Reliance Steel & Aluminum Co. Q3 Earnings Report

SCOTTSDALE, Ariz. – Reliance Steel & Aluminum Co. (NYSE:RS) reported third-quarter earnings that narrowly missed estimates but beat on revenue, sending shares up 1.58% in early trading Thursday.

The metal solutions provider posted adjusted earnings per share of $3.64, falling short of the $3.67 analyst consensus. However, revenue came in at $3.42 billion, surpassing expectations of $3.38 billion.

Reliance's sales declined 5.6% YoY but tons sold increased 7.1% compared to the same quarter last year. The company attributed the higher shipments to its strategic growth efforts, which helped offset lower metals pricing.

> "Our businesses continued to execute well through challenging market conditions in the third quarter, once again outperforming the industry in shipments while maintaining a gross profit margin within our sustainable range," said CEO Karla Lewis.

For the fourth quarter, Reliance forecasts adjusted EPS of $2.65 to $2.85, below the $3.41 analyst consensus. The company expects shipments to decline 6-8% sequentially due to normal seasonality and economic uncertainty.

The company generated $463.9 million in operating cash flow and repurchased $432 million of stock during the quarter. Reliance maintained its quarterly dividend of $1.10 per share.

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