Ryerson Inc. (NYSE: RYI) reported Q3 EPS of $0.31, $0.45 better than the analyst estimate of ($0.14). Revenue for the quarter came in at $831.5 million versus the consensus estimate of $827.37 million.

Q3 2020 Highlights:

• Successfully executing upon our dual mandate pandemic response plan to safeguard the health and safety of our employees and to preserve the liquidity and recovery capacity of the Company.
• Revenues increased 8 percent sequentially while operating expenses increased 1 percent sequentially.
• Inventory turns improved by 17.4 days, or 20 percent sequentially, and by 8.7 days or by 11 percent year-over-year.
• Generated $121 million in cash flow from operations, up from $103 million in the second quarter, bringing year-to-date cash flows from operations to $297 million.
• Reduced net debt by over $100 million to $692 million as of September 30th, again achieving our lowest net debt level in over 10 years.
• Announced the redemption of $50 million of our Senior Secured Notes due 2028, the first exercise of one of our optional redemption terms secured during the refinancing of our 2022 Notes in July.
• Further reduced our pension exposure through the annuitization of nearly $100 million of pension liabilities, which is expected to yield approximately $8 million in economic savings on a net present value basis.
• Achieved Adjusted EBITDA, excluding LIFO of $31 million, an increase of $11 million compared to the second quarter on higher volumes, improved pricing, and effective expense management.
• Generated loss per diluted share of $1.05, but achieved adjusted earnings per diluted share of $0.31 excluding one-time non-recurring and non-operating items.

Management Commentary

Eddie Lehner, Ryerson's President and Chief Executive Officer, said, "I want to thank my Ryerson teammates, our customers, our suppliers and all essential workers as we continue to cohere and persevere together through the ongoing COVID-19 pandemic despite the omnipresent challenges and uncertainties in our communities and throughout the world during this public health crisis and resultant adverse economic impacts. Let me take a moment to recognize and summarize what Ryerson accomplished during the third quarter against tough odds in furthering our advancement as an organization. First and foremost, we looked after the safety, health, and well-being of our employees, customers, suppliers, and communities. We continued our work in pursuit of greater opportunity and social justice with care, commitment, and shared purpose. And, we notably improved our overall financial condition through a series of important accomplishments. We refinanced our long-term debt and triggered our first optional redemption feature decreasing annual cash interest expense by approximately $20 million. We took a significant step in further reducing legacy liability risk through an approximately $100 million pension obligation annuitization. We ended the quarter with our lowest net debt in more than ten years and highest liquidity levels of the year characterized by outstanding working capital and expense management. Central Steel & Wire Company, LLC, or CS&W, completed an arduous, but necessary ERP-system conversion during the last two months of the quarter whose impacts, while transitory, were not without effect. That said, CS&W took a major stride toward realizing its future potential. Most of all, I can't say enough about our people and our culture through this period. There is a resiliency and undiminished enthusiasm in this organization to provide great customer experiences while looking out for one another and our communities in a manner reflective of the three immutable virtues of safety, health, and goodwill. This was an essential quarter of continued shared sacrifice performed brilliantly by essential people, thank you."

For earnings history and earnings-related data on Ryerson Inc. (RYI) click here.