Russel Metal Ord Stock Price, News & Analysis

Russel Metals Inc. (TSX: RUS) has closed the acquisition of seven service centers from Samuel, Son & Co., The acquired centers are located in Western Canada and the Northeast U.S. John Reid, President and CEO, welcomed Samuel employees to the Russel family, noting their close collaboration for an orderly transition.

Russel Metals is one of North America's largest metals distribution companies, with a growing focus on value-added processing. The company operates in three segments: metals service centers, energy products, and steel distributors. Its network offers an extensive line of metal products in various sizes, shapes, and specifications, including carbon steel, pipe and tubular products, stainless steel, aluminum, and other non-ferrous specialty metals.

Russel Metals Inc. (TSX: RUS) announced financial results for Q2 2024. Key highlights include:

• Revenues of $1.1 billion, consistent with Q1 2024 but lower than Q2 2023
• EBITDA of $86 million, slightly up from Q1 2024 but down from Q2 2023
• Earnings per share of $0.84, higher than Q1 2024 but lower than Q2 2023
• Invested $24 million in capital expenditures
• Repurchased $56 million of shares
• Redeemed $150 million of 6% Notes
• Liquidity of $768 million

The company expects steel prices to stabilize above historical averages and anticipates growth in North American steel consumption due to onshoring activities and infrastructure spending initiatives.

Russel Metals Inc. (TSX: RUS) has renewed and enhanced its credit facility, increasing total availability from $450 million to $600 million. The new facility includes:

• $400 million revolving credit facility (maturity: July 2028)
• $50 million letters of credit facility (maturity: July 2028)
• $150 million revolving credit facility (maturity: July 2026)

The facility is unsecured with no borrowing base restrictions and features more flexible investment grade type financial covenants. This enhancement reflects Russel's improved capital structure and transition to an investment grade type company, providing greater flexibility for growth initiatives.

Russel Metals has announced that its results for the 2024 second quarter will be released on Wednesday, July 31, 2024, after the close of business at 5:00 p.m. ET.

An Investor Conference Call will be held on Thursday, August 1, 2024, at 9:00 a.m. ET, hosted by Martin L. Juravsky, EVP and CFO, and John G. Reid, President and CEO, to review the results.

Investors can register for an automated call back or directly dial in. A replay will be available until August 15, 2024. Contact Russel Metals' Investor Relations for further information.

Russel Metals (TSX: RUS) has obtained a no-action letter from the Canadian Competition Bureau for its acquisition of seven service center locations from Samuel, Son & Co. The transaction is expected to close in Q3 2024, pending customary conditions. CEO John Reid expressed optimism about the acquisition's positive impact on customers, suppliers, employees, and communities. Russel Metals is a major North American metals distributor with segments in metals service centers, energy field stores, and steel distributors. The company offers a wide range of metal products and specialized services for the energy industry.

Russel Metals Inc. (TSX: RUS) released the voting results of its 2024 annual meeting, with a majority of shares represented. Shareholders voted for the election of all nominee directors, with high percentages in favor of each. The advisory 'say on pay' resolution and the appointment of KPMG LLP as auditors were also approved. Russel Metals Inc. is a prominent metals distribution company in North America, focusing on value-added processing across three business segments.

Russel Metals Inc. announces their 2024 first quarter financial results, reporting revenues of $1.1 billion, EBITDA of $84 million, and cash generated from operating activities of $85 million. The company repurchased $15 million of shares, increased quarterly dividend by 5% to $0.42 per share, and redeemed $150 million of 6% notes. Liquidity stands at $956 million. Although net income and earnings per share declined compared to the previous year, gross margins improved. Market conditions affected steel prices, with the company experiencing higher average selling prices and volumes. Capital investment growth initiatives include expansions and new facilities. The acquisition of service centers is delayed due to Competition Bureau concerns. The company continues its flexible approach to returning capital to shareholders through dividends and share buybacks. Strong liquidity and capital structure position the company for debt structure improvements. The outlook is positive, expecting stable steel prices and growth in steel consumption. Energy field stores are poised for continued growth in 2024.