Core Insights - Ryerson Holding Corporation reported a net sales of $1.14 billion for Q1 2025, reflecting a 12.7% increase from Q4 2024, driven by strong transactional sales and market share gains [5][8] - The company experienced a net loss of $5.6 million, or $0.18 per diluted share, which is an improvement compared to a net loss of $7.6 million in Q1 2024 [8][27] - Adjusted EBITDA, excluding LIFO, was $32.8 million, showing a significant increase of 218.4% from Q4 2024 [8][25] Financial Highlights - Revenue for Q1 2025 was $1,135.7 million, down 8.4% year-over-year but up 12.7% quarter-over-quarter [3][5] - Tons shipped increased to 500,000, up 11.9% from the previous quarter and slightly up 0.6% year-over-year [3][8] - Average selling price per ton was $2,271, a 0.8% increase from Q4 2024 but down 8.9% year-over-year [3][8] Cost and Margin Analysis - Gross margin contracted to 18.0% in Q1 2025 from 19.0% in Q4 2024, primarily due to rising costs of goods sold [6][26] - Excluding LIFO, gross margin improved to 18.6%, up 220 basis points from the previous quarter [6][26] - Operating expenses increased by 7.2% to $202.1 million, driven by higher personnel-related expenses, but decreased by $14.7 million compared to the prior year [7][8] Debt and Liquidity - Total debt at the end of Q1 2025 was $497.3 million, with net debt at $463.7 million, reflecting a sequential increase [10][8] - Cash and cash equivalents rose to $33.6 million, a 21.3% increase from the previous quarter [10][8] - The company reported a cash conversion cycle of 66.5 days, indicating improved working capital management [10][8] Market Position and Outlook - Ryerson gained market share in the industry, with transactional sales increasing by 12% year-over-year [8][4] - The company anticipates Q2 2025 net sales to range between $1.15 billion and $1.19 billion, with average selling prices expected to rise by 3% to 4% [13][8] - Management emphasized ongoing improvements in operational productivity and capital investments aimed at long-term growth [4][5]

Quarterly business highlights include strong transactional sales, operational productivity, and working capital management, increase in market share, maintenance of expense controls, ramp up of capital improvements at our Shelbyville, KY non-ferrous processing center, and continued progress operationalizing capex investments and optimizing assets across our North America service center network. CHICAGO – April 30, 2025 – Ryerson Holding Corporation (NYSE: RYI), a leading value-added processor and distributo ...

[Part I. Financial Information](index=3&type=section&id=Part%20I.%20Financial%20Information) [Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements for Q1 2025 and 2024 Financial Performance | Financial Metric | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | Net sales | $1,135.7 million | $1,239.2 million | | Gross profit | $204.4 million | $217.6 million | | Operating profit | $2.3 million | $0.8 million | | Net loss attributable to Ryerson | $(5.6) million | $(7.6) million | | Diluted loss per share | $(0.18) | $(0.22) | Balance Sheet Overview | Balance Sheet Item | March 31, 2025 (Unaudited) | December 31, 2024 | | :--- | :--- | :--- | | Total current assets | $1,297.5 million | $1,207.6 million | | Total assets | $2,523.6 million | $2,439.5 million | | Total current liabilities | $647.2 million | $580.1 million | | Long-term debt | $497.0 million | $466.7 million | | Total liabilities | $1,710.3 million | $1,615.0 million | | Total equity | $813.3 million | $824.5 million | Cash Flow Summary | Cash Flow Activity | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | $(41.2) million | $(47.8) million | | Net cash used in investing activities | $(8.0) million | $(20.4) million | | Net cash provided by financing activities | $54.4 million | $56.2 million | | Net change in cash | $5.4 million | $(12.4) million | - Revenue is primarily derived from the distribution of metals, with **Carbon Steel (Flat, Plate, Long)** and **Stainless Steel (Flat, Plate, Long)** being the largest product lines by sales percentage. The majority of sales (approx. **90%**) originate from the United States[64](index=64&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=18&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q1 2025 performance, noting decreased net sales, improved operating profit, and strong liquidity Key Performance Metrics | Performance Metric | Q1 2025 | Q1 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Net Sales | $1,135.7 M | $1,239.2 M | -8.4% | | Tons Sold (thousands) | 500 | 497 | +0.6% | | Average Selling Price per Ton | $2,271 | $2,493 | -8.9% | - The **$14.7 million** decrease in warehousing, delivery, selling, general, and administrative expenses year-over-year was primarily due to lower reorganization costs compared to Q1 2024, which included startup costs for the new University Park, IL facility and ERP conversion activities[104](index=104&type=chunk) Liquidity and Debt Position | Liquidity and Debt (as of) | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total Liquidity | $490 million | $451 million | | Total Debt | $497.3 million | $467.4 million | | Net Debt | $464 million | $440 million | - Adjusted diluted loss per share, a non-GAAP measure, was **$(0.18)** for Q1 2025, unchanged from Q1 2024 after excluding items like pension settlement losses in the prior-year period[88](index=88&type=chunk)[89](index=89&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=29&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section details the company's market risk exposures to interest rates, foreign currency, and commodity prices - A hypothetical **1%** increase in interest rates on the company's variable-rate debt would have increased interest expense for the first three months of 2025 by approximately **$1.5 million**[131](index=131&type=chunk) - The company uses foreign currency contracts to hedge exposure, with a U.S. dollar notional amount of **$1.1 million** outstanding at March 31, 2025[132](index=132&type=chunk) - To manage commodity price risk, the company held various swap contracts for metals and energy; a hypothetical **10%** change in underlying prices would impact the fair value of these derivative contracts by **$6.5 million** as of March 31, 2025[136](index=136&type=chunk)[137](index=137&type=chunk) [Controls and Procedures](index=30&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded the company's disclosure controls and procedures were effective, with no material changes to internal controls - Based on an evaluation as of the end of the period, the **Chief Executive Officer** and **Chief Financial Officer** concluded that the company's disclosure controls and procedures were effective[139](index=139&type=chunk) - No changes in internal controls over financial reporting occurred during the quarter ended March 31, 2025, that have materially affected, or are reasonably likely to materially affect, these controls[140](index=140&type=chunk) [Part II. Other Information](index=31&type=section&id=Part%20II.%20Other%20Information) [Legal Proceedings](index=31&type=section&id=Item%201.%20Legal%20Proceedings) The company reports no material changes to its legal proceedings since the disclosures in its 2024 Annual Report on Form 10-K - There have been no material changes to the contingencies and legal matters from those disclosed in the Company's **2024 Form 10-K**[50](index=50&type=chunk)[143](index=143&type=chunk) [Risk Factors](index=31&type=section&id=Item%201A.%20Risk%20Factors) No material changes to the company's risk factors have occurred since the filing of its 2024 Annual Report on Form 10-K - No material changes to risk factors have occurred since the filing of the Company's **Annual Report on Form 10-K** for the year ended December 31, 2024[144](index=144&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=31&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities or use of proceeds during the period - None[145](index=145&type=chunk) [Other Information](index=31&type=section&id=Item%205.%20Other%20Information) This section discloses CEO Edward Lehner's new Rule 10b5-1 stock trading plan for potential share sales - On March 28, 2025, **CEO Edward Lehner** entered into a new stock trading plan designed to comply with **Rule 10b5-1**[146](index=146&type=chunk) - Under the plan, Mr. Lehner may sell up to **112,140 shares** of the Company's common stock between June 26, 2025, and June 30, 2026[146](index=146&type=chunk) [Exhibits](index=32&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including SOX certifications and Inline XBRL data - The exhibits filed with this report include certifications from the **CEO** and **CFO** as required by **Sections 302 and 906 of the Sarbanes-Oxley Act of 2002**, along with **Inline XBRL documents**[148](index=148&type=chunk)

Core Insights - Ryerson Holding Corporation has elected Lt. Gen. Bruce T. Crawford, U.S. Army (Ret.), to its Board of Directors, enhancing its leadership team with expertise in information technology and cybersecurity [1][2]. Company Overview - Ryerson is a leading value-added processor and distributor of industrial metals, with operations in the United States, Canada, Mexico, and China, and has approximately 4,300 employees across over 110 locations [3]. - The company was founded in 1842 and continues to focus on optimizing its operational and financial performance [2][3]. Leadership Insights - Steve Larson, Chair of the Board, expressed confidence that General Crawford will provide valuable perspectives as Ryerson aims to improve its operational and financial performance targets [2]. - Eddie Lehner, President and CEO, highlighted General Crawford's extensive knowledge and leadership experience, which will be crucial for enhancing Ryerson's operating model and customer experience [2]. General Crawford's Background - General Crawford has a distinguished 34-year career in the U.S. Army, culminating as the Chief Information Officer, and has held various strategic roles in both military and civilian sectors [2]. - His previous roles include leadership positions at Jacobs Solutions Inc., where he focused on innovation and strategic development in a $5 billion division [2]. - He holds multiple advanced degrees and serves on several boards, indicating a strong commitment to leadership and governance [2].

