Reliance (RS) 35th BMO Global Metals, Mining & Critical Minerals Conference summary

Company overview and strategy

• Operates as a diversified metal service center and processor with a decentralized, customer-focused model.

• Achieved $14.3 billion in sales last year, with rapid delivery and a focus on value-added processing to drive gross profit margins.

• Growth driven by both organic investments and acquisitions, with a history of 76 acquisitions since IPO.

• Maintains strong pricing discipline and limited contractual sales, supporting countercyclical cash flows.

• Consistently returns value to shareholders through dividends and share repurchases.

Market conditions and end-market exposure

• Largest exposure is to non-residential construction and infrastructure, with strong demand from data centers and public works.

• Active in defense, consumer products, industrial machinery, and automotive through toll processing.

• Aerospace and semiconductor markets are recovering, with optimism for improvement into 2026.

• Agricultural sector remains weak, while general manufacturing and bridge work are steady.

• Customers are optimistic for 2026, with many large projects and government initiatives underway.

Semiconductor business outlook

• Semiconductor represents less than 5% of total revenue, with sales to equipment makers and fab plant projects.

• Modest improvement expected towards late 2026 and into 2027, but growth is customer-dependent.

• Tariffs and overseas shifts have limited the return of some business to the U.S.