Ryerson Holding Corporation — Third Quarter 2026 Earnings Summary

Financial Performance:

• Total revenue reached $2.18 billion in Q3 2026, an 8.6% increase quarter-over-quarter (QoQ) and 87.5% increase year-over-year (YoY) compared to $1.16 billion in Q3 2025.
• Total tons shipped were 814,000, up 1.2% QoQ and 67.8% YoY.
• Average selling price per ton was $2,675, up 7.2% QoQ and 11.7% YoY.
• Net income attributable to Ryerson Holding Corporation was $32.0 million ($0.61 per diluted share), compared to $15.5 million ($0.30 per share) in Q2 2026 and a loss of $14.8 million ($0.46 per share) in Q3 2025.
• Adjusted EBITDA, excluding LIFO, was $115.0 million, exceeding the guidance range of $88 to $92 million, compared to $101.0 million in Q2 2026 and $40.3 million in Q3 2025.
• Adjusted EBITDA margin, excluding LIFO, was 5.3%, up 30 basis points QoQ and 180 basis points YoY.
• Gross margin was 17.2%, down 50 basis points QoQ; gross margin excluding LIFO was 18.5%, down 10 basis points QoQ.
• Warehousing, delivery, selling, general, and administrative expenses were $326.1 million (15.0% of revenue), down 100 basis points as a percentage of revenue compared to Q2 2026.
• Total debt was $1.01 billion, and net debt was $965.6 million as of September 30, 2026.
• Net debt to LTM Adjusted EBITDA, excluding LIFO, was 3.2x, down 0.5x YoY.
• Cash and cash equivalents were $40.5 million.
• Net cash used in operating activities was $(18.2) million in Q3 2026.

Guidance and Future Outlook:

• Q4 2026 net sales are expected to be between $1.96 billion and $2.04 billion.
• Q4 2026 net income is expected to be between $16 million and $20 million ($0.30 to $0.38 per diluted share).
• Q4 2026 Adjusted EBITDA, excluding LIFO, is expected to be between $100 million and $104 million.
• Q4 2026 LIFO expense is expected to be between $28 million and $32 million.
• Management expects Q4 shipments to decline 6% to 8% sequentially due to fewer business days and seasonal softness.
• Management expects Q4 average selling prices to be flat to up 2% QoQ.
• Management remains confident in achieving the $120 million two-year annualized run-rate synergy target.

Business Segments and Product Lines:

• Same-store revenue (excluding Olympic Steel) was $1.58 billion, up 9.3% QoQ and 35.7% YoY.
• Same-store tons shipped increased 1.8% QoQ to reach the highest quarterly level in over five years.
• Olympic Steel contributed $602.1 million in revenue and $30.2 million in Adjusted EBITDA, excluding LIFO, to Q3 2026 results.
• Carbon Steel net sales were $1.22 billion (up 11.5% QoQ, 108.9% YoY); tons shipped were 663,000 (up 1.5% QoQ, 74.0% YoY).
• Aluminum net sales were $453 million (up 4.4% QoQ, 57.8% YoY); tons shipped were 55,000 (flat QoQ, up 22.2% YoY).
• Stainless Steel net sales were $453 million (up 2.0% QoQ, 67.2% YoY); tons shipped were 87,000 (flat QoQ, up 52.6% YoY).
• Carbon prices rallied to multi-year highs, while stainless and aluminum prices faced downward pressure due to easing nickel supply restrictions and normalized aluminum supply expectations.

Market and Competitive Landscape:

• Industry inventories are at multi-year lows, and mill lead times are extended.
• Demand was driven by AI infrastructure and power generation investments.
• Ryerson reported market share gains and productivity gains during the quarter.
• The combined enterprise is leveraging greater scale and improving inventory visibility to locate and share material across facilities.

Risks and Challenges:

• Gross margin contracted due to higher material costs flowing through ahead of price adjustments for program customers.
• Q3 included a $4.0 million inventory purchase accounting charge (down from $15.7 million in Q2).
• LIFO expense was $30.0 million, up from $17.0 million in Q2.
• Operating cash flow was negative due to higher working capital requirements supporting revenue growth.
• Forward-looking statements include risks regarding successful integration, synergy realization, market volatility, and economic conditions.

Management Commentary and Tone:

• CEO Eddie Lehner described the quarter as "excellent," noting results exceeded guidance and synergy targets were eclipsed ahead of schedule.
• President Rick Marabito highlighted resilient customer demand and strong execution across the expanded network.
• Management expressed confidence in the combined enterprise's potential and the momentum building toward the two-year synergy target.
• Management credited the results to resourcefulness, collaborative efforts, and the integration of commercial execution.

Other Key Points:

• Realized approximately $13 million in synergy benefits in Q3, representing a $52 million annualized run-rate, substantially exceeding the $40 million first-year target.
• One-time costs to achieve synergies totaled $2.6 million through Q3 2026.
• Returned $13.6 million to stockholders in Q3: $9.8 million in dividends and $3.8 million in share repurchases (159,000 shares at an average price of $23.85).
• Board declared a quarterly cash dividend of $0.1875 per share, payable December 17, 2026.
• $96.2 million remains under the share repurchase authorization, which expires April 30, 2028.
• Global liquidity increased to $865 million as of September 30, 2026.
• The merger with Olympic Steel occurred on February 13, 2026.