NYSE$RYZ

Ryerson Holding Corporation · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Ryerson reported a net loss but generated strong operating cash flow and free cash flow.

Ryerson reported Q3 2024 results with a net loss of $6.6 million, but generated $1.13 billion in revenue. The company also generated strong operating cash flow of $134.6 million and free cash flow of $103.4 million. They anticipate Q4 net sales to be in the range of $1.00 billion to $1.04 billion.

  • Revenue was $1.13 billion from 485,000 tons shipped with an average selling price of $2,323 per ton.
  • Net loss attributable to Ryerson Holding Corporation was $6.6 million, with a diluted loss per share of $0.20.
  • Operating cash flow was $134.6 million and free cash flow was $103.4 million.
  • The company expects customer shipments to seasonally and counter-cyclically decrease 8% to 10% in Q4.

Headline financials

Total Revenue

$1.13B

Previous: $1.25B-9.6%
EPS

-$0.20

Previous: $1.00-120.0%
Tons shipped

485.0K

Previous: 478.0K+1.5%
Average selling price/ton

$2.32K

No prior period
Gross margin

17.9%

Previous: 20.0%-10.5%
Gross margin, excl. LIFO

16.3%

Previous: 17.3%-5.8%
Adj. EBITDA, excl. LIFO

$21M

No prior period
Adj. EBITDA, excl. LIFO margin

1.9%

No prior period
Total debt

$522M

No prior period
Net debt

$487M

No prior period
Net debt / LTM Adj. EBITDA, excl. LIFO

3.8

No prior period
Cash conversion cycle (days)

79.3

No prior period
Capital Expenditures

-$76.1M

Previous: -$96.5M+21.1%
Free Cash Flow

-$82.7M

Previous: -$61.5M-34.5%
Net Income

-$6.6M

Previous: $35M-118.9%
Operating Income

$5.3M

Previous: $56.3M-90.6%
Gross Profit

$202M

Previous: $249M-19.0%
Cash & Equivalents

$35M

Previous: $37.4M-6.4%
Total Assets

$2.53B

Previous: $2.43B+4.1%
Stock-Based Comp

$3.4M

Previous: $3.8M-10.5%

Revenue & EPS history

Ryerson · Revenue · Quarterly

$1.13B

Q3 2024-9.6%vs Q3 2023
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

Ryerson · $1.22B total across 3 segments · Q3 2023

  • Carbon Steel
    $647M
  • Stainless Steel
    $304M
  • Aluminum
    $273M

Forward guidance

For the fourth quarter of 2024, Ryerson expects customer shipments to seasonally and counter-cyclically decrease 8% to 10%, quarter-over-quarter. The Company anticipates fourth-quarter net sales to be in the range of $1.00 billion to $1.04 billion, with average selling prices between decreasing 1% to increasing 1%. LIFO income in the fourth quarter of 2024 is expected to be $10 million. We expect adjusted EBITDA, excluding LIFO in the range of $10 million to $12 million and loss per diluted share in the range of $0.53 to $0.47.

Tailwinds

  • Net sales are expected to be in the range of $1.00 billion to $1.04 billion.
  • Average selling prices are expected to decrease 1% to increase 1%.
  • LIFO income is expected to be $10 million.
  • Adjusted EBITDA, excluding LIFO, is expected to be in the range of $10 million to $12 million.
  • Ongoing cost-reduction work across our North America service center network

Headwinds

  • Customer shipments are expected to seasonally and counter-cyclically decrease 8% to 10%, quarter-over-quarter.
  • Loss per diluted share is expected to be in the range of $0.53 to $0.47.
  • Industry is experiencing a cyclical bottoming marked by twenty-four months of moving average demand and price contraction
  • Compressed margins, most notably in carbon steels and across the commodity spectrum with lagging OEM customer contract price resets
  • Investment related growth pains and disruptions across our network

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

-1.6%

Avg return

Earnings day

-3.0%

Avg return

5 days after

+2.3%

Avg return

30 days after

40%

19 / 47 earnings

Positive

+35.2%

Q1 2015

Best reaction

-26.6%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.5%-15.3%-4.0%
Q4 2025+17.5%-6.7%-20.7%
Q3 2025-6.6%-11.2%-2.8%
Q1 2025-14.8%-9.6%-11.2%
Q4 2024+5.9%+12.7%-0.3%
Q3 2024-2.7%-5.0%+12.7%
Q2 2024-5.9%-19.4%-21.2%
Q1 2024-19.4%-25.7%-24.8%
Q4 2023-6.2%+1.4%+11.0%
Q3 2023+6.6%+6.3%+11.9%
Q2 2023-15.0%-28.1%-27.4%
Q1 2023+1.9%-8.7%-10.0%
Q4 2022-3.9%-8.5%-10.9%
Q3 2022-26.6%-21.4%-8.7%
Q2 2022-1.2%-1.8%+5.6%
Q1 2022-11.6%-14.7%-19.4%
Q4 2021-8.1%+7.5%+57.8%
Q3 2021+1.8%+9.6%-9.8%
Q2 2021+18.6%+24.9%+55.6%
Q1 2021+3.9%+2.3%+0.8%
Q4 2020-15.0%-11.7%+13.0%
Q3 2020+12.1%+13.9%+56.8%
Q2 2020+2.4%-1.4%-2.6%
Q1 2020+2.5%+1.8%+45.8%
Q4 2019+7.9%-6.8%-50.3%
Q3 2019-3.8%+1.6%+20.1%
Q2 2019-7.4%-9.7%-8.3%
Q1 2019+13.3%+25.0%-10.8%
Q4 2018-7.0%+1.7%+12.7%
Q3 2018-6.4%+1.1%-10.8%
Q2 2018-6.9%+0.0%-10.0%
Q1 2018+11.7%+17.9%+29.6%
Q4 2017-8.8%-3.4%-18.6%
Q3 2017-0.6%-0.6%+2.8%
Q2 2017-0.6%-4.1%+0.6%
Q1 2017-20.9%-25.5%-34.2%
Q4 2016+8.9%+24.1%+31.9%
Q3 2016-14.9%-9.5%+46.8%
Q2 2016-10.7%-20.2%-10.8%
Q1 2016+8.4%
Q4 2015-5.5%
Q3 2015-5.4%
Q2 2015+12.6%
Q1 2015+35.2%
Q4 2014+3.0%
Q3 2014-16.9%
Q4 2013-0.4%
Q1 2014
Q3 2013
Q2 2013
Q1 2013
Q4 2012
Q3 2012
Q2 2012
Q1 2012
Q4 2011
Q3 2011
Q2 2011
Q1 2011
Q4 2010
Q3 2010
Q2 2010
Q1 2010

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro