Schnitzer Reports Fourth Quarter Fiscal 2013 Financial Results
Steel Manufacturing Business Reports Best Performance since Fiscal 2008
Additional Cost Savings and Productivity Improvements Planned for Metals Recycling Business in Fiscal 2014
Reported Results Include a Non-cash Goodwill Impairment and Other Charges in the Metals Recycling Business
Business Wire Schnitzer Steel Industries, Inc.
October 29, 2013 8:30 AM
PORTLAND, Ore.--(BUSINESS WIRE)--
Schnitzer Steel Industries, Inc. (SCHN) today reported an adjusted loss per share of $(0.51) for the fourth quarter ended August 31, 2013, excluding a non-cash goodwill impairment charge, other asset impairment charges, restructuring charges and tax valuation allowances. The Company reported a loss per share of $(10.82) for the fourth quarter ended August 31, 2013. This compares with an adjusted earnings per share of $0.11, excluding restructuring charges, and a reported loss per share of $(0.02) for the fourth quarter of fiscal 2012. Notwithstanding the significant impact to earnings as a result of the impairments and other charges, the Company generated positive operating cash flows of $38 million in the fourth quarter.
Challenging market conditions for recycled ferrous metals resulted in lower export selling prices and reduced sales volumes as compared to both the third quarter of fiscal 2013 and the fourth quarter of fiscal 2012. In addition, purchase prices for raw materials did not decrease as much as selling prices during the quarter due to constrained supply which contributed to operating margin compression in both our Metals Recycling and Auto Parts Businesses.
In the fourth quarter, our Metals Recycling Business took a non-cash goodwill impairment charge of $321 million and other asset impairment charges of $13 million. In the fourth quarter, MRB’s adjusted operating loss of $6 per ton excludes the non-cash goodwill impairment, other asset impairment charges and restructuring charges.
Schnitzer Reports Fourth Quarter and Full Year Fiscal 2012 Financial Results
Fourth Quarter Revenues $762 million, Adjusted Diluted EPS $0.10 and Cash From Operations $108 million
Full Year Revenues $3.3 billion, Adjusted Diluted EPS $1.11 and Cash From Operations $245 million