis, revenues increased 22.2 percent to $990.7 million in the fourth quarter of 2018 compared to the year-ago period with average selling prices 18.7 percent higher and tons shipped 3.0 percent higher.

Net income attributable to Ryerson Holding Corporation was $0.6 million in the fourth quarter of 2018, compared to zero in the fourth quarter of 2017. 

In a press release, the company said Central Steel & Wire continued to enhance Ryerson's commercial, processing, and operational strengths during the fourth quarter. CS&W generated fourth quarter revenues of $169.3 million with average selling prices 4.0 percent lower and tons shipped only 1.1 percent lower sequentially with two fewer shipping days.

As for the full-year 2018, revenues were $4.4 billion in 2018, up 31.0 percent from 2017, as average selling price per ton increased by 15.6 percent and tons shipped increased by 13.4 percent. On a same-store basis, revenues were $4.1 billion in 2018, up 20.7 percent from 2017 with average selling prices 16.0 percent higher and volumes 4.1 percent higher.      

Net income attributable to Ryerson Holding Corporation was $106.0 million in 2018, compared to $17.1 million in 2017. Included in 2018 results is a gain on bargain purchase related to the acquisition of Central Steel & Wire of $70.0 million.

As for an outlook, the company said, “We believe average selling prices remain well supported year-over-year and gross margins have begun to expand gradually after bottoming in mid-February.  We expect to see continued strength in most of our end-markets while commodity pricing across carbon, aluminum, and nickel has stabilized or moved higher compared to levels transacted in the fourth quarter of 2018.”


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