South Korea sees the need for trade negotiations with the US to continue past next week’s deadline as Seoul continues to seek exemptions from US tariffs including duties affecting the auto and steel industries. https://t.co/swugQVe8a2 ...

Group 1 - The company, Nanjing Steel Group, has completed the launch of 20 intelligent application scenarios based on Huawei Cloud Stack's hybrid cloud model [1] - This transformation marks a shift from "experience-based steelmaking" to "technology-driven steelmaking" [1] - The initiative aims to create a high-end, intelligent, green, integrated, and global AI super factory [1]

JSW agrees to buy up to 75% of Akzo Nobel’s Indian business in a $1.6 billion deal https://t.co/lqgv83uVoq ...

Group 1 - Worthington Steel, Inc. (NYSE: WS) experienced a significant share price increase of approximately 20.5% on June 26th following the release of its financial results for the final quarter [1] - The company is part of a sector that focuses on cash flow generation, particularly in oil and natural gas, indicating strong value and growth prospects [1] Group 2 - Crude Value Insights provides an investing service and community that emphasizes cash flow analysis and investment opportunities in the oil and gas sector [2] - Subscribers to Crude Value Insights benefit from access to a 50+ stock model account and in-depth cash flow analyses of exploration and production (E&P) firms [2]

Core Insights - Worthington Steel, Inc. (NYSE: WS) has experienced a strong performance following its separation from Worthington Enterprises (WOR) in the spring of last year [1]. Group 1 - The investing group "Value In Corporate Events" focuses on providing members with opportunities related to IPOs, mergers & acquisitions, earnings reports, and changes in corporate capital allocation [1]. - The service covers approximately 10 major events each month, aiming to identify the best investment opportunities [1].

Core Points - President Donald Trump holds significant veto power over U.S. Steel's decisions through a "golden share" arrangement, which will transition to the Treasury and Commerce Departments after his presidency [2][5] - The merger between U.S. Steel and Japan's Nippon Steel was approved by Trump under a national security agreement, despite his initial opposition [3][4] - U.S. Steel is now a wholly owned subsidiary of Nippon Steel North America, with its shares ceasing to trade on the New York Stock Exchange following the deal [6] Company Decisions Affected by Veto Power - Changing U.S. Steel's name and relocating its headquarters outside the U.S. [7] - Closing, idling, or selling production locations through 2035, including Granite City Works by 2027 [7] - Cutting employee base salaries through 2030 [7] - Reducing, waiving, or delaying a $10.8 billion capital investment timeline [7] - Acquiring any competing business in the U.S. [7]

Financial Data and Key Metrics Changes - Adjusted EBITDA for Q4 2025 was $87 million, slightly up from $86.5 million in the prior year quarter [4] - Earnings per share increased to $1.1 from $1.06 year-over-year [5][17] - Net sales decreased by $78 million or 9% year-over-year to $833 million, primarily due to lower direct selling prices [23] - Estimated pretax inventory holding gains were $20.8 million compared to losses of $3.4 million in the prior year quarter, a favorable swing of $24.2 million [20] Business Line Data and Key Metrics Changes - Automotive shipments increased by 5% year-over-year, contributing positively to overall performance [24] - Construction market volumes were down 5% year-over-year, consistent with historical fourth-quarter levels [26] - Agricultural market volumes decreased by 40% compared to the prior year quarter due to softness in agricultural equipment and increased competition [26] - Toll processing tons were down 11% year-over-year, impacted by various factors including customer decisions and the idling of a facility [27] Market Data and Key Metrics Changes - Market pricing for hot rolled coil started the year at just under $700 per ton, spiked to $950 per ton due to tariffs, and then fell to approximately $850 per ton [22] - The U.S. transformer market is expected to double over the next ten years, driven by electrification demand [9] Company Strategy and Development Direction - The company is focused on three strategic pillars: investments in electrical steel, margin-accretive growth through strategic CapEx and acquisitions, and base business improvements [7] - The acquisition of a 52% stake in CEDIM enhances the company's position in the European electric motor lamination market [10][30] - The company is embracing artificial intelligence to improve productivity and quality [13] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the macroeconomic environment and ongoing uncertainty around tariffs [15] - The company is focused on improving processes and gaining market share despite headwinds [15] - Management believes the right strategy and strong customer relationships will drive future growth [15] Other Important Information - The company announced a quarterly dividend of $0.16 per share payable on September 26, 2025 [29] - Cash flow from operations was $54 million, with free cash flow of $8 million [28] Q&A Session Summary Question: How did the company achieve a richer mix of direct tons and stronger metal spreads? - Management noted that Q4 is typically the strongest quarter, and while volume was flat year-over-year, there was a significant quarter-over-quarter increase [36][37] Question: What is the outlook for galvanized spreads moving into fiscal year 2026? - Management expressed cautious optimism, citing tariff impacts and increased anti-dumping measures that may improve market conditions [40][42] Question: How can the company continue to succeed in the automotive market despite OEM destocking? - Management highlighted significant market share gains and strong relationships with automotive customers as key factors for success [44][47] Question: What are the competitive dynamics in the Taylor welded blanks business? - Management explained that the market is highly technical with few players in North America, and they are focused on lightweighting and part consolidation [52][56]

