Canada
August 10, 2026
Russel Metals reports record sales and shipments in second quarter
Written by Laura Miller
Russel Metals Inc.
| Second quarter ended June 30 | 2026 | 2025 | % Change |
|---|---|---|---|
| Net sales | $1,655 | $1,207 | 37.1% |
| Net earnings (loss) | $78.5 | $60.4 | 30.0% |
| Per diluted share | $1.43 | $1.07 | 33.6% |
| Six months ended June 30 | |||
| Net sales | $3,073 | $2,381 | 29.1% |
| Net earnings (loss) | $150.3 | $103.4 | 45.4% |
| Per diluted share | $2.73 | $1.82 | 50.0% |
Russel Metals posted record quarterly revenues and shipments in the second quarter, boosted by strong market conditions and the integration of seven Kloeckner Metals Co. facilities.
Financial results
The Mississauga, Ontario-based metals distributor reported second-quarter revenues of nearly $1.7 billion Canadian (US$1.2 billion). That’s up 17% sequentially and 37% year over year (y/y), a quarterly record.
The seven US locations Russel acquired from Kloeckner at the end of 2025 boosted y/y results. The branches contributed CA$213 million in revenue and CA$16 million in EBITDA in the second quarter.
Meanwhile, Russel’s metal service center segment shipped record tonnage. Shipments were up 6% from the first quarter and up 28% from the same quarter last year.
All told, the company posted second-quarter net earnings of CA$78.5 million, a 9.3% sequential increase and a 30% rise y/y.
Geographically, Russel said its US business represented ~54% of revenues and 61% of operating profits during the quarter.
“The market conditions in the U.S. are currently stronger than in Canada, which has resulted in higher relative profitability for our U.S. versus our Canadian operations,” noted CFO, Secretary, and EVP Martin Jurasvsky on an Aug. 7 earnings call. “That being said, our Canadian business is making up some ground, and we see a positive outlook on both sides of the border.”
Against that backdrop, Russel noted in its earnings report it is “continuing to evaluate additional acquisition opportunities with the focus on expanding our metals service center platform in the U.S.” CEO, President, and Director John Reid said he thinks “there will be some M&A activity probably in the back half of the year, early next year.”
Outlook
Looking ahead, Russel expects favorable demand, limited imports, inflationary impacts on energy and transportation, and strong metal pricing to continue in the near term. Steady activity across most of its geographic regions will keep service center shipments high. As a result, this should generate margins comparable to those in the first half of the year.
“We think demand will be very solid and robust through Q3 and into Q4,” Reid commented on the call.
“Over the medium-term, we expect to benefit from further rebuilding of the U.S. industrial manufacturing base, Canadian nation building projects, as well as infrastructure related investments in areas such as data centers and energy related projects,” Russel stated.
“In addition, we continue to be positioned to gain market share through our ongoing investments in value-added equipment, facility modernizations and acquisitions,” the company noted.
