Algoma Steel Group Inc. · NASDAQ:ASTL
Algoma Steel — Q3 FY2024 Earnings Presentation
16 slides from Algoma Steel's earnings presentation, Feb 7, 2024
Slide 1: Earnings Call Presentation
NASDAQ:ASTL Earnings Call Presentation TSX: ASTL For the Quarter ended December 31st, 2023 February 7th, 2024 in Canadian dollars unless otherwise noted
Slide 2: Disclaimer
Disclaimer CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS This presentation contains “forward-looking information” under applicable Canadian securities legislation and “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 (collectivel
Slide 3: Earnings Call Agenda
Earnings Call Agenda Safety Performance Today’s Presenters: Financial Performance Michael Garcia Chief Executive Officer Market Update Rajat Marwah Strategic Update Chief Financial Officer Questions & Answers 2
Slide 4: Safety Without Compromise
Safety Without Compromise Continued Focus and Improvement in Lost Time Injury Frequency Rate (LTIFR)1 Health & Safety Performance • Ongoing commitment to superior Health & Safety performance has 1.30 led to sustained improvement of safety metrics over time • Health & safety remains our highest prior
Slide 5: Key Performance Highlights
Key Performance Highlights Q3 FY2024 - Ended December 31st, 2023 • Shipping volume was 516K NT in Q3 FY2024, down 6% from 549K NT in Q2 FY2024 and up 13% from 458K NT in Q3 FY2023. • Steel Revenue was $557 million in Q3 FY2024, down 16% from $666 million in Q2 FY2024 and up 9% from $512 million in Q
Slide 6: Third Quarter Financial Highlights
Third Quarter Financial Highlights Q3 FY2024 Q3 FY2023 Change Q2 FY2024 Change Shipping volume (‘000s tons) 516 458 ↑ 13% 549 ↓ -6% Net Sales Realization per ton ($/ton) 1,079 1,116 ↓ -3% 1,213 ↓ -11% Steel Revenue($ million) 557 512 ↑ 9% 666 ↓ -16% Cost of Steel Products Sold ($/NT) 1,027 1,157 ↓ -
Slide 7: Overview of Net Working Capital Seasonality
Overview of Net Working Capital Seasonality Net Working Capital $M1 $ 573 $ 589 $ 588 $ 568 $ 641 $ 687 $ 762 $ 623 $ 633 $ 825 $ 926 $ 875 $ 815 $ 849 $ 897 $1,250 $1,050 $850 $823 $887 ($ millions) $650 $616 $486 $866 $912 $759 $450 $480 $638 $723 $470 $415 $250 $489 $490 $525 $409 $435 $389 $259
Slide 8: Construction Update - Rendering becoming Reality
Construction Update - New Facilities Rendering becoming Reality Project Statistics2: By the numbers2: Concrete Cumulative 22,033 cu/m Dust Hoods Fume Treatment Plant Foundations Spending $509M Structural steel 50% installed 95% complete 11,000 tons Remaining No.2 Baghouse SIF Loan $76M Utility Room#
Slide 9: Market Update
Market Update North American HRC price rebounding/ Plate pricing remains strong Historical Hot Rolled Coil (HRC) and As Rolled Plate Prices (ARP) (US$/ton) Key Market Drivers $2,200 • Index HRC increased approx. 66% over Q3 after the CRU Index HRC / ARP big 3 automakers all finalized their respectiv
Slide 10: Committed to our Path Forward, Creating a Track Record of Success
Committed to our Path Forward, Creating a Track Record of Success Strategic Direction Operational & Capital Ladle Met Furnace EAF Approval PMM Phase 1 LSP Power Plant EAF Project PMM Phase 2 PMM Phase 2 Improvements #2 Received board Enhancing quality and Installation of new Construction Commissioni
Slide 11: Appendices
Appendices ALGOMA — STEEL INC. — 10
Slide 12: Recent Updates
Recent Updates For more updates follow our social channels on: @AlgomaSteelInc Algoma Steel Inc 11
Slide 13: Annex: Steel Revenue and Cost of Sales
Annex: Steel Revenue and Cost of Sales Source: Company Q3 FY2024 Management's Discussion and Analysis 12
Slide 14: Annex: Adjusted EBITDA Reconciliation
Annex: Adjusted EBITDA Reconciliation Source: Company Q3 FY2024 Management's Discussion and Analysis 13
Slide 15: Annex: Selected Quarterly Information
Annex: Selected Quarterly Information (millions of dollars, except where otherwise noted) 2024 2023 2022 As at and for the three months ended1 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Financial results Total revenue C$ 615.4 C$ 732.6 C$ 827.2 C$ 677.4 C$ 567.8 C$ 599.2 C$ 934.1 C$ 941.8 C$ 1,064.9 Steel products
Slide 16: NASDAQ:ASTL TSX: ASTL
NASDAQ:ASTL TSX: ASTL 57