Reliance Steel & Aluminum Reports Second Quarter 2022 Results

Reliance Steel & Aluminum has reported 84% surge in net profit in January-June 2022. Reliance Steel & Aluminum CEO Mr Jim Hoffman said “Reliance delivered an exceptional second quarter with record-setting financial performance and outstanding operational execution. These results were supported by ongoing healthy demand in most of the end markets we serve and continued elevated pricing levels for the majority of the products we sell. Our model continues to prove resilient amidst challenging macroeconomic circumstances bolstered by our diverse array of products, end markets and geographies, as well as consistent support from our domestic suppliers and deep-rooted relationships with our customers. Our broad geographic footprint of approximately 315 service centers strategically located in close proximity to our end customers provides us a unique competitive advantage by enabling quick turnaround with approximately 40% of our orders delivered within 24 hours. In addition, our proprietary fleet of over 1,700 trucks mitigates the impacts of increased transportation costs in the current inflationary environment.”April-June 2022Net sales – USD 4.681 million, up 4% YoYGross profit - USD 1.495 million, up 8% YoYNet income - USD 0.573 million, up 9% YoYTons sold - 1.456 million tons, up 3% YoYAverage selling price – USD 3,240 per ton, up 2% YoYJanuary-June 2022Net sales - USD 9.167 million, up 47% YoYGross profit - USD 2.883 million, up 42% YoYNet income - USD 1.096 million, up 84% YoYTons sold -2.873 million tons, up 1% YoYAverage selling price- USD 3,213 per ton, up 45% YoYOutlook “Reliance remains cautiously optimistic about business conditions in 2022 with solid underlying demand trends expected to continue across the vast majority of the key end markets it serves. The Company expects shipment levels to be impacted by normal seasonal patterns, which include a decline in shipping volumes due to planned customer shutdowns and vacation schedules. As a result, the Company estimates tons sold will be down 3% to 5% in the third quarter of 2022 compared to the second quarter of 2022. In addition, Reliance expects its average selling price per ton sold for the third quarter of 2022 to be down 5% to 7% compared to the second quarter of 2022 driven by declines in pricing for many of its products, notably for carbon, stainless and aluminum flat-rolled products, partially offset by improving demand and pricing for higher value products sold into the aerospace, energy and semiconductor end markets.”

Reliance Steel & Aluminum Reports Second Quarter 2022 Results

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