Metallus Q2 sales beat estimates on shipment growth
Metallus Q2 sales beat estimates on shipment growth
Overview
U.S. specialty metals maker's Q2 sales rose 12% yr/yr, beating analyst expectations
Adjusted EBITDA for Q2 increased 9% yr/yr, driven by higher shipments and improved pricing
Company repurchased $3.6 mln in shares during Q2
Outlook
Metallus expects Q3 adj EBITDA to be slightly higher than Q2 2026 and Q3 2025
Company sees Q3 shipments similar to Q2, with price and mix slightly better
Metallus maintains 2026 capital expenditures at about $70 mln
Result Drivers
SHIPMENT GROWTH - Higher shipments across most end-markets, especially automotive and aerospace & defense, drove sales increases
PRICING AND PRODUCT MIX - Increased raw material surcharge revenue, higher base sales prices, and improved product mix contributed to higher net sales
OPERATIONAL COSTS - Manufacturing cost performance declined sequentially due to lower than expected fixed-cost absorption and higher maintenance costs
Company press release: ID:nPn5pZSgca
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Sales | Beat | $341 mln | $330.13 mln (3 Analysts) |
Q2 EPS |
| $0.21 |
|
Q2 Net Income |
| $8.9 mln |
|
Q2 Pretax Profit |
| $11.9 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "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 Metallus Inc is $22.50, about 11.8% above its July 31 closing price of $20.12
The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 17 three months ago
Reuters Recommended Reads
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)