Algoma Steel Group Reports Fiscal First Quarter 2025 Financial Results

Fourth Quarter Results In-Line with Previously Announced Expectations

SAULT STE. MARIE, Ontario, Aug. 13, 2024 (GLOBE NEWSWIRE) -- Algoma Steel Group Inc. (Algoma) today reported its financial and operational results for the first quarter of fiscal 2025, ended June 30, 2024.

Revenue

First quarter revenue totaled $650.5 million, compared to $395.6 million in the same period the previous year. The increase of $254.9 million, or 64.4%, was primarily due to higher average realized steel prices, increased sales volumes and favourable product mix.

Net Income

Net income for the first quarter was $59.7 million, compared to a net loss of $48.9 million in the same period the previous year. The improvement of $108.6 million was largely driven by the higher revenue along with lower operating costs due to productivity improvements and cost reductions.

Outlook

Commenting on the results, Algoma's President and Chief Executive Officer, Michael McQuade, said, "Algoma delivered strong financial results in the first quarter, building on the momentum we established in the previous fiscal year. Our focus on operational excellence and cost discipline, combined with favourable market conditions, has allowed us to generate significant cash flow and improve our overall financial position."

McQuade concluded, "Looking ahead, we remain optimistic about the long-term prospects for the steel industry and are confident in our ability to continue to deliver value for our stakeholders."