Core Insights - The previous investment stance on Worthington Enterprises, Inc. (NYSE: WOR) was a hold rating due to concerns over earnings growth amid macroeconomic weakness and declining steel prices [1] Group 1: Company Analysis - The 4Q25 results indicated some performance metrics that may influence future investment decisions, although specific details were not provided [1] - The investment strategy focuses on long-term investments while also considering short-term opportunities to uncover alpha [1] - The approach is centered on bottom-up analysis, assessing the fundamental strengths and weaknesses of individual companies [1] Group 2: Investment Strategy - The investment duration is medium to long-term, aiming to identify companies with solid fundamentals, sustainable competitive advantages, and growth potential [1]

Financial Performance - Worthington Steel's net sales for FY2025 were $3.093 billion[13, 74] - The adjusted EBITDA for FY2025 was $215 million, with a margin of 7.0%[13, 76] - Free cash flow for FY2025 was $99.9 million[13] - Capital expenditures for FY2025 were $130.4 million, representing 4.2% of sales[13, 91] Market Position and Strategy - Worthington Steel delivered 3.8 million tons of steel[13] - Automotive end-market accounts for 52% of net sales[14, 39] - The company has 32 manufacturing facilities primarily in North America[13, 27] - The company aims to achieve a 10%+ adjusted EBITDA margin through the Worthington Business System, product mix optimization, new product introductions, and strategic acquisitions[81, 82] Strategic Initiatives - The company is investing $85 million to expand xEV production capacity in Mexico, with 50% of the additional capacity already filled with new business and targeting start of production for fall 2025[64] - The company is investing $85 million to increase transformer core making capacity in Canada, with 80% already spent and targeting start of production for early CY2026[64] - The company acquired 52% ownership of Sitem Group to strengthen its electrical steel business globally[28, 70]

Company Overview - Olympic Steel's 2024 revenue reached $1.9 billion[5] - The company operates with approximately 2,100 employees[5] - The company has 54 sales and warehouse locations spanning over 4.4 million square feet[5] - The company's revenue mix in 2025 is comprised of Carbon Flat Products (58%), Specialty Metals Flat Products (26%), and Tubular & Pipe Products (16%)[5] Growth Strategy & Capital Allocation - The company focuses on investing in higher-return growth opportunities[6] - The company is returning cash to shareholders[6] - The company has access to a $625 million Asset Based Loan (ABL) maturing in June 2030, with a $200 million accordion feature[27] - The company has access to S-3 shelf filing up to $200 million through debt or stock offerings, including $50 million At-The-Market (ATM) program[27] Financial Performance - For the three months ended March 31, 2025, net sales were $492.941 million, compared to $526.642 million for the same period in 2024[31] - Net income for the three months ended March 31, 2025, was $2.509 million, compared to $8.697 million for the same period in 2024[31] - EBITDA for the three months ended March 31, 2025, was $16.090 million, compared to $23.272 million for the same period in 2024[31]