Worthington's Sales Down in Third Quarter
By
Metal Center News Staff on
Mar 21, 2025
Worthington Steel Inc. reported sales of $687.4 million in its fiscal third quarter, a decline of 15 percent compared with the same period the prior year. Net earnings totaled $13.8 million, down from $49 million in the prior-year quarter.
The sales decline was driven primarily by lower volume and lower direct selling prices. Direct tons sold decreased 7 percent and toll tons sold decreased 15 percent in the third quarter of fiscal 2025 compared. Direct selling prices decreased 8 percent and toll tons selling prices decreased 7 percent.
“As expected, the headwinds from the second quarter continued into our third quarter of fiscal 2025 as customers managed uncertainty. During the last month of the quarter, we saw signs of fundamental demand improvements,” said Geoff Gilmore, president and CEO.
Shipments to the company's auto customers were down 3 percent in the third quarter. Worthington expects similar build rates on the auto side in 2025.
Construction, looks to be fairly flat in the first half of the year and build momentum in the second half. The agriculture segment appears to be held back by interest rates, commodity prices and tariffs, all of which will delay farmers' decisions to purchase new equipment.
"Due to the amount of uncertainty in many markets, we are cautiously optimistic about the near term. However, we think clarity will improve as the year moves forward and we are more optimistic about the second half of 2025," Gilmore said.