The following is a summary of the Ryerson Holding Corporation (RYI) Q4 2023 Earnings Call Transcript:
Financial Performance:
Ryerson reported Q4 net sales of $1.1 billion, decreased by 11% from the previous quarters due to lower volume.
Q4's Adjusted EBITDA stood at $26 million and earnings per share were at $0.74, surpassing the guidance range.
The company estimates Q1 2024 EBITDA to be within $58-62 million and revenue between $1.21-1.25 billion due to 8-10% volume increase.
$90 million was generated as cash flow in Q4 and net leverage ratio was maintained at 1.7x by year-end.
Net income for Q4 was $25.8 million or $0.74 per diluted share, down from $35 million, and $1 per diluted share of the prior quarter. Q4's free cash flow was $65.1 million.
The full year 2023 reported a net income of $145.7 million or $4.10 per diluted share, an EBITDA of $231 million, and a free cash flow of $244 million.
Business Progress:
Ryerson amplified its market share in aluminum and stainless steel employees and pushed its book value per share to the highest since IPO.
It strengthened the service network in North America and China and completed construction at University Park, Illinois.
The acquisition of Norlen Incorporated, TSA Processing, and Hudson Tool Steel Corporation led to an increase in value-added percentage of sales from 14% to 18%.
Despite unfavourable market conditions, Ryerson remains confident due to strategic investments in modernizing facilities and enhancing value-add services.
Ryerson reported a positive shift in commercial ground transportation and oil and gas end markets despite lower overall shipments.
Company's focus is on delivering an improved customer experience through investments in modernization of facilities, capability enhancement, and purchasing businesses that add value.
More details: Ryerson IR
Tips: This article is generated by AI. The accuracy of the content can not be fully guaranteed. For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.