Steel Mills
Ryerson Swings to Q4'22 Loss, Predicts Brighter 1H'23
Written by Michael Cowden
February 23, 2023
Ryerson Holding Corp. swung to a loss in the fourth quarter on lower sales volumes and selling prices.
The Chicago-based service center said the “transient margin compression” was most pronounced in the carbon steel sheet and stainless markets.
The fourth-quarter loss capped off an otherwise profitable year for the company, which forecast better times ahead in 2023.
Ryerson’s headline sales and profit figures are in the chart above. The company also recorded average selling prices of $2,770 per ton ($138.5 per cwt) in the fourth quarter of 2022, down 14% from $3.236 per ton in the fourth quarter of 2021. It shipped 465,000 tons in Q4’22, down 2% from 474,000 tons in Q4’21.
Ryerson noted in commentary released with earnings data on Wednesday, Feb. 22, that prices bottomed midway through the fourth quarter and rebounded toward the end of the year.
The continuation of that trend, and higher commodity futures prices, point to a brighter-than-expected outlook for the first half of 2023, the company said.
Ryerson ended the year with total debt of $367 million, down nearly 43% from $639.3 million in 2021.
Fitch Ratings noted that Ryerson had reduced debt by $116 million in the fourth quarter alone and said that the outlook for the company remained bright.
“Ryerson’s EBITDA declined in 4Q22 in line with cost headwinds and a significant decline in steel prices, but from historical high levels, and at a still relatively healthy level in Fitch’s view,” Fitch associate director Bill Van Meerbeke said.
The New York-based credit ratings agency earlier this month upgraded Ryerson’s long-term issuer default rating to “BB” from “BB-” and said its rating outlook for the company was stable.
By Michael Cowden, michael@steelmarketupdate.com

Michael Cowden
Read more from Michael CowdenLatest in Steel Mills

Steel Summit: Schneider sees SDI ‘on the edge of a very good run’
Steel Dynamics Inc. (SDI) President and Chief Operating Officer, Barry Schneider, remains bullish about the Fort Wayne, Ind.-based steelmaker’s position in the current market.

Steel Summit: Burritt says USS and Nippon are fast-tracking modern steelmaking
U.S. Steel President and CEO David Burritt told audiences at SMU's Steel Summit 2025 that the iconic American steelmaker’s partnership with Nippon Steel is fast-tracking smarter steel production.

Nucor moves to stop HRC price slide with $10/ton hike
Nucor is attempting to halt the decline in hot-rolled coil prices with the announcement of a $10-per-short-ton increase in its weekly consumer spot price on Monday.

Explosion rocks ArcelorMittal’s DR plant in Mexico
ArcelorMittal reported a "strong" explosion at the direct reduction part of its massive Lazaro Cardenas mill in Mexico.

SDI to acquire remaining stake in New Process Steel
Steel Dynamics Inc. (SDI) announced that it has agreed to acquire the remaining 55% equity interest in New Process Steel.