Financial Performance - Radius Recycling reported a net loss of (34) million in Q2 2024, with an adjusted loss per share of (1.04) year-over-year[3]. - Adjusted EBITDA was approximately break-even in Q2 2025, a decline from 33 million, compared to a loss of (0.99), compared to (1.15), compared to (1.19) in Q2 2024[16]. Sales and Volumes - Ferrous sales volumes increased by 12% year-over-year, totaling 1,094 thousand long tons, while average net ferrous sales prices decreased by 14% to 756 per short ton[5][12]. - Total ferrous volumes for Q2 2025 were 1,094 thousand LT, down from 1,106 thousand LT in Q1 2025[18]. - Total nonferrous volumes for Q2 2025 were 174,323 thousand pounds, compared to 177,255 thousand pounds in Q1 2025[18]. - Average ferrous selling price for domestic sales in Q2 2025 was 331 per LT in Q1 2025[18]. - Finished steel average sales price in Q2 2025 was 775 per ST in Q1 2025[18]. Cash Flow and Debt - The company generated positive operating cash flow of 13 million in Q2 2025, with total debt at 12.9 million, with cash flow from operating activities at 429.9 million, a decrease from 445.4 million in November 2024[32]. Operational Efficiency - Radius Recycling's SG&A expenses decreased by 12% year-over-year to 55 million, driven by productivity initiatives[5]. - The mill utilization rate improved to 88% in Q2 2025, compared to 81% in the prior year's second quarter[12]. - Rolling mill utilization for Q2 2025 was 88%, compared to 81% in Q1 2025[18]. - Adjusted selling, general and administrative expenses for Q2 2025 were 62 million in Q2 2024[31]. Future Outlook and Strategic Initiatives - Radius Recycling entered into a merger agreement with Toyota Tsusho America, Inc., expected to close in the second half of calendar 2025[8]. - The company is pursuing a merger with TAI, a subsidiary of Toyota Tsusho Corporation, which may impact future operations and growth strategies[37]. - The company is investing in processing and manufacturing technology improvements to enhance operational efficiency[37]. - The company anticipates potential impacts from supply chain disruptions and inflation on its financial performance[40]. - The company is focused on compliance with environmental regulations and managing associated costs[40]. Tax and Equity - The effective tax rate for Q2 2025 was a benefit of 11% on a pre-tax loss, reflecting a favorable true-up from changes in estimates[5]. - Total current assets as of February 28, 2025, were 609,127 thousand as of August 31, 2024[25]. - Total liabilities as of February 28, 2025, were 908,029 thousand as of August 31, 2024[26]. - Total equity as of February 28, 2025, was 625,740 thousand as of August 31, 2024[26].
Radius Recycling(RDUS) - 2025 Q2 - Quarterly Results