Core Viewpoint - Ryerson Holding Corporation will host a conference call to discuss its first quarter 2025 financial results on May 1, 2025, at 10 a.m. Eastern Time, with earnings reported after market close on April 30, 2025 [1][2]. Company Overview - Ryerson Holding Corporation is a leading value-added processor and distributor of industrial metals, operating in the United States, Canada, Mexico, and China [3]. - The company was founded in 1842 and currently employs around 4,200 people across over 110 locations [3].

Financial Data and Key Metrics Changes - In Q4 2024, Ryerson reported net sales of $1.01 billion, a decrease of 10.6% compared to Q3 2024 [27] - The average selling price (ASP) was $2,254 per ton, down 3% quarter over quarter [28] - Gross margin expanded by 110 basis points to 19% due to $25 million in LIFO income, which was $7 million greater than the previous quarter [28] - Net loss attributable to Ryerson was $4.3 million or $0.13 per diluted share, an improvement from a net loss of $6.6 million in the prior quarter [31] - For the full year 2024, net sales were $4.6 billion, down from $5.1 billion in 2023, primarily due to a 10% decrease in average selling prices [31][32] Business Line Data and Key Metrics Changes - Ryerson's Q4 sales volume was 447,000 tons, a decrease of 7.8% quarter over quarter, slightly better than expectations [13] - North American shipments decreased by 8.5%, in line with normal seasonality [13] - For the full year 2024, Ryerson's sales volume was approximately 1.9 million tons, roughly equivalent to 2023 [14] Market Data and Key Metrics Changes - North American industry volumes decreased by 7.1% quarter over quarter, while Ryerson's North American volume was down 1% year over year [15] - December 2024 prices were 18% lower for carbon, 29% lower for stainless steel, and 8% lower for aluminum compared to December 2023 [32] Company Strategy and Development Direction - Ryerson is transitioning from an investment cycle to an optimization cycle, focusing on operational efficiency and customer experience [21][22] - The company plans to reduce CapEx to the range of $50 to $55 million in 2025 to operationalize existing assets [44] - Ryerson aims to generate higher and less volatile earnings through future business cycles as investments operationalize [8] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for 2025, citing improvements in macro manufacturing conditions and increased sales quote and order activity since mid-January [9][10] - The company expects Q1 2025 volumes to increase by 11% to 13% sequentially compared to Q4 2024 [17] - Management acknowledged the challenges of a contracting environment in 2024 but noted market share gains in North America [15] Other Important Information - Ryerson generated $92 million of cash flow from operations in Q4 2024 and ended the period with $468 million of total debt [24] - The company returned $6 million in dividends during Q4 2024 and repurchased 2.5 million shares for approximately $51 million in the full year [25] Q&A Session Summary Question: How is the company thinking about CapEx for 2025? - Management plans to dial back CapEx to the $50 to $55 million range to focus on operationalizing existing assets [44] Question: Can you provide updates on University Park's progress? - Bookings at University Park are up by 20% from their bottom, and the facility is improving in productivity and service levels [52] Question: How did core unit gross margins trend through Q4 and into Q1? - Transactional margins are starting to expand as the market improves, with expectations for favorable resets in contract pricing as lagging prices catch up [58][59] Question: How is the company managing tariffs and their impact? - Management noted potential currency headwinds but emphasized that the majority of revenue is generated in the US, which mitigates some risks [61] Question: What is the status of the new ERP system? - The ERP conversion is progressing well, with improved service levels and operational normalization at service centers that have transitioned to SAP [81]

