Dec. 23, 2015

Worthington Profitable Despite Weaker Sales

Worthington Industries, Inc., Columbus, Ohio, reported net earnings of $23.2 million in its fiscal second quarter, down from $31.4 million in the prior quarter and $29.5 million in the same quarter a year ago. For the first half, Worthington’s net earnings of $54.7 million were 25.7 percent behind the previous fiscal year.

Worthington’s net sales in the quarter totaled $699.8 million, 7.7 percent below the first quarter and 19.7 percent below the second quarter last year. For the year to date, the company’s net sales of $1.46 billion were down 15.9 percent. Worthington executives attribute the sales decrease to lower volumes in nearly all business segments, combined with lower average selling prices driven by the market decline in steel prices.

"We had a solid performance for the quarter in the face of some market weakness," said John McConnell, chairman and CEO. "We have responded to the softer markets by lowering manufacturing costs to help improve results in those businesses."

Worthington’s Steel Processing unit reported net sales of $467.8 million, down 15 percent from the comparable prior-year quarter. Additional sales from the January 2015 Rome Strip Steel acquisition were more than offset by lower volume and lower average selling prices. Direct volume in the company’s steel business was down 1 percent, while toll volume was down 18 percent.

In the company’s Mexican operations, Worthington’s Serviacero facility reported record quarterly shipments serving the rapidly growing Mexican automotive market. To accommodate the growth, Worthington is expanding its Queretaro and Monterrey facilities, adding space and slitting capacity.

In its other business units, Worthington reported net sales of $201.2 million in Pressure Cylinders, down 20 percent, and sales of $22.8 million in its Engineered Cabs division, a 44 percent decline.
 

September 2017: Numbers Don’t Add Up for Service Centers
More...
 
Pause
September 2017: Lichtenstein: Five Steel Truths that Demand Attention
More...
Fall 2016: Cutting & Sawing Equipment
More...
Summer 2017
More...
 
Pause
Advanced Controls on Braner Slitters
More...
AHVS Precision Leveler Features Flip-Top Design
More...
Formtek’s Tishken Slitter Increases Production Volume
More...
Red Bud System Handles High-Strength Steels
More...
Bradbury Launches Flat Trak CL Monitoring System
More...
Artus Knives Custom Designed
More...
 
Pause
Privacy Statement  |  Terms Of Use
Copyright by Metal Center News



Friday, October 20, 2017