Commercial Metals misses Q3 revenue estimates

Commercial Metals

23/06/2025 11:55

Overview

Commercial Metals misses analyst expectations for Q3 fiscal revenue , per LSEG data

Adjusted EPS for fiscal Q3 misses consensus

Company repurchased 1.1 mln shares valued at $50.4 mln

Outlook

Commercial Metals expects Q4 financial results to improve sequentially.

Company anticipates higher steel product margins over scrap in Q4.

Europe Steel Group to receive $28 mln CO2 credit in Q4.

Emerging Businesses Group financial results expected to improve year-over-year.

Result Drivers

STEEL PRODUCT MARGINS - North American steel product margins increased, exiting the quarter above average, per CEO Peter Matt

EMERGING BUSINESS PROFITABILITY - Profitability improved sequentially and year-over-year, driven by demand for proprietary products

TAG PROGRAM - Exceeding targeted EBITDA benefits, contributing to financial results

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$2 bln
$2.04 bln (8 Analysts)
Q3 Adjusted EPS
Miss
$0.74
$0.85 (9 Analysts)
Q3 EPS
$0.73
Q3 Adjusted Net Income
Miss
$84.40 mln
$92 mln (3 Analysts)
Q3 Net Income
$83.10 mln
Q3 Adjusted EBITDA
Miss
$204.10 mln
$218.50 mln (8 Analysts)
Q3 Core EBITDA Margin
10.1%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 8 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the iron & steel peer group is "buy"

Wall Street's median 12-month price target for Commercial Metals Co is $52.50, about 7.3% above its last closing price of $48.68

The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 13 three months ago

Press Release: ID:nPn2Hv1wCa

(This story was created using Reuters automation and AI capabilities based on LSEG and company data. The headline and summary were reviewed by a Reuters journalist prior to publication.)