Reliance Steel & Aluminum (NYSE:RS) today reported its financial results for the third quarter ended September 30, 2017.
Gregg Mollins, President and CEO of Reliance said:
“Continued strong execution by our managers in the field drove a third quarter gross profit margin of 28.0%, solidly within our target range of 27% to 29%. Demand in the quarter was stronger than we had anticipated, with our tons sold down only 1.2% from the second quarter of 2017 despite one less shipping day in the third quarter.
Although many of our businesses experienced the normal seasonal trend of lower shipping volumes compared to the second quarter, certain of our businesses servicing the energy and non-residential construction markets experienced an increase in tons sold. While uncertainty in the marketplace from the pending Section 232 investigation continues, the level of imports has been declining from the elevated levels reached in the second quarter.
This, combined with solid demand levels in the third quarter, supported stable to higher average prices with the exception of stainless steel products. This resulted in our average selling price remaining relatively flat compared to the second quarter of 2017.”