TimkenSteel reported a strong start to the year with net sales of $273.6 million and net income of $9.8 million, or $0.20 per diluted share. Adjusted net income was $22.6 million, or $0.43 per diluted share, and adjusted EBITDA was $40.8 million. The company completed the transition of melt and casting activities to a single location at the Faircrest facility.
Net sales of $273.6M increased 30% sequentially
Net income of $9.8 million and adjusted EBITDA of $40.8 million, a significant improvement both sequentially and compared with the prior-year quarter
Record total liquidity of $357.5 million
Completed transition to single melt and casting shop at Faircrest facility
Given steady improvement in the automotive and industrial end markets, the company expects second quarter ship tons to increase sequentially by high-single digits on a percentage basis. Additionally, the company expects adjusted EBITDA growth from the first quarter of 2021 with melt utilization of 80 percent or higher. Capital expenditures are expected to be approximately $20 million in 2021, consistent with previous guidance. Regarding the convertible debt due June 1, 2021, at maturity the company intends to repay the remaining outstanding principal balance plus accrued interest with available cash.
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