Ryerson (RYZ) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue was $1.01 billion on 447,000 tons shipped at an average price of $2,254 per ton, with a net loss of $4.3 million or $0.13 per diluted share; adjusted EBITDA excluding LIFO was $10.3 million.

• Full-year 2024 revenue was $4.6 billion, down 10% year-over-year, with a net loss of $8.6 million versus $145.7 million net income in 2023.

• Achieved $60 million in annualized operating expense reductions and generated $204.9 million in operating cash flow for the year.

• Major modernization and expansion projects completed or advanced at service centers in University Park, Shelbyville, Norcross, Dallas, and Los Angeles.

• Returned $75.8 million to shareholders in 2024 via dividends and share repurchases.

Financial highlights

• Q4 2024 net sales were $1.01 billion, down 10.6% sequentially; gross margin expanded by 110 basis points to 19%, aided by $25 million in LIFO income; excluding LIFO, gross margin was 16.4%.

• Q4 net loss was $4.3 million ($0.13 per diluted share), improved from a $6.6 million loss in Q3; adjusted EBITDA excluding LIFO was $10.3 million, down 51% sequentially.

• Full-year 2024 net sales were $4.6 billion, down from $5.1 billion in 2023, primarily due to a 10% drop in ASP; volumes were flat year-over-year.

• Full-year net loss was $8.6 million ($0.26 per diluted share); adjusted EBITDA excluding LIFO was $114.1 million, down 51% from 2023.

• Free cash flow for 2024 was $107.4 million, with a free cash flow yield of 18.2%.

Outlook and guidance

• Q1 2025 shipments expected to rise 11–13% quarter-over-quarter, with net sales projected at $1.12–$1.15 billion and average selling prices up 0–2%.

• Q1 2025 Adjusted EBITDA, excluding LIFO, expected between $28–$32 million; loss per diluted share forecasted at $0.27–$0.20.

• CapEx for 2025 is planned at $50–$55 million, down from $100 million in 2024, as focus shifts to operationalizing recent investments.

• LIFO expense for Q1 2025 anticipated at $6–8 million.

• Anticipates seasonal restocking to drive volume and pricing recovery in Q1 2025.