Ryerson Holding Corporation · NYSE:RYZ
Ryerson — Q4 2021 Earnings Presentation
21 slides from Ryerson's earnings presentation, Feb 24, 2022
Slide 1: Ryerson Quarterly Release Presentation Q4 2021
Ryerson Quarterly Release Presentation Q4 2021 Exhibit 99.2
Slide 2: Important Information About Ryerson Holding Corporation
31 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 pr
Slide 3: Q4 2021 and FY 2021 Highlights
Q4 2021 and FY 2021 Highlights 1 Net Income attributable to Ryerson Holding Corporation Full-year record net income1 of $294.3M and record Adj. EBITDA, excluding LIFO of $860.6M Achieved fourth quarter diluted EPS of $2.71 and full-year 2021 diluted EPS of $7.56 Fourth quarter net income1 of $106.4M
Slide 4: Macro & Commodities
Macro & Commodities Carbon steel declined, bright metals remain elevated while demand indicators show ongoing strength Sources: Bloomberg: prices through Jan 31, 2022; Federal Reserve, Industrial Production Index monthly year-over-year change; Bloomberg, U.S. Manufacturing PMI Commodity Prices Since
Slide 5: Sequential Q4 2021 End-Market Trends
Sequential Q4 2021 End-Market Trends North American per day volumes decreased in most end-markets quarter-over-quarter excluding HVAC and oil & gas *Excludes Other Industry Sectors which represent approximately 4% of Ryerson sales mix **Sales product mix based on 2021 results as disclosed in Ryerson
Slide 6: Q1 2022 Guidance
Q1 2022 Guidance Ryerson anticipates a solid start to 2022 with increased end-market demand Net Sales Net Income1 Adj. EBITDA, excl. LIFO $1.55-1.65B $148-154M $195-205M First quarter revenue guidance of $1.55B to $1.65B assumes sequential average selling price decline of 2% to 4% with shipments up
Slide 7: Q4 2021 Selected Financial & Operating Metrics Update
Q4 2021 Selected Financial & Operating Metrics Update See Ryerson’s 8-K filed on February 23, 2022. 2Free Cash Flow Yield is calculated based on quarterly cash flow divided by quarterly average market capitalization Q4 2021 Investment 2022 Projection $34M $100M Capital Investment Expenses Expenses /
Slide 8: Capital Allocation Plan Update
During the quarter, Ryerson distributed its second quarterly cash dividend to shareholders and completed ~$1M in share repurchases. On February 17, 2022 the Board of Directors approved a second dividend increase, raising the Company’s first quarter dividend to $0.10 per share. $0.085 per Share Retur
Slide 9: Q4 2021 Key Financial Metrics
1 Net Income attributable to Ryerson Holding Corporation; A reconciliation of non-GAAP financial measures to the comparable GAAP measure is included in the Appendix. See Ryerson’s 8-K filed on February 23, 2021. Q4 2021 Key Financial Metrics Record fourth quarter results driven by excellent executio
Slide 10: 2021 Key Financial Metrics
1 Net Income attributable to Ryerson Holding Corporation A reconciliation of non-GAAP financial measures to the comparable GAAP measure is included in the Appendix. See Ryerson’s 8-K filed on February 23, 2021. 2021 Key Financial Metrics Record annual results driven by excellent execution and debt r
Slide 11: Ryerson has driven down net debt and fixed cash commitments
Ryerson has driven down net debt and fixed cash commitments as part of its financial transformation strategy, significantly reducing annual interest payments 2012 Refinance 2016 Refinance 2020 Refinance 2021 Principal Amount $900M $650M $500M $300M Coupon 9.75% 11.00% 8.50% 8.50% Annu
Slide 12: Intelligent Network of Industrial Metals Service Centers
Intelligent Network of Industrial Metals Service Centers Say “yes” culture ~100 company-operated locations Hundreds of “virtual” locations Dedicated logistics network Availability, speed, ease, consistency Advanced value-add Diversified (metals mix, 40k customers, 75k products) 24/7 e-commerce platf
Slide 13: Appendix
Appendix
Slide 14: Strong Liquidity to Fund Operations and Investments
Ryerson’s North American availability remains strong Ryerson’s global liquidity increased during the period from $698M as of September 30, 2021 to $741M as of December 31, 2021. Strong Liquidity to Fund Operations and Investments *Restricted Cash refers to restricted cash from sales of property, pla
Slide 15: Quarterly Financial Highlights
Tons Sold (000’s) Quarterly Financial Highlights 1 Net Income attributable to Ryerson Holding Corporation A reconciliation of non-GAAP financial measures to the comparable GAAP measure is included in this Appendix. Average Selling Price Per Ton Gross Margin & Gross Margin, excl. LIFO Adj EBITDA, exc
Slide 16: Ryerson EV/EBITDA Multiple Re-Rating Still Lagging Results
Ryerson EV/EBITDA Multiple Re-Rating Still Lagging Results, Performance and Intrinsic Value *Avg. Competitor includes Klockner, Olympic, Reliance and Russel. 2021 includes Q4 data for those who have reported (Russel), and Q3 TTM data for the rest. 2021 includes $12M of deferred pension contributions
Slide 17: Non-GAAP Reconciliation: Adjusted EBITDA, excl. LIFO
Non-GAAP Reconciliation: Adjusted EBITDA, excl. LIFO
Slide 18: Adjusted Net Income Reconciliation
Adjusted Net Income Reconciliation 2021 net income includes a gain on sale of assets related to the sale-leaseback transaction completed in the second quarter, a loss on retirement of debt related to our 2028 Senior Secured Notes partial redemption and a pension settlement charge related to our part
Slide 19: 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
Slide 20: EBITDA and Adjusted EBITDA definitions
31 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 on sale of assets, gain or loss on retirement of debt, loss on pensi
Slide 21: Ryerson
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