Slide 1: Ryerson Quarterly Release Presentation Q2 2020
Ryerson Quarterly Release Presentation Q2 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: Q2 2020 Key Financial Metrics
Q2 2020 Key Financial Metrics Significant operating cash flow generation leading to lowest net debt level in ten years, liquidity & recovery capacity intact, Senior Secured Notes refinanced at a lower coupon with 8-year tenor & improved covenants Cash from Gross Margin, Diluted Adjusted Adj. EBITDA,
Slide 4: Q2 2020 vs. Q1 2020 Financial Performance
Q2 2020 vs. Q1 2020 Financial Performance Adj. EBITDA, excl. LIFO $21M in Adj. EBITDA, excl. LIFO is a decrease quarter-over-quarter of $14M driven by decreased volume and pricing reflective of COVID-19 induced demand shocks. These decreases were partially offset by expense 18.4% decrease reductions
Slide 5: COVID-19 Response: Dual Mandate
COVID-19 Response: Dual Mandate Continuing to operate as an essential business adhering to our comprehensive COVID-19 response focused on the health and safety of employees as well as liquidity and recovery capacity Health & Safety Liquidity & Recovery Capacity •COVID-19 Task Force commissioned and
Slide 6: Strong Liquidity to Fund Operations and Investments
Strong Liquidity to Fund Operations and Investments Ryerson has ample liquidity to fund operations throughout the COVID-19 crisis ($M) • Liquidity decreased quarter-over-quarter due to a lower borrowing base from reduced inventories and receivables. • We had drawn upon on our credit facility in Marc
Slide 7: Successful Refinance: Achievements Illuminated & Optionality Secured
Successful Refinance: Achievements Illuminated & Optionality Secured Ryerson has driven down net debt and fixed cash commitments as part of its transformation strategy and has now secured a lower coupon and terms that grant optionality for further optimization Net Debt ($M) Reduced Interest 2012 20
Slide 8: Best in Class Free Cash Flow Yield
Best in Class Free Cash Flow Yield Free cash flow yield over the past 22 quarters well above publicly traded peer group and compares favorably with most companies over that time period Annualized average figures 2015 - 2019 2015 - Q2 2020 Free cash flow $94M $133M Market capitalization $330M $319M F
Slide 9: End-Market Outlook
End-Market Outlook Second quarter volume trajectory and sales mix by end-market End-Market 2019 Activity Commentary Sales Mix Metal Fab and Machine Shop 23% After the April demand cliff-dive and significant customer Industrial Equipment 18% closures, customer activity began to improve incrementally
Slide 10: Appendix
Appendix 10
Slide 11: 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 11
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, gain on insurance settlements, reorganization
Slide 13: Quarterly Financial Highlights
Quarterly Financial Highlights Tons Sold (000’s) Average Selling Price Per Ton 623 598 541 566 462 $1,934 $1,847 $1,777 $1,785 $1,671 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Gross Margin & Gross Margin, excl. LIFO Adjusted EBITDA, excl. LIFO Margin % Gross Mar
Slide 14: Non-GAAP Reconciliation: Adjusted EBITDA, excl. LIFO
Non-GAAP Reconciliation: Adjusted EBITDA, excl. LIFO ($M) Q1 '19 Q2 '19 Q3 '19 Q4 '19 Q1 '20 Q2 '20 Tons Sold (000's) 619 623 598 541 566 462 Net Sales 1,230.8 1,204.9 1,104.4 961.5 1,010.3 771.8 Gross Profit 231.3 211.8 204.4 180.4 195.8 115.5 Gross Profit per Ton 374 340 342 333 346 250 Gross Marg
Slide 15: Non-GAAP Reconciliations: Adjusted Net Income (Loss) & Net Debt
Non-GAAP Reconciliations: Adjusted Net Income (Loss) & Net Debt (Dollars and shares in millions, except per share data) Q2 '20 Q1 '20 Q2 '19 Net income (loss) attributable to Ryerson Holding Corporation ($25.6) $16.4 $16.4 Restructuring and other charges 2.0 - 1.1 (Gain) loss on retirement of debt (
Slide 16: Ryerson
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