Ryerson Holding Corporation · NYSE:RYZ

Ryerson — Q4 2019 Earnings Presentation

18 slides from Ryerson's earnings presentation, 2020

  1. Slide 1: Ryerson Quarterly Release Presentation Q4 2019

    Ryerson Quarterly Release Presentation Q4 2019 1

  2. 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”) and no investment decision should be made based upon the information provided herein. Ryerson

  3. Slide 3: 2019 Key Financial Metrics

    2019 Key Financial Metrics Higher adjusted earnings per share and strong free cash flow generation Cash from Gross Margin, Diluted Adjusted Adj. EBITDA, excl. Net Sales Operating excl. LIFO Earnings per Share LIFO Activities Fourth Quarter $1.0B 18.1% $0.30 $47M $63M -17% vs. Q4’18 +80 bps vs. Q4’18

  4. Slide 4: Fourth Quarter 2019 vs. Fourth Quarter 2018 Financial Performance

    Fourth Quarter 2019 vs. Fourth Quarter 2018 Financial Performance Adj. EBITDA, excl. LIFO $47M in Adj. EBITDA, excl. LIFO is a decrease year- over-year of $4M due to recessed volume and declining average selling prices driven by falling, commodity prices and stressed industrial conditions. These hea

  5. Slide 5: 2019 vs. 2018 Financial Performance

    2019 vs. 2018 Financial Performance Adj. EBITDA, excl. LIFO $190M of Adj. EBITDA, excl. LIFO generated in 2019 was lower year over year by $118M compared to 2018 on acute margin compression amidst early stage turnaround efforts at CS&W. Same-store expense reductions more than offset macro driven dec

  6. Slide 6: Central Steel & Wire Integration Performance Update

    Central Steel & Wire Integration Performance Update Leveraging synergies, streamlining processes while supporting commercial and cultural transformation Strategic Objectives & Targets CS&W Expenses excl. D&A and Integrate CS&W long & tube products, leverage expanded supply One-Time Items ($M) chain,

  7. Slide 7: Next Phase Financial Targets: 2019 Performance

    Next Phase Financial Targets: 2019 Performance $190M 5.4% 16.9% 4.9x Gross Margins, excl. Net Leverage, LTM Adj. EBITDA, U.S. Market Share Net Debt / LTM Adj. excl. LIFO LIFO EBITDA, excl. LIFO Target: $350M to $400M Target: 6.0% Target: 20.0% Target: 2.0x Targets are based on a 3-year window; Servi

  8. Slide 8: Improved Book Value of Equity

    Improved Book Value of Equity Continued to build upon a significant equity turnaround in 2019 Book Value of Equity ($M) 8 8

  9. Slide 9: Strong Liquidity to Fund Operations and Investments

    Strong Liquidity to Fund Operations and Investments Ryerson has significant liquidity to fund operations and pursue strategic investments ($M) 9 9

  10. Slide 10: End-Market Performance

    End-Market Performance 2019 Tons Shipped and Sales Mix by End Market 2019 vs. 2018 2019 Commentary & Volume Growth Sales Mix Q1 2020 Outlook Metal Fab and Machine Shop 23% Fourth quarter year-over-year volume growth was strongest in Industrial Equipment 18% food and agricultural equipment, HVAC, and

  11. Slide 11: Appendix

    Appendix 11

  12. Slide 12: Non-GAAP Reconciliation

    Non-GAAP Reconciliation EBITDA represents net income before interest and other expense on debt, provision (benefit) for income taxes, depreciation, and amortization. Adjusted EBITDA gives further effect to, among other things, gain on the sale of assets, impairment charges on assets, reorganization

  13. Slide 13: Quarterly Financial Highlights

    Quarterly Financial Highlights Tons Sold (000’s) Average Selling Price Per Ton 577 619 623 598 541 $2,010 $1,988 $1,934 $1,847 $1,777 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Gross Margin & Gross Margin, excl. LIFO Adjusted EBITDA, excl. LIFO Margin % Gross Mar

  14. Slide 14: Annual Financial Highlights

    Annual Financial Highlights Tons Sold (000’s) Average Selling Price Per Ton 2,024 1,897 1,903 2,000 2,268 2,381 $1,790 $1,670 $1,503 $1,682 $1,944 $1,891 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 Gross Margin & Gross Margin, excl. LIFO Adjusted EBITDA, excl. LIFO Margin % Gross Mar

  15. Slide 15: Non-GAAP Reconciliation: Adjusted EBITDA, excl. LIFO

    Non-GAAP Reconciliation: Adjusted EBITDA, excl. LIFO ($M) Q4 '18 Q1 '19 Q2 '19 Q3 '19 Q4 '19 Tons Sold (000's) 577 619 623 598 541 Net Sales 1,160.0 1,230.8 1,204.9 1,104.4 961.5 Gross Profit 199.7 231.3 211.8 204.4 180.4 Gross Profit per Ton 346 374 340 342 333 Gross Margin 17.2% 18.8% 17.6% 18.5%

  16. Slide 16: Non-GAAP Reconciliation: Annual

    Non-GAAP Reconciliation: Annual ($M) 2014 2015 2016 2017 2018 2019 Tons Sold (000's) 2,024 1,897 1,903 2,000 2,268 2,381 Net Sales 3,622.2 3,167.2 2,859.7 3,364.7 4,408.4 4,501.6 Gross Profit 593.8 567.7 570.6 582.5 758.1 827.9 Gross Profit per Ton 293 299 300 291 334 348 Gross Margin 16.4% 17.9% 20

  17. Slide 17: Non-GAAP Reconciliation: Adjusted Net Income

    Non-GAAP Reconciliation: Adjusted Net Income (Dollars and shares in millions, except per share data) Q4 '19 Q4 '18 Q3 '19 2019 2018 Net income attributable to Ryerson Holding Corporation $26.4 $0.6 $10.1 $82.4 $106.0 Gain on bargain purchase - 3.2 - - (70.0) Gain on sale of assets (20.6) - - (20.6)

  18. Slide 18: Ryerson

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