Sault Ste Marie Ontario based Canadian steel maker Algoma Steel expects that shipments are expected to be in a range of 540,000-550,000 tons in fiscal fourth quarter 2022 and Adjusted EBITDA in a range of CAD 310-320 million. The slight sequential decrease in expected shipments and, to a lesser extent production levels, as compared to the fiscal third quarter 2022 is largely due to challenges across the logistics supply chain and COVID-related impacts. The fourth quarter outlook includes the impact of the work stoppage at Canadian Pacific Railway that began March 20, 2022. While there have been subsequent positive announcements regarding the resolution of this labor disruption, some adverse impact is expected as the Company had made preparations to mitigate against a potentially prolonged outage. Additionally, Algoma expects to end the quarter with above average work in process and finished goods inventories to fulfill deferred shipments in future periods. The Company continues to generate significant cash flow and remains confident in its cash generating potential in fiscal 2023 and beyond.
Sault Ste Marie Ontario based Canadian steel maker Algoma Steel expects that shipments are expected to be in a range of 540,000-550,000 tons in fiscal fourth quarter 2022 and Adjusted EBITDA in a range of CAD 310-320 million. The slight sequential decrease in expected shipments and, to a lesser extent production levels, as compared to the fiscal third quarter 2022 is largely due to challenges across the logistics supply chain and COVID-related impacts. The fourth quarter outlook includes the impact of the work stoppage at Canadian Pacific Railway that began March 20, 2022. While there have been subsequent positive announcements regarding the resolution of this labor disruption, some adverse impact is expected as the Company had made preparations to mitigate against a potentially prolonged outage. Additionally, Algoma expects to end the quarter with above average work in process and finished goods inventories to fulfill deferred shipments in future periods. The Company continues to generate significant cash flow and remains confident in its cash generating potential in fiscal 2023 and beyond.