Financial Performance - Ryerson generated Q4 2024 revenue of $1.01 billion, shipping 447,000 tons at an average selling price of $2,254 per ton[6] - The company incurred a net loss attributable to Ryerson Holding Corporation of $4.3 million, or a diluted loss per share of $0.13, with adjusted EBITDA excluding LIFO at $10.3 million[6] - Ryerson's Q4 2024 operating cash flow was $92.2 million, and free cash flow was $68.9 million[6] - The company ended Q4 2024 with debt of $468 million and net debt of $440 million, compared to $522 million and $487 million respectively on September 30, 2024[6] - For the full year 2024, Ryerson's net sales were $4.6 billion, a 10% year-over-year decrease, with a net loss of $8.6 million[57] Strategic Investments and Initiatives - Ryerson achieved its target of $60 million in annualized operating expense reductions compared to Q1 2024[6] - The company continued the start-up and commissioning of major capital expenditure projects at service centers in Shelbyville, KY, Norcross, GA, Dallas, TX, and Los Angeles, CA[6] - Ryerson is investing in modernization and automation, integrating its North American service center network through common digital and ERP platforms, and optimizing its network to increase efficient operating leverage[20] Q1 2025 Guidance - Ryerson anticipates Q1 2025 net sales between $1.12 billion and $1.15 billion, with a net loss between $9 million and $8 million and adjusted EBITDA excluding LIFO between $28 million and $32 million[35] - The company expects shipments to increase by 11% to 13% and average selling prices to increase by 0% to 2% in Q1 2025[37] Capital Allocation - Ryerson declared a Q1 2025 dividend of $0.1875 per share[6] - The company repurchased $51 million of shares in 2024, with $38 million remaining in the authorization[51]

Core Insights - Ryerson Holding Corporation reported a fourth quarter revenue of $1.01 billion, a decrease of 10.6% from the previous quarter and 9.4% year-over-year, influenced by lower average selling prices and seasonal volume declines [6][8][12] - The company incurred a net loss of $4.3 million in Q4 2024, compared to a net income of $25.8 million in Q4 2023, reflecting significant year-over-year challenges [11][15] - Operating cash flow for Q4 2024 was $92.2 million, with a full-year operating cash flow of $204.9 million, indicating improved working capital management despite the overall decline in revenue [6][16] Financial Highlights - Revenue for Q4 2024 was $1,007.4 million, down from $1,126.6 million in Q3 2024 and $1,112.4 million in Q4 2023 [4][31] - Tons shipped in Q4 2024 totaled 447,000, a decrease of 7.8% quarter-over-quarter and 0.7% year-over-year [4][31] - Average selling price per ton in Q4 2024 was $2,254, down 3.0% from Q3 2024 and 8.8% from Q4 2023 [4][31] Gross Margin and Expenses - Gross margin for Q4 2024 was 19.0%, an increase of 110 basis points from Q3 2024 but a decrease of 320 basis points from Q4 2023 [4][9] - Warehousing, delivery, selling, general, and administrative expenses decreased by 4.3% to $188.5 million in Q4 2024 compared to Q3 2024 [10][31] - For the full year 2024, gross margin contracted to 18.1% from 20.0% in 2023, driven by declining metals prices [13][15] Debt and Cash Flow Management - Total debt at the end of Q4 2024 was $467.4 million, down 10.5% from Q3 2024, while net debt was $439.7 million, reflecting a 9.7% decrease [4][16] - The cash conversion cycle improved to 78.6 days in Q4 2024, down from 84.6 days in Q4 2023 [4][16] - Free cash flow for Q4 2024 was $68.9 million, with a full-year free cash flow of $107.4 million [6][38] Shareholder Returns - The Board of Directors declared a quarterly cash dividend of $0.1875 per share, payable on March 20, 2025 [17][18] - In 2024, Ryerson returned $24.8 million to shareholders through its dividend program [18][19] Outlook - For Q1 2025, Ryerson expects customer shipments to increase by 11% to 13% quarter-over-quarter, with anticipated net sales between $1.12 billion and $1.15 billion [20]

Financial Performance - Generated fourth quarter revenue of $1.01 billion, a decrease of 10.6% from Q3 2024, with tons shipped at 447,000 and average selling price at $2,254 per ton[6] - Net loss attributable to Ryerson Holding Corporation for Q4 2024 was $4.3 million, or diluted loss per share of $0.13, compared to a net loss of $6.6 million in Q3 2024[11] - Adjusted EBITDA, excluding LIFO, for Q4 2024 was $10.3 million, down 51.0% from Q3 2024[11] - Full-year 2024 revenue was $4.6 billion, a decrease of 10.0% compared to $5.1 billion in 2023, influenced by a 9.7% drop in average selling prices[12] - Net sales for Q4 2024 were $1,007.4 million, a decrease of 9.4% from Q4 2023's $1,112.4 million[29] - Full year 2024 net sales totaled $4,598.7 million, down 9.9% from $5,108.7 million in 2023[29] - The company reported a net loss of $4.2 million in Q4 2024, compared to a net income of $26.0 million in Q4 2023[29] - Operating profit for Q4 2024 was $2.6 million, significantly lower than $43.5 million in Q4 2023[29] - Adjusted EBITDA for the year ended December 31, 2024, was $166.6 million, down from $328.8 million in 2023, a decline of about 49.3%[33] - Gross profit for the year ended December 31, 2024, was $834.2 million, down from $1,021.6 million in 2023, a decrease of about 18.3%[33] Cash Flow and Debt - Generated operating cash flow of $92.2 million in Q4 2024, with full-year operating cash flow at $204.9 million[16] - Total debt decreased to $468 million in Q4 2024, down 