MRC Global Inc. (MRC) is benefiting from strength in the DIET sector despite the high cost of sales (due to raw material cost inflation) and operating expenses. What's Aiding MRC Business Strength: MRC Global's extensive presence across several end markets, including upstream production, midstream pipelines, gas utilities, downstream, industrial and energy transition, enables it to tap opportunities and neutralize operating risks associated with a single market. The company has been witnessing strength in t ...

HOUSTON, May 21, 2024 (GLOBE NEWSWIRE) -- MRC Global Inc. (NYSE: MRC), the leading global distributor of pipe, valves, fittings and infrastructure products and services to diversified energy, industrial and gas utilities end-markets, has published its 2024 Sustainability Report on www.mrcglobal.com. The 2024 Sustainability Report describes MRC Global's strategic efforts to: "We continue to demonstrate our commitment to operating a sustainable, ethical, and efficient business to the benefit of our customers ...

Core Insights - MRC Global Inc. has published its 2024 Sustainability Report, emphasizing its commitment to sustainable and ethical business practices [1][2] - The report highlights significant advancements in reducing environmental impact and improving supply chain operations [1] Company Overview - MRC Global is a leading global distributor of pipe, valves, fittings, and infrastructure products, serving diversified end-markets including gas utilities and energy transition sectors [3] - The company operates over 214 locations worldwide and offers more than 300,000 SKUs from over 8,500 suppliers [3] Sustainability Efforts - The company achieved a 28% reduction in Scope 1 and 2 emissions compared to 2022 [5] - MRC Global is actively involved in several global Energy Transition projects [5] - The company conducted its first baseline water risk assessment [5] - There was an 11.5% improvement in the total recordable incident rate over 2022, outperforming peer group averages [5] - MRC Global has advanced its supplier diversity efforts with a dedicated leader in place [5] - The company disclosed its alignment with the Global Reporting Index (GRI) and Sustainable Accounting Standards Board (SASB) [5]

HOUSTON, May 15, 2024 (GLOBE NEWSWIRE) -- MRC Global Inc. (NYSE:MRC), (the "Company"), the leading global distributor of pipe, valves, fittings and infrastructure products and services to diversified energy, industrial and gas utilities end-markets, today announced the Company's issuer credit rating has been upgraded to "B" from "B–" by S&P Global Ratings ("S&P"). S&P based its ratings upgrade in part due to the Company's ability to address its upcoming Term Loan B maturity with cash on hand, expected stron ...

Have you looked into how MRC Global (MRC) performed internationally during the quarter ending March 2024? Considering the widespread global presence of this energy products distributor, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.In the current global economy, which is more interconnected than ever, a company's success in penetrating international markets is crucial for its financial health and growth journey. Investors must und ...

Financial Data and Key Metrics Changes - The company generated $38 million in operating cash flow in Q1 2024, indicating a strong start to the year, with expectations to meet or exceed the full-year guidance of $200 million [5][31] - First quarter revenue was $806 million, a 5% sequential increase but a 9% decline compared to the same quarter last year [57][48] - Adjusted EBITDA for Q1 was $57 million, representing 7.1% of sales, an 80 basis point increase from the previous quarter [30][48] - The leverage ratio improved to 0.6x, the lowest in the company's history, with plans to repay the Term Loan B in the current quarter [63][67] Business Line Data and Key Metrics Changes - The PTI sector revenue for Q1 was $264 million, a 3% increase driven by valve and polyethylene pipe sales [27][57] - The DIET sector revenue increased by 7% to $276 million, supported by mining-related sales and refinery project activities [58][57] - Gas Utilities sales were $266 million, a 5% increase due to increased product sales for upcoming projects [57][15] Market Data and Key Metrics Changes - International revenues grew 7% year-over-year and 3% sequentially, with a backlog 38% higher than a year ago [16][28] - U.S. revenue was $667 million, a 5% increase, with all sectors showing improvement [59][57] - Canada revenue was $29 million, up 1 million, with increases in the DIET sector offsetting declines in the PTI sector [60] Company Strategy and Development Direction - The company is focused on enhancing customer service and revenue growth through initiatives like a digital quoting tool leveraging AI [17] - The North America ERP project is expected to improve business processes and operational efficiency [8] - The company aims to maintain a minimum 7% adjusted EBITDA margin while optimizing SG&A costs [22] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the recovery in the Gas Utilities sector, indicating that destocking efforts are stabilizing [9][68] - The company anticipates a transitional year in 2024, with expectations for increased spending in 2025 [26][20] - Management highlighted the potential for double-digit revenue growth in the international segment, particularly in the PTI and DIET sectors [28][85] Other Important Information - The company expects capital expenditures in the range of $40 million to $45 million for 2024, primarily due to ERP implementation [65][93] - The effective tax rate for 2024 is expected to be between 26% and 28% [34] Q&A Session Summary Question: Update on Gas Utilities recovery cycle - Management noted that while some customers are still destocking, the general trend is positive, indicating a return to normal purchasing patterns [68][69] Question: ERP implementation scope and CapEx - The total budget for the ERP project is approximately $50 million, with about 60% expected to be spent this year [93] Question: Guidance conservatism - Management stated that while the first quarter was strong, they are hesitant to change guidance based on one quarter's performance [82] Question: International segment performance - Management confirmed expectations for double-digit growth in the international segment, particularly in PTI and DIET [85][86] Question: Future cash generation expectations - Management confirmed that cash generation is typically stronger in the second half of the year, with Q1 performing better than expected [78][101]

