Steel Mills
Radius Recycling Posts Loss on Lower Demand, Prices
Written by Becca Moczygemba
October 25, 2023
Radius Recycling
| Fiscal fourth quarter ended Aug. 31 | 2023 | 2022 | % Change |
|---|---|---|---|
| Net sales | $718 | $894 | -20% |
| Net earnings (loss) | $(26) | $11 | -336% |
| Per diluted share | $(0.92) | $0.36 | -356% |
| Fiscal year ended Aug. 31 | |||
| Net sales | $2,882 | $3,486 | -17% |
| Net earnings (loss) | $(25) | $172 | -115% |
| Per diluted share | $(0.92) | $5.72 | -116% |
Radius Recycling, formerly known as Schnitzer Steel Industries, reported a loss for its fiscal fourth quarter ended Aug. 31.
The Portland, Ore.-based metals recycler and longs producer was affected by weak market conditions. Lower global steel demand and a decline in the average selling price for recycled metals were contributing factors, it said.
Tamara Lundgren, the company’s chairman and CEO, said that though the market has been sluggish the company maintained a strong operating cash flow.
Radius recorded a net loss of $26 million in fiscal Q4 2023, down from earnings of $11 million in the same quarter last year. Net sales fell 19.7% to $718 million over the same period. (See chart above.)
“The long-term structural demand for recycled metals remains positive, supported by the increased focus on decarbonization, the transition to low-carbon technologies, and the anticipated demand associated with the Infrastructure Investment and Jobs Act and the Inflation Reduction Act, including Buy Clean provisions,” said Lundgren.
Becca Moczygemba
Read more from Becca MoczygembaLatest in Steel Mills
U.S. Steel sues Algoma over iron pellet shipments
U.S. Steel is suing Algoma over the Canadian flat-rolled producer's rejection of iron pellet shipments, arguing it has breached its contract.
August US mill shipments slip but still higher than last year
The American Iron and Steel Institute reported a decline in the monthly shipments of US mills from July to August.
TransPod, Algoma, Supreme Steel linkup anchors Canadian steel in high-speed transit build
The three Canadian companies have announced a strategic partnership to support the development of an ultra-high-speed transit line from Edmonton to Calgary.
Metallus, USW agree to tentative four-year labor deal
Metallus and the United Steelworkers (USW) have agreed to a tentative four-year labor contract.
ArcelorMittal Dofasco resumes cokemaking after emergency maintenance
The Canadian steelmaker reported on Sept. 30 that “urgent maintenance” was needed in its coke plant off-gas systems. The work required coke oven gas from the No. 2 coke plant to be flared for most of that week.