Press release
Algoma Steel Group Reports Fiscal 2023 First Quarter Results
Solid Revenue, Operational and Free Cash Flow Performance Electric Arc Furnace Construction Advancing as Planned Repurchased US$400 Million Common Shares
About this update from Algoma Steel Group Inc.
[{"type":"text","content":"Solid Revenue, Operational and Free Cash Flow Performance Electric Arc Furnace Construction Advancing as Planned Repurchased US$400 Million Common Shares (~28% of Outstanding) Through Substantial Issuer Bid in July SAULT STE. MARIE, Ontario, Aug. 03, 2022 (GLOBE NEWSWIRE) -- Algoma Steel Group Inc. (NASDAQ: ASTL; TSX: ASTL) (“Algoma” or “the Company”), a leading Canadian producer of hot and cold rolled steel sheet and plate products, today announced results for its fiscal first quarter ended June 30, 2022. Unless otherwise specified, all amounts are in Canadian dollars. Business Highlights and Fiscal 2023 to Fiscal 2022 First Quarter Comparisons Consolidated revenue of $934.1 million, up 18.4% from $789.1 million in the prior-year quarter.Consolidated income from operations of $328.9 million, compared to $252.2 million in the prior-year quarter.Net income of $301.4 million, or $1.49 per diluted share, compared to $203.6 million, or $2.84 per diluted share in the prior-year quarter.Adjusted EBITDA of $357.7 million and Adjusted EBITDA margin of 38.3%, compared to $280.8 million and 35.6% in the prior-year quarter (see “Non-IFRS Measures” below).Cash flows generated from operations of $276.6 million, compared to $121.1 million in the prior-year quarter.Shipments of 537,524 tons, compared to 610,057 tons in the prior-year quarter.Paid quarterly dividend of US$0.05/share.Completed US$400 million Substantial Issuer Bid (“SIB”) in July, resulting in a repurchase of approximately 27.9% of shares issued and outstanding at the time that the SIB was commenced.In July, the Company and United Steelworkers Local 2724, the union representing Algoma’s technical, professional and front-line supervisory employees, successfully entered into a new labour agreement.In July, the Company and the Negotiating Committee of United Steelworkers Local 2251, the union representing Algoma’s hourly employees, agreed to a 15-day extension beyond the original July 31, 2022 expiry for the purposes of finalizing a new labour agreement. Michael Garcia, the Company’s Chief Executive Officer, commented, “The momentum we established in fiscal 2022 continued with another quarter of strong results in what has been a volatile operational environment. We delivered year-over-year improvement in revenue and adjusted EBITDA even as we undertook a significant planned outage ...