MRC Global Inc. (MRC) reported first-quarter 2024 adjusted earnings of 20 cents per share, which beat the Zacks Consensus Estimate of 11 cents. However, the bottom line declined 37.5% year over year.Total revenues of $806 million surpassed the consensus estimate of $752 million. Yet, the top line decreased 8.9% year over year due to lower volume of sales in the Gas Utilities and Production & Transmission Infrastructure (PTI) sectors.Revenues by Product LineBased on MRC’s product line, revenues from carbon p ...

Revenue Performance - Revenue for the first three months of 2024 increased by 5% sequentially from the previous quarter but decreased by 9% compared to the same period in 2023[73]. - Gas Utilities sector contributed 33% of total revenue in Q1 2024, with a 13% decline in revenue year-over-year[74]. - DIET sector generated 34% of total revenue, experiencing a 1% decline from Q1 2023, but is expected to grow due to energy transition projects[78]. - PTI sector represented 33% of company revenues in Q1 2024, with a 12% decrease from the same quarter in 2023[80]. - 67% of total revenue in Q1 2024 was derived from Gas Utilities and DIET sectors[73]. - Sales for the three months ended March 31, 2024, were $806 million, a decrease of $79 million, or 9%, compared to $885 million for the same period in 2023[97]. - U.S. sales decreased to $667 million, down $73 million, or 10%, primarily due to a decline in the Gas Utilities sector[98]. - International sales increased to $110 million, up $7 million, or 7%, driven by the PTI sector[100]. Profitability Metrics - Gross profit was $163 million, representing 20.2% of sales, compared to $179 million, also 20.2% of sales, for the same period in 2023[101]. - Adjusted Gross Profit decreased to $174 million, or 21.6% of sales, from $188 million, or 21.2% of sales, in the prior year[102]. - Operating income was $38 million, a decrease of $19 million, or 33%, compared to $57 million for the same period in 2023[105]. - Net income was $19 million, down from $34 million, representing a decrease of $15 million, or 44%[111]. - Adjusted EBITDA was $57 million, or 7.1% of sales, compared to $69 million, or 7.8% of sales, for the same period in 2023[111]. - Net income for Q1 2024 was $19 million, down from $34 million in Q1 2023, reflecting a decrease in profitability[114]. Operational Efficiency - The ongoing maintenance and upgrading of existing energy facilities is a critical driver for business stability across sectors[75]. - Average Rig Count in North America decreased to 831 from 981 year-over-year, indicating a decline in industry activity[94]. - Adjusted EBITDA for Q1 2024 was $38 million, compared to a net cash used of $30 million in Q1 2023, indicating improved operational efficiency[126]. Financial Position - Total liquidity as of March 31, 2024, was $791 million, consisting of $146 million in cash and $645 million in excess availability under the Global ABL Facility[121]. - The company plans to repay its Term Loan of $292 million in full during Q2 2024 using a combination of cash and asset-based lending[120]. - Net cash used in financing activities was $17 million in Q1 2024, a significant decrease from $40 million provided in Q1 2023, primarily due to net payments on revolving credit facilities[128]. - Capital expenditures for Q1 2024 totaled $6 million, mainly for the replacement of the North American enterprise resource planning system[127]. - As of March 31, 2024, the outstanding balance on the Term Loan was $292 million, with a required repayment of 50% of excess cash flow[117]. - The Global ABL Facility matures in September 2026 and has an accordion feature allowing an increase of up to $250 million[118]. - The company reported a net increase in cash and cash equivalents of $16 million for Q1 2024, compared to $7 million in Q1 2023[125]. Market Conditions - Brent crude oil averaged approximately $83 per barrel and WTI averaged approximately $78 per barrel in Q1 2024, impacting customer activity levels[80]. - The energy transition business is expected to grow significantly, driven by government incentives and commitments to net zero emissions from customers[79]. - The company serves approximately 10,000 customers through 214 service locations globally[70]. - The company offers over 300,000 SKUs from a global network of over 8,500 suppliers[70]. Credit Rating - The company’s credit rating was downgraded from B to B- by S&P Global Ratings on September 21, 2023, with a developing outlook[122].

Exhibit 99.1 MRC Global Announces First Quarter 2024 Results Houston, TX – May 8, 2024 – MRC Global Inc. (NYSE: MRC), the leading global distributor of pipe, valves, fittings and infrastructure products and services to diversified energy, industrial and gas utilities end- markets, today announced first quarter 2024 results. Net income attributable to common stockholders for the first quarter of 2024 was $13 million, or $0.15 per diluted share, as compared to the first quarter of 2023 net income attributable ...

Wall Street expects a year-over-year decline in earnings on lower revenues when MRC Global (MRC) reports results for the quarter ended March 2024. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on May 8. On the oth ...