Ryerson's Third-Quarter Results Show Margin Compression

Ryerson Holding Corp. posted net income of $1.7 million in the third quarter, up from $600,000 in the second quarter, but down from $8.2 million in third-quarter 2016, as commodity challenges pressured margins.

“The third quarter of 2017 can best be described by margin compression, driven primarily by nickel and chrome deflation in the second and third quarters of the year,” said President and CEO Edward Lehner during the 3Q earnings conference call. “Surprisingly high levels of carbon, aluminum and stainless imports muted pricing power, which was further spurred by panic Section 232 metal buying in advance of an anticipated trade ruling that never materialized.”