HAMILTON — Stelco Holdings Inc. says it swung to a net income of $1 million in the second quarter compared with a loss of $11 million in the same quarter last year.
The steel producer says its adjusted net income worked out to $6 million, or seven cents per share, for the quarter ending June 30, compared with adjusted income of $165 million or $1.86 per share last year.
Analysts had expected adjusted net income of $21.5 million, or 21 cents per share, according to financial markets data firm Refinitiv.
The Hamilton-based company says revenue came in at $431 million for the quarter, down from the $711 million it took in during the same quarter last year, in part because its average selling price dropped 15 per cent and shipped steel volumes decreased 27 per cent.
Stelco says it faced a number of headwinds in the quarter including destocking, falling market prices and the 232 tariffs imposed by the U.S.
The company says conditions have since improved as the U.S. has dropped the metal tariffs on Canada and customer demand is stronger.
Companies in this story: (TSX:STLC)
The Canadian Press