Commercial Metals Company (CMC) reports earnings

The report was filed on January 6, 2025

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Commercial Metals Company (CMC-1.65%) has submitted its 10-Q filing for the quarterly period ended November 30, 2024.

The company reported net sales of $1,909,602,000, a decrease from $2,003,051,000 in the same quarter the previous year. The decline in sales was attributed to reduced selling prices and shipment volumes in key segments.

Net loss for the quarter was $175,718,000, compared to net earnings of $176,273,000 in the previous year. The loss was primarily due to a $350,000,000 litigation expense related to a lawsuit with Pacific Steel Group.

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Selling, general, and administrative expenses increased to $177,858,000 from $162,532,000, driven by higher employee-related and legal expenses.

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Interest expense remained relatively flat at $11,322,000 compared to $11,756,000 in the previous year.

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The company recorded a comprehensive loss of $211,621,000, compared to comprehensive income of $155,313,000 in the previous year.

Cash provided by operating activities was $213,024,000, while cash used in investing and financing activities was $113,487,000 and $101,509,000, respectively.

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The North America Steel Group segment reported net sales of $1,518,637,000, down from $1,592,650,000, with a decrease in adjusted EBITDA to $188,205,000 from $266,820,000.

The Europe Steel Group segment saw net sales decrease to $209,407,000 from $225,175,000, with adjusted EBITDA of $25,839,000, down from $38,942,000.

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The Emerging Businesses Group segment reported net sales of $169,415,000, a decrease from $177,239,000, with adjusted EBITDA of $22,660,000, down from $30,862,000.

The company noted ongoing challenges from geopolitical conditions and market volatility, which have impacted demand and pricing in its key markets.

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Commercial Metals Company continues to focus on its strategic initiatives, including the development of its fourth micro mill, expected to start operations in late 2025.

This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Commercial Metals Company quarterly 10-Q report dated January 6, 2025. To report an error, please email earnings@qz.com.