10.5% from Q3 2024, while net debt was $440 million[16] - Free cash flow for Q4 2024 was $68.9 million, an increase from $65.1 million in Q4 2023, reflecting a growth of approximately 4.0%[38] - Total current liabilities decreased from $633.9 million in 2023 to $580.1 million in 2024, a reduction of about 8.5%[31] Market and Sales Metrics - Carbon Steel net sales in Q4 2024 were $510 million, down 12.8% quarter-over-quarter and 11.1% year-over-year[20] - Average selling price for Carbon Steel in Q4 2024 was $1,445 per ton, a decrease of 5.7% from Q3 2024 and 11.4% from Q4 2023[20] - Tons shipped for Carbon Steel in Q4 2024 were 353, a decline of 7.6% from Q3 2024[20] - The average selling price per ton for the full year 2024 was $2,374, down from $2,629 in 2023[29] - The company shipped 447 thousand tons in Q4 2024, a slight decrease from 450 thousand tons in Q4 2023[29] Margins and Expenses - Gross margin for Q4 2024 was 19.0%, an increase of 110 basis points from Q3 2024, while full-year gross margin contracted to 18.1%[9][13] - Ryerson achieved $60 million in annualized operating expense reductions during 2024[6] - Gross margin for the year ended December 31, 2024, was 18.1%, down from 20.0% in 2023, reflecting a decrease of 1.9 percentage points[33] Future Outlook - For Q1 2025, Ryerson expects customer shipments to increase by 11% to 13% quarter-over-quarter, with net sales anticipated between $1.12 billion and $1.15 billion[19] - The company expects a net loss attributable to Ryerson Holding Corporation in Q1 2025 to be between $(9) million and $(8) million, with diluted loss per share projected between $(0.27) and $(0.20)[40] Shareholder Returns - Declared a first-quarter 2025 dividend of $0.1875 per share, amounting to approximately $6.0 million in cash return for Q4 2024[17] Asset and Market Capitalization - Total assets decreased from $2,569.6 million in 2023 to $2,439.5 million in 2024, a decline of approximately 5.1%[31] - Market capitalization as of December 31, 2024, was $589.5 million, a significant drop from $1,180.4 million in 2023, representing a decline of approximately 50%[38] Conference Call - Ryerson will host a conference call on February 21, 2025, to discuss the financial results for Q4 and full year 2024[23]

Operations and Facilities - Ryerson Holding operates approximately 107 facilities in North America and four in China, serving around 40,000 customers across various manufacturing end-markets[17]. - International facilities in Canada, Mexico, and China contributed 10.0% to consolidated 2024 net sales, totaling $457.6 million[47]. - As of December 31, 2024, the company operates ninety-three facilities in the United States, with approximately 65% leased[144]. - Ryerson Canada has nine operational facilities, five of which are leased, with lease terms expiring at various times through 2032[147]. - Ryerson China operates four service and processing centers, all of which are owned and in good condition[149]. - Ryerson Mexico has five leased facilities, with lease terms expiring at various times through 2029[150]. - All operational facilities across the U.S., Canada, China, and Mexico are reported to be in good condition and adequate for current and anticipated operations[144][147][149][150]. Financial Performance - Ryerson Holding's total revenues for 2024 were $4.6 billion, representing a 10% decrease compared to 2023[179]. - The gross margin for 2024 contracted by 190 basis points, resulting in a net loss attributable to Ryerson Holding Corporation of $8.6 million, or $0.26 per diluted share[180]. - Average selling prices decreased by 9.7% in 2024, while tons shipped declined by 0.3% compared to 2023[180]. - Net sales for 2024 were $4,598.7 million, down 10.0% from $5,108.7 million in 2023[195]. - Operating profit fell to $31.5 million in 2024, or 0.7% of net sales, down from $228.1 million and 4.5% in 2023[202]. - Cash generated from operating activities decreased to $204.9 million in 2024 from $365.1 million in 2023, primarily due to lower net income[182]. - The effective income tax rate dropped to 1.4% in 2024 from 24.4% in 2023, mainly due to a low pretax loss in 2024[205]. - Total debt increased to $467.4 million at December 31, 2024, compared to $436.5 million at December 31, 2023, resulting in a debt-to-capitalization ratio of 36%[209]. Capital Expenditures and Investments - In 2024, Ryerson's capital expenditures reached $411.9 million, focusing on investments in processing equipment to improve margins and profitability[41]. - Capital expenditures for 2024 resulted in a net increase of $332.0 million, with anticipated expenditures of up to $50 million for 2025[54]. - The company plans to pivot from a three-year investment cycle to a capital expenditure rate that approximates depreciation for long-term sustainability[54]. - Ryerson's investments in 2024 included the ramp-up of operations at a 900,000-square-foot service center in University Park, IL, and the expansion of the Shelbyville, KY service center[177]. - The company acquired Production Metals for $44.1 million on August 1, 2024, enhancing its product offerings in the Northeast U.S.