May 13, 2015
Olympic Achieves Profitable Quarter
Olympic Steel, Inc., Cleveland, reported first-quarter net income of $1.1 million, a decline from the $2.8 million reported in the same quarter last year. However, the profitable quarter was a turnaround from the $19.1 million loss posted in the prior quarter.
Net sales of $345.9 million were flat with the first quarter of 2014, but an improvement of 5.9 percent compared to the fourth quarter of 2014.
"Our strategy has been to diversify products and geographies in order to generate profitable growth regardless of the industry cycle," said Chairman and CEO Michael D. Siegal. "We responded quickly to sharp declines in metal pricing by implementing a multi-pronged profit improvement program early in 2015. As a result, operating expenses were reduced by $2.6 million in the quarter, and we further strengthened our balance sheet by reducing inventory and debt."
"We believe that by carefully managing working capital and controlling operating costs, we can successfully manage a low-price environment while maintaining our long-term growth agenda," Siegal added.