TimkenSteel (TMST) Tops Q4 EPS by 10c

TimkenSteel (NYSE: TMST) reported Q4 EPS of ($0.58), $0.10 better than the analyst estimate of ($0.68). Revenue for the quarter came in at $206.6 million versus the consensus estimate of $211.02 million.

OUTLOOK

First-Quarter 2016 Revenue

• Shipments approximately 5 percent higher than fourth-quarter 2015.
  • Automotive demand remains strong with shipments slightly higher sequentially.
  • Industrial end markets continue to be weak due to impact from low oil prices and global commodity markets.
• Oil and gas markets sequentially weaker due to low rig activity and decrease in energy exploration and production spend.
• Higher sequential demand in distribution channel due to tapering of inventory destocking in industrial end markets.

First-Quarter 2016 EBITDA

• EBITDA between a loss of $10 million and a loss of $20 million.
• Pricing pressure from imports and weak market dynamics.
• Improved sequential performance in manufacturing due to higher melt utilization of approximately 45 percent and continued benefits from cost reductions.
• Favorable raw material spread compared with fourth-quarter 2015 due to stabilizing scrap markets.

Other Guidance

• 2016 capital spending to be $45 million.
• Will fund 2016 other post-employment benefit (OPEB) expenses primarily from VEBA trust rather than operating cash flow.

For earnings history and earnings-related data on TimkenSteel (TMST) click here.

You May Also Be Interested In

• Tesla plans 'flying' Roadster stunt at SpaceX Texas site as early as August
• Star Equity Holdings (STRR) Misses Q2 EPS by 8c
• Tvardi Therapeutics (TVRD) Tops Q2 EPS by 1c