NASDAQ$ZEUS

Olympic Steel Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Olympic Steel's first quarter results for 2023 were announced, demonstrating the effectiveness of the diversification and strengthening strategy.

Olympic Steel reported net income of $9.9 million, or $0.85 per diluted share, on sales of $573 million for the first quarter of 2023. All three segments reported solid profitability, with the tubular and pipe products segment achieving its second-most-profitable quarter ever. The newly acquired Metal-Fab business also performed well.

  • Net income for the first quarter totaled $9.9 million, or $0.85 per diluted share.
  • Sales for the first quarter of 2023 totaled $573 million.
  • Adjusted EBITDA for the first quarter of 2023 was $28.6 million, excluding $4.6 million of expenses related to the Metal-Fab acquisition.
  • The company generated $52 million of operating cash flow in the first quarter of 2023.

Headline financials

Total Revenue

$573M

Previous: $696M-17.7%
EPS (adj)

$1.15

Previous: $3.10-62.9%
Debt to equity ratio

0.49

Previous: 0.67-26.9%
Shareholders' equity per share

$47.12

Previous: $41.60+13.3%
Cash dividends per share

$0.13

Previous: $0.09+38.9%
Capital Expenditures

-$7.42M

Previous: -$2.12M-250.4%
Free Cash Flow

$45M

Previous: $12.8M+252.7%
Net Income

$9.87M

Previous: $37.3M-73.5%
Operating Income

$17.7M

Previous: $53.1M-66.6%
Gross Profit

-$453M

Previous: -$555M+18.5%
Cash & Equivalents

$18.4M

Previous: $8.01M+129.9%
Total Assets

$1.03B

Previous: $1.04B-1.6%
Stock-Based Comp

$407K

Previous: $327K+24.5%

Revenue & EPS history

Olympic Steel · Revenue · Quarterly

$573M

Q1 2023-17.7%vs Q1 2022
Beat estimate in 7 of 16 quarters(44%)
ActualEstimate

Revenue by segment

Olympic Steel · $526M total across 3 segments · Q3 2023

  • Carbon Flat Products
    $304M-9.5%
  • Specialty Metals Flat Products
    $133M-29.5%
  • Tubular and Pipe Products
    $89.2M-18.8%

Forward guidance

Looking forward to the second quarter of 2023, the company expects customer demand to remain steady and anticipates that its diversification strategy will result in consistent profitability despite an unsettled economic outlook.

Tailwinds

  • Customer demand is expected to remain steady.
  • Diversification strategy is expected to result in consistent profitability.
  • Excellent operational and financial position to continue advancing strategy.
  • Strong balance sheet.
  • Record availability under revolving credit line to invest in growth.

Headwinds

  • Unsettled economic outlook.
  • Risks of falling metals prices and inventory devaluation.
  • Supply disruptions and inflationary pressures.
  • Shortages of skilled labor and increased labor costs.
  • Rising interest rates and their impacts on variable interest rate debt.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 8 quarterly earnings reports

Historical avg

+0.2%

Avg return

Earnings day

-4.2%

Avg return

5 days after

-3.4%

Avg return

30 days after

50%

32 / 64 earnings

Positive

+45.6%

Q1 2015

Best reaction

-15.4%

Q2 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025
Q3 2025+0.0%-1.4%+8.5%
Q2 2025+1.3%-1.9%+8.4%
Q1 2025+9.2%+0.4%-7.3%
Q4 2024+3.3%-1.8%-13.2%
Q3 2024-5.0%+2.9%+15.9%
Q2 2024-11.5%-14.1%-20.5%
Q1 2024-9.2%-16.2%-17.8%
Q4 2023+0.3%-1.8%-1.5%
Q3 2023-5.2%
Q2 2023+5.1%
Q1 2023-1.3%
Q4 2022+0.9%
Q3 2022+7.8%
Q2 2022+2.5%
Q1 2022-7.1%
Q4 2021+14.4%
Q3 2021-2.8%
Q2 2021+10.0%
Q1 2021+7.7%
Q4 2020-6.9%
Q3 2020+6.5%
Q2 2020+0.5%
Q1 2020-0.2%
Q4 2019+3.7%
Q3 2019-5.9%
Q2 2019-4.2%
Q1 2019+10.0%
Q4 2018-5.4%
Q3 2018-0.2%
Q2 2018+2.5%
Q1 2018-4.7%
Q4 2017-7.3%
Q3 2017+5.1%
Q2 2017+2.1%
Q1 2017+19.6%
Q4 2016-9.6%
Q3 2016-12.2%
Q2 2016-15.4%
Q1 2016+11.4%
Q4 2015+1.2%
Q3 2015+0.3%
Q2 2015+5.1%
Q1 2015+45.6%
Q4 2014+8.2%
Q3 2014-8.4%
Q2 2014-5.3%
Q1 2014-3.2%
Q4 2013+0.7%
Q3 2013-14.3%
Q2 2013+10.2%
Q1 2013+13.6%
Q4 2012-1.1%
Q3 2012-2.7%
Q2 2012+0.7%
Q1 2011-5.9%
Q1 2012+3.7%
Q4 2009-3.9%
Q4 2011-3.9%
Q3 2011+1.0%
Q3 2010+1.0%
Q2 2011-13.2%
Q4 2010-13.2%
Q2 2010-13.2%
Q1 2010-2.4%

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