Russel Metal Ord Stock Price, News & Analysis

Russel Metals Inc. (TSX: RUS) has declared a dividend of CA$0.38 per share on common shares, which will be payable on June 15, 2021. Shareholders of record as of May 27, 2021 will receive the dividend. This marks the 77th consecutive quarterly dividend declared by the company, highlighting its ongoing commitment to returning value to shareholders. Russel Metals operates primarily in metals distribution, encompassing metals service centers, energy products, and steel distributors.

On May 4, 2021, Russel Metals reported strong financial results for Q1 2021, with revenues of $885 million and net income of $81 million, resulting in earnings per share of $1.29. This represents a significant recovery from a net loss of $0.14 in Q4 2020. The company’s EBITDA reached $129 million, contrasting with $11 million in the previous quarter. Improved market conditions led to better gross margins of 28.8%. A quarterly dividend of $0.38 was declared, sustaining previous payment levels. Looking ahead, strong demand is anticipated in the metals service center and steel distributor sectors.

Russel Metals Inc. announced a merger with Marubeni-Itochu Tubulars America, combining their Canadian OCTG/line pipe businesses. The transaction will provide Russel Metals with cash proceeds of approximately $138 million and a 50% equity stake in the new entity, TriMark Tubulars Ltd. Russel will contribute net assets valued at $111 million and retain accounts receivable totaling $59 million. This merger aims to enhance scale and product diversity, driven by evolving industry dynamics. The deal is expected to close in Q2 or Q3 of 2021, subject to regulatory approval.

Russel Metals will release its Q1 2021 results on May 4, 2021, at 5:00 p.m. ET. An Investor Conference Call will take place on May 5, 2021, at 9:00 a.m. ET, featuring Martin L. Juravsky and John G. Reid. Callers can dial 416-764-8688 (Intl) or 1-888-390-0546 (U.S. & Canada) to join. A replay will be available until May 19, 2021. For inquiries, contact Investor Relations at info@russelmetals.com.

Russel Metals Inc. (TSX: RUS) has declared a dividend of CA$0.38 per share on its common shares, set to be paid on March 15, 2021. Shareholders of record by the close of business on February 26, 2021 will receive this payment. Russel Metals is a leading metals distribution company in North America, operating in three segments: metals service centers, energy products, and steel distributors. This announcement marks the company's 76th consecutive quarterly dividend, highlighting its financial stability and commitment to returning income to shareholders.

Russel Metals reports Q4 and annual results for 2020, with annual revenues of $2.7 billion and Adjusted EBITDA of $159 million. In Q4, revenues totaled $671 million, reflecting steel price increases and seasonal demand. However, net income fell to $25 million from $77 million in 2019, alongside a decrease in earnings per share from $1.23 to $0.39. The company generated $371 million in cash from operations and ended with $406 million in liquidity. A dividend of $0.38 per share was approved for March 2021.

Russel Metals Inc. (TSX: RUS) announced its intention to redeem $150 million of its 6.00% senior unsecured notes, originally due on April 19, 2022. This redemption, scheduled for November 5, 2020, will be financed through cash reserves and credit facility borrowings. The move aims to enhance liquidity and significantly lower interest expenses. The company also recently extended its credit facility, contributing to ongoing financial stability.

Russel Metals Inc. (TSX: RUS) has appointed Roger D. Paiva to its Board of Directors as of October 1, 2020. Paiva, who holds a BSc. in mechanical engineering, brings nearly 40 years of experience in steel manufacturing from his tenure at Gerdau Steel Company. His expertise in strategy, operations, and safety is expected to enhance the board's effectiveness. Jim Dinning, Chair of the Board, highlighted that Paiva's extensive knowledge will benefit both shareholders and stakeholders, strengthening the company's governance.

Russel Metals Inc. (TSX: RUS) announced the extension of its $450 million credit facility with major banks, led by RBC Capital Markets, until September 21, 2023. The agreement has been updated to enhance borrowing base flexibility. CEO Martin L. Juravsky expressed satisfaction with the lenders' support, emphasizing that this extension, combined with their cash position, provides robust liquidity and financial flexibility for future growth opportunities.