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MRC Global Reports Full Year and Fourth Quarter 2024 Results
MRCMRC (MRC) Newsfilter·2025-03-14 10:30

Core Viewpoint - MRC Global Inc. is optimistic about its business outlook for 2025, driven by a rebound in the gas utilities sector, inflation returning to product pricing, and growth in U.S. natural gas infrastructure investment. The company anticipates revenue growth in all business sectors and plans to execute a 125millionsharebuybackauthorization[4].FullYear2024FinancialHighlights−Totalsalesfor2024were125 million share buyback authorization [4]. Full Year 2024 Financial Highlights - Total sales for 2024 were 3,011 million, a decrease from 3,266millionin2023[8][39].−Netincomefromcontinuingoperationsfor2024was3,266 million in 2023 [8][39]. - Net income from continuing operations for 2024 was 78 million, down from 115millionin2023[7][32].−AdjustedEBITDAfor2024was115 million in 2023 [7][32]. - Adjusted EBITDA for 2024 was 202 million, representing 6.7% of sales [8][46]. - Average annual adjusted gross profit margins exceeded 21% for the third consecutive year, with adjusted gross profit at 21.9% of sales [8][42]. Fourth Quarter 2024 Financial Highlights - Sales for Q4 2024 were 664million,a10664 million, a 10% decrease from 740 million in Q4 2023 [13][37]. - The net loss from continuing operations for Q4 2024 was (1)million,comparedtoanetincomeof1) million, compared to a net income of 22 million in Q4 2023 [7][32]. - Adjusted EBITDA for Q4 2024 was 32million,downfrom32 million, down from 49 million in Q4 2023 [12][46]. - Gross profit for Q4 2024 was 135million,or20.3135 million, or 20.3% of sales, compared to 149 million, or 20.1% of sales in Q4 2023 [9][41]. Sales by Segment - U.S. sales in Q4 2024 were 542million,adecreaseof542 million, a decrease of 91 million, or 14%, from Q4 2023 [14][37]. - International sales in Q4 2024 were 122million,anincreaseof122 million, an increase of 15 million, or 14%, from Q4 2023 [16][37]. - Gas Utilities sector sales were 253millioninQ42024,unchangedfromQ42023[18][37].−DIETsectorsalesdecreasedby253 million in Q4 2024, unchanged from Q4 2023 [18][37]. - DIET sector sales decreased by 46 million, or 18%, to 208millioninQ42024[19][37].−PTIsectorsalesdecreasedby208 million in Q4 2024 [19][37]. - PTI sector sales decreased by 30 million, or 13%, to 203millioninQ42024[20][37].BalanceSheetandCashFlow−AsofDecember31,2024,thecompany′scashbalancewas203 million in Q4 2024 [20][37]. Balance Sheet and Cash Flow - As of December 31, 2024, the company's cash balance was 63 million, with long-term debt of 387millionandnetdebtof387 million and net debt of 324 million [21][30]. - Operating cash flows from continuing operations for the full year 2024 were $268 million, the highest since 2015 [8][34]. - The company achieved a net debt leverage ratio of 1.6x [8][21]. Management Commentary - The CEO expressed satisfaction with the execution of strategic actions that strengthened the balance sheet and improved working capital efficiency [4]. - The company is excited about the new IMTEC joint venture aimed at developing smart meters for gas utilities customers [4].