[185]. Customer and Market Dynamics - The company reported that no single customer accounted for more than 8% of sales, with the top 10 customers representing approximately 18% of total sales in 2024[32][44]. - Ryerson's diverse customer base includes industries such as metal fabrication, industrial machinery, and construction, reducing risk related to downturns in specific sectors[28][43]. - Seasonal demand fluctuations typically result in higher sales in the first two quarters compared to the third and fourth quarters[51]. - The company’s strategy focuses on improving customer experiences and expanding margins through increased fabrication business and transactional sales[175]. Risks and Challenges - The company faces significant risks due to economic and industry trends affecting customer profitability, which could negatively impact sales growth and operational results[80]. - The metals services industry is highly competitive, with pressure from online businesses and price transparency affecting revenues and gross margins[82][83]. - Changes in metals prices can significantly impact liquidity, net sales, gross margins, operating income, and net income, with potential adverse effects from rising costs and declining sales volumes[86]. - The company relies on a limited number of suppliers, with the top 25 suppliers accounting for approximately 77% of purchases, making it vulnerable to supply disruptions[92]. - Economic volatility and inflation could adversely affect financial performance, leading to lower revenues and increased costs[94][95]. - Changes in customer or product mix may lead to a decline in gross margin percentage, particularly if growth occurs with lower margin customers[89]. - Global metal overcapacity and imports may exert downward pressure on U.S. metal prices, negatively impacting sales and operational results[91]. - Disruptions in supply chains due to external factors could lead to significant delays and adversely affect customer relationships and operational results[87][88]. Employee and Workplace Initiatives - Approximately 4,000 employees are employed in North America and 200 in China, with 16% of plant employees being union members[106]. - Employee resource groups (ERGs) were established in 2024 to foster a welcoming workplace and support networking opportunities[70]. - Eight renewal contracts covering 154 employees were successfully negotiated in 2024, while five contracts covering 133 employees are set to expire in 2025[107]. Compliance and Regulatory Matters - The company is committed to compliance with environmental regulations and anticipates no substantial expenditures for compliance in the foreseeable future[56]. - The company may incur substantial costs related to compliance with environmental, health, and safety laws, which could increase operating costs and capital expenditures[113]. - The company operates under substantial influence from the Chinese government, which may impose new regulations affecting operations[102]. - The company may face challenges in verifying the origins of conflict minerals, potentially incurring significant compliance costs and facing competitive disadvantages[118]. Cybersecurity and Risk Management - The company is subject to cybersecurity risks that could significantly impact operations and financial results due to potential security breaches and system failures[105]. - Cybersecurity is a formal component of the company's risk management program, with ongoing assessments and audits to mitigate risks[140]. - The company maintains a cybersecurity incident response plan led by the CIO, involving third-party consultants and legal counsel as needed[142]. - The company has not identified any material risks from cybersecurity threats that could affect its business strategy or financial condition[143]. Shareholder and Stock Information - Platinum owns approximately 3,924,478 shares, representing about 12.3% of the company's outstanding common stock, allowing it to influence significant corporate decisions[136]. - The company has paid cash dividends in each quarter of 2024, but future payments are at the discretion of the Board of Directors[127]. - The company paid cash dividends of $0.1875 per share in each quarter of 2024[156]. - The company’s common stock is listed on the New York Stock Exchange under the symbol "RYI" since August 13, 2014[154]. - As of February 14, 2025, there were 7 stockholders of record for the company's common stock[155].