Ryerson Holding Corporation (RYI) saw its loss narrow to $8.60 million, or $0.23 a share for the quarter ended Dec. 31, 2016. In the previous year period, the company reported a loss of $20.50 million, or $0.64 a share.
Revenue during the quarter went up marginally by 2 percent to $682.20 million from $668.80 million in the previous year period. Gross margin for the quarter expanded 161 basis points over the previous year period to 16.80 percent. Operating margin for the quarter period stood at positive 1.64 percent as compared to a negative 1.82 percent for the previous year period.
Operating income for the quarter was $11.20 million, compared with an operating loss of $12.20 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $22.20 million compared with $3.40 million in the prior year period. At the same time, adjusted EBITDA margin improved 275 basis points in the quarter to 3.25 percent from 0.51 percent in the last year period.
Eddie Lehner, Ryerson’s president and chief executive officer said, "I want to send a resounding thank you to our customers for giving us the opportunity to earn their business and support their growth. I also want to thank the Ryerson Team for a job well done in navigating through persistent demand contraction and selling price deflation through the first half of 2016. Our improved financial performance is the result of our passion for the customer experience, as we continue our company transformation as an intelligent network of service centers whose common core is built around speed, scale, value-add, culture, and analytics. During 2016 Ryerson increased market share, expanded gross margins, reduced costs, reduced interest expense, grew net income and EBITDA, improved working capital efficiency, reduced debt, and strengthened our capital structure, a list worthy of repeating on an annual basis."
Working capital increases marginally
Ryerson Holding Corporation has recorded an increase in the working capital over the last year. It stood at $665.40 million as at Dec. 31, 2016, up 3.48 percent or $22.40 million from $643 million on Dec. 31, 2015. Current ratio was at 3 as on Dec. 31, 2016, down from 3.04 on Dec. 31, 2015.
Debt comes down
Ryerson Holding Corporation has recorded a decline in total debt over the last one year. It stood at $963.50 million as on Dec. 31, 2016, down 5.86 percent or $60 million from $1,023.50 million on Dec. 31, 2015. Total debt was 61.81 percent of total assets as on Dec. 31, 2016, compared with 65.77 percent on Dec. 31, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
