Olympic Steel(ZEUS) - 2024 Q4 - Annual Results

Financial Performance - Fourth quarter 2024 net income was $3.9 million, or $0.33 per diluted share, down from $7.4 million, or $0.64 per diluted share in Q4 2023[2] - Adjusted EBITDA for Q4 2024 was $14.5 million, sequentially higher than Q3 2024, compared to $16.7 million in Q4 2023[2] - Total sales for Q4 2024 were $419 million, a decrease from $489 million in Q4 2023[2] - Full-year 2024 net income totaled $23.0 million, or $1.97 per diluted share, compared to $44.5 million, or $3.85 per diluted share in 2023[3] - Full-year 2024 adjusted EBITDA was $72.5 million, down from $97.6 million in 2023[3] - Total sales for 2024 were $1.9 billion, compared to $2.2 billion in 2023[3] - Net income for the twelve months ended December 31, 2024, was $22.980 million, down 48.7% from $44.529 million in 2023[16] - The company reported a decrease in operating income for the three months ended December 31, 2024, to $9.002 million, a decline of 32.4% from $13.291 million in 2023[16] Acquisitions and Growth Strategy - The company completed its eighth acquisition in seven years, acquiring Metal Works, a leading metal canopy manufacturer[4] - The company plans to continue investing in organic growth opportunities and additional acquisitions to enhance higher-value product offerings[5] - Each segment achieved positive EBITDA in every quarter of 2024, demonstrating the success of the company's diversification strategy[4] Dividends and Shareholder Returns - The Board of Directors approved a quarterly dividend increase of 7% from $0.15 to $0.16 per share, marking the fourth increase since 2022[5] - Cash dividends per share increased to $0.60 for the twelve months ended December 31, 2024, up from $0.50 in 2023[23] Asset and Liability Management - Total assets increased to $1,044.496 million as of December 31, 2024, compared to $984.835 million as of December 31, 2023[18] - The debt to equity ratio rose to 0.47 to 1 as of December 31, 2024, compared to 0.34 to 1 in 2023[23] - The company’s total current liabilities decreased to $132.638 million as of December 31, 2024, from $180.237 million in 2023[18] - Goodwill increased to $83.818 million as of December 31, 2024, compared to $52.091 million in 2023, indicating potential acquisitions or investments[18] Product Performance - The average selling price per ton for Carbon Flat Products decreased to $1,261 in Q4 2024 from $1,384 in Q4 2023, a decline of 8.9%[20] - Gross profit for Carbon Flat Products in Q4 2024 was $58.635 million, down 3.2% from $60.542 million in Q4 2023[20]