CHICAGO, Sept. 30, 2016 /PRNewswire/ -- Ryerson Holding Corporation (NYSE: RYI), a leading distributor and processor of metals, today provided guidance for its third quarter ending September 30, 2016. The Company expects third quarter 2016 net income attributable to Ryerson Holding Corporation in the range of $8 million to $12 million and Adjusted EBITDA, excluding LIFO in the range of $46 million to $50 million. Ryerson reported third quarter 2015 net income attributable to Ryerson Holding Corporation of $7 million and Adjusted EBITDA, excluding LIFO of $30 million. A reconciliation of Adjusted EBITDA, excluding LIFO to net income attributable to Ryerson Holding Corporation is included below in this news release.

The Company anticipates revenue for the third quarter of 2016 to be flat with the second quarter of 2016, with higher average selling prices offset by lower sequential shipments. Spot hot rolled coil steel prices are down 25% from their peak levels in the second quarter, and spot carbon plate prices are nearing parity with hot rolled coil prices. Steel mill lead times have shortened across all carbon steel categories, consistent with slowing demand evidenced so far during the third quarter. With respect to specific end markets, food processing equipment and consumer durables are demonstrating sequential quarterly demand strength while oil & gas, commercial ground transportation, agricultural equipment, metal fabrication and machine shops are showing sequential quarterly demand weakness. Construction equipment sequential quarterly demand is neutral.

Ryerson Holding Corporation's Third Quarter 2016 Conference Call Details

Ryerson also announced that it will host a conference call to discuss third quarter 2016 results on Thursday, November 3 at 10 a.m. Eastern Daylight Time. The live online broadcast will be available on the Company's investor relations website, ir.ryerson.com. Ryerson will report earnings after the market closes on Wednesday, November 2. 



    DATE:          Thursday, November 3, 2016

    TIME:          10:00 a.m. EDT / 9:00 a.m. CDT

    DIAL-IN:        800-862-9098 (U.S., Canada) /
                    785-424-1051 (International)

    CONFERENCE ID:                            6688203

An online replay of the call will be posted on the investor relations website, ir.ryerson.com, and remain available for 90 days.

Ryerson is a leading processor and distributor of metals, with operations in the United States, Canada, Mexico and China. Founded in 1842, Ryerson employs around 3,400 employees in approximately 100 locations. Visit Ryerson at www.ryerson.com.

Safe Harbor Provision

Certain statements made in this filing constitute "forward-looking statements" within the meaning of the federal securities laws, including statements regarding our future performance, as well as management's expectations, beliefs, intentions, plans, estimates or projections relating to the future. Such statements can be identified by the use of forward-looking terminology such as "believes," "expects," "may," "estimates," "will," "should," "plans" or "anticipates" or the negative thereof or other variations thereon or comparable terminology, or by discussions of strategy. The Company cautions that any such forward-looking statements are not guarantees of future performance and may involve significant risks and uncertainties, and that actual results may vary materially from those in the forward-looking statements as a result of various factors. Among the factors that significantly impact the metals distribution industry and our business are: the cyclicality of our business; the highly competitive, volatile, and fragmented market in which we operate; fluctuating metal prices; our substantial indebtedness and the covenants in instruments governing such indebtedness; the integration of acquired operations; regulatory and other operational risks associated with our operations located inside and outside of the United States; work stoppages; obligations under certain employee retirement benefit plans; the ownership of a majority of our equity securities by a single investor group; currency fluctuations; and consolidation in the metals producer industry. Forward-looking statements should, therefore, be considered in light of various factors, including those set forth above and those set forth under "Risk Factors" in our annual report on Form 10-K for the year ended December 31, 2015 and in our other filings with the Securities and Exchange Commission. Moreover, we caution against placing undue reliance on these statements, which speak only as of the date they were made. The Company does not undertake any obligation to publicly update or revise any forward-looking statements to reflect future events or circumstances, new information or otherwise.




    Set forth below is a reconciliation of our anticipated net
     income attributable to Ryerson Holding Corporation to our
     Adjusted EBITDA and our Adjusted EBITDA, excluding LIFO
     expense (income), net.


                                                             Range of
                                                            Estimates
                                                            ---------

                                                           (unaudited)

                                                          (in millions)

                                                               Low       High

    Net income
     attributable to
     Ryerson Holding
     Corporation                                                      $8       $12

    Interest and other
     expense on debt                                                  23        23

    Provision for
     income taxes                                                      4         8

    Depreciation and
     amortization
     expense                                                          10        10
                                                                     ---       ---

    EBITDA                                                           $45       $53

    Reorganization                                                     3         3

    Adjusted EBITDA                                                  $48       $56
                                                                     ===       ===

    LIFO expense
     (income), net                                                   (2)      (6)

    Adjusted EBITDA,
     excluding LIFO
     expense (income),
     net                                                             $46       $50
    ------------------                                               ===       ===




    EBITDA represents net income before
     interest and other expense on
     debt, provision for income taxes,
     depreciation and amortization.
     Adjusted EBITDA gives further
     effect to, among other things,
     impairment charges on assets,
     reorganization expenses and
     foreign currency transaction gains
     and losses. We believe that the
     presentation of EBITDA, Adjusted
     EBITDA and Adjusted EBITDA,
     excluding LIFO expense (income),
     net, provides useful information
     to investors regarding our
     operational performance because
     they enhance an investor's overall
     understanding of our core
     financial performance and provide
     a basis of comparison of results
     between current, past and future
     periods. We also disclose the
     metric Adjusted EBITDA, excluding
     LIFO expense (income), net, to
     provide a means of comparison
     amongst our competitors who may
     not use the same basis of
     accounting for inventories.
     EBITDA, Adjusted EBITDA and
     Adjusted EBITDA, excluding LIFO
     expense (income), net, are three
     of the primary metrics management
     uses for planning and forecasting
     in future periods, including
     trending and analyzing the core
     operating performance of our
     business without the effect of
     U.S. generally accepted accounting
     principles, or GAAP, expenses,
     revenues and gains (losses) that
     are unrelated to the day to day
     performance of our business. We
     also establish compensation
     programs for our executive
     management and regional employees
     that are based upon the
     achievement of pre-established
     EBITDA, Adjusted EBITDA and
     Adjusted EBITDA, excluding LIFO
     expense (income), net, targets. We
     also use EBITDA, Adjusted EBITDA
     and Adjusted EBITDA, excluding
     LIFO expense (income), net, to
     benchmark our operating
     performance to that of our
     competitors. EBITDA, Adjusted
     EBITDA and Adjusted EBITDA,
     excluding LIFO expense (income),
     net do not represent, and should
     not be used as a substitute for,
     net income or cash flows from
     operations as determined in
     accordance with generally accepted
     accounting principles, and neither
     EBITDA, Adjusted EBITDA and
     Adjusted EBITDA, excluding LIFO
     expense (income), net, is
     necessarily an indication of
     whether cash flow will be
     sufficient to fund our cash
     requirements.  Our definitions of
     EBITDA, Adjusted EBITDA, and
     Adjusted EBITDA, excluding LIFO
     expense (income), net may differ
     from that of other companies.

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SOURCE Ryerson Holding Corporation