CMC(CMC) - 2025 Q4 - Annual Results

Financial Performance - Fourth quarter net earnings were $151.8 million, or $1.35 per diluted share, on net sales of $2.1 billion, compared to $103.9 million, or $0.90 per diluted share, on net sales of $2.0 billion in the prior year[5] - For the full fiscal 2025, net earnings were $84.7 million, or $0.74 per diluted share, on net sales of $7.8 billion, compared to $485.5 million, or $4.14 per diluted share, on net sales of $7.9 billion in the prior year[6] - The company reported net earnings of $151,781,000 for the three months ended August 31, 2025, compared to $103,931,000 in the same period last year, representing a 46.0% increase[28] - Net earnings for the year ended August 31, 2025, were $84,662, a significant decrease from $485,491 in 2024, reflecting a decline of 82.5%[32] - Net earnings for the three months ended August 31, 2025, were $151,781 thousand, compared to a loss of $175,718 thousand for the same period last year[37] EBITDA and Margins - Consolidated core EBITDA for the fourth quarter was $291.4 million, resulting in a core EBITDA margin of 13.8%, an increase both sequentially and year-over-year[4] - Adjusted EBITDA for the North America Steel Group increased 18.0% to $239.4 million in the fourth quarter, with an adjusted EBITDA margin of 14.8%, up from 13.0% in the prior year[12] - The Europe Steel Group reported adjusted EBITDA of $39.1 million in the fourth quarter, a significant improvement from a loss of $3.6 million in the prior year[15] - Adjusted EBITDA for the total company was $278,428,000 for the three months ended August 31, 2025, compared to $216,573,000 in the same period last year[25] - Adjusted EBITDA for the three months ended August 31, 2025, was $278,428 thousand, up from $126,373 thousand in the same period last year, reflecting a significant increase[37] - Core EBITDA margin improved to 13.8% for the three months ended August 31, 2025, compared to 7.9% in the same period last year[37] Sales Performance - Total net sales to external customers for the company reached $2,114,518,000 for the three months ended August 31, 2025, compared to $1,996,149,000 in the same period last year, marking a 5.9% increase[28] - North America Steel Group reported net sales of $1,616,078,000 for the three months ended August 31, 2025, a 3.4% increase from $1,559,520,000 in the same period last year[23] - The Emerging Businesses Group achieved net sales of $221,753,000, a 12.3% increase from $195,571,000 year-over-year[23] - Europe Steel Group's net sales were $263,294,000, up from $222,085,000 in the same quarter last year, reflecting an 18.6% increase[23] - Net sales for the three months ended August 31, 2025, reached $2,114,518 thousand, an increase from $1,754,376 thousand in the same period last year[37] Cash and Liquidity - As of August 31, 2025, cash and cash equivalents totaled $1.0 billion, with available liquidity of nearly $1.9 billion[8] - Cash and cash equivalents at the end of the period were $1,043,252, up from $857,922, representing an increase of 21.6%[32] Dividends and Shareholder Returns - The board declared a quarterly dividend of $0.18 per share, marking the 244th consecutive quarterly payment[9] - Cash dividends per share remained stable at $0.18 for both the three months ended August 31, 2025, and August 31, 2024[28] Liabilities and Expenses - Total current liabilities rose to $1,258,813, compared to $834,850 in the previous year, marking an increase of 50.7%[30] - Long-term debt increased to $1,310,006 from $1,150,835, reflecting a rise of 13.9% year-over-year[30] - The litigation expense recorded was $362,272, which was not present in the previous year, indicating a significant new liability[32] - Litigation expenses for the year ended August 31, 2025, totaled $362,272 thousand, reflecting ongoing legal challenges[37] Capital Expenditures - Capital expenditures for the year were $402,821, an increase from $324,271 in 2024, reflecting a growth of 24.3%[32] Acquisitions and Growth Strategy - The company announced pending acquisitions of Foley Products Company and Concrete Pipe & Precast, aimed at creating a new growth platform and broadening the commercial portfolio[3] Future Outlook - The company expects consolidated financial results in the first quarter of fiscal 2026 to be generally consistent with those of the fourth quarter, with an anticipated increase in adjusted EBITDA margin[16]