Ryerson Holding Corporation · NYSE:RYZ
Ryerson — Q3 2020 Earnings Presentation
17 slides from Ryerson's earnings presentation, Oct 30, 2020
Slide 1: Ryerson Quarterly Release Presentation
Ryerson Quarterly Release Presentation Q3 2020 1
Slide 2: Important Information About Ryerson Holding Corporation
Important Information About Ryerson Holding Corporation These materials do not constitute an offer or solicitation to purchase or sell securities of Ryerson Holding Corporation (“Ryerson” or “the Company”) or its subsidiaries and no investment decision should be made based upon the information provi
Slide 3: Q3 2020 Key Financial Metrics
Q3 2020 Key Financial Metrics Ryerson’s performance amidst the continuing pandemic characterized by excellent cash flow generation alongside a strengthened balance sheet Cash from Gross Margin, Diluted Adjusted Adj. EBITDA, excl. Net Sales Operating excl. LIFO Earnings per Share LIFO Activities Thir
Slide 4: Q3 2020 vs. Q2 2020 Financial Performance
Q3 2020 vs. Q2 2020 Financial Performance Adj. EBITDA, excl. LIFO $12.4M $31M in Adj. EBITDA, excl. LIFO is an increase quarter-over-quarter of $11M driven by higher volumes, improved pricing, and lower expenses excl. D&A and one-time items. This was partially offset by a 10 basis point decrease in
Slide 5: COVID-19 Response: Dual Mandate
COVID-19 Response: Dual Mandate Successfully executing on our dual mandate response plan to safeguard the health and safety of our employees and to preserve the liquidity and recovery capacity of the Company Health & Safety Liquidity & Recovery Capacity •COVID-19 Task Force commissioned and operatin
Slide 6: Strong Liquidity to Fund Operations and Investments
Strong Liquidity to Fund Operations and Investments Ryerson has ample liquidity to fund operations throughout the COVID-19 crisis ($M) • The Company’s liquidity increased by approximately $48 million driven by Adj. EBITDA , excl. LIFO generation and excellent working capital management. • We had dra
Slide 7: Decreasing Net Debt with Secured Optionality
Decreasing Net Debt with Secured Optionality Ryerson has driven down net debt and fixed cash commitments as part of its transformation strategy and has begun to exercise the optional redemption terms secured in the July 2020 refinance Net Debt ($M) Reduced Principle & Interest 2012 2016 2020F Bon
Slide 8: Best in Class Free Cash Flow Yield
Best in Class Free Cash Flow Yield Free cash flow yield over the past 23 quarters compares favorably to the Composite S&P 500 Free Cash Flow Yield. Annualized average figures 2015 - 2019 2015 - Q3 2020 Free cash flow $94M $140M Market capitalization $330M $316M Free cash flow yield 28% 44% Our impro
Slide 9: Adjusted Net Income: Excluding non-recurring, non-operating items
Adjusted Net Income: Excluding non-recurring, non-operating items Net income recognized in the third quarter was GAAP impacted by non-operating recognition events around our bond refinancing and legacy liability management actions which are wholly beneficial on a go-forward basis. (Dollars and share
Slide 10: Sequential Q3 End-Market Trends – up, down, sideways
Sequential Q3 End-Market Trends – 4 up, 3 down, 1 sideways Third quarter sequential volume trend and sales mix by end-market QoQ End-Market 2019 Volume Commentary Sales Mix Compared to second quarter Metal Fab and Machine Shop 23% volumes, Ryerson’s third quarter per day volumes in commercial Indust
Slide 11: Appendix
Appendix 11
Slide 12: Intelligent Network of Service Centers
Intelligent Network of Service Centers 178 Years 98 Locations 42,000 Customers 75,000 Products Focused on creating great customer experiences at Speed, Scale, & Consistency 12
Slide 13: Quarterly Financial Highlights
Quarterly Financial Highlights Tons Sold (000’s) Average Selling Price Per Ton 598 541 566 462 489 $1,847 $1,777 $1,785 $1,671 $1,700 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Gross Margin & Gross Margin, excl. LIFO Adjusted EBITDA, excl. LIFO Margin % Gross Mar
Slide 14: Non-GAAP Reconciliation: Adjusted EBITDA, excl. LIFO
Non-GAAP Reconciliation: Adjusted EBITDA, excl. LIFO ($M) Q3 '19 Q4 '19 Q1 '20 Q2 '20 Q3 '20 Tons Sold (000's) 598 541 566 462 489 Net Sales 1,104.4 961.5 1,010.3 771.8 831.5 Gross Profit 204.4 180.4 195.8 115.5 155.9 Gross Profit per Ton 342 333 346 250 319 Gross Margin 18.5% 18.8% 19.4% 15.0% 18.7
Slide 15: Non-GAAP Reconciliations: Expenses excl. D&A and One-Time Items and Net Debt
Non-GAAP Reconciliations: Expenses excl. D&A and One-Time Items and Net Debt (In millions) Q4 '18 Q3 '19 Q4 '19 Q2 '20 Q3 '20 Total debt $1,153 $1,039 $982 $904 $814 Less: cash and cash equivalents (23) (22) (11) (100) (122) Less: restricted cash from sales of property, - - (48) (11) - plant, and eq
Slide 16: Non-GAAP Reconciliation
Non-GAAP Reconciliation Note: 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, reorganization expenses, gain or loss on retirement of debt, loss on pension
Slide 17: Ryerson
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