Service Centers
November 5, 2020
Russel Metals Reports Progress in Challenging Third Quarter
Written by Tim Triplett
Russel Metals’ third-quarter results showed steady gains from rising steel prices and improved demand as the market comes to grip with the coronavirus. Russel also rationalized some assets during the quarter and is taking steps to reduce its exposure to the volatile energy sector.
“Although business conditions remain challenging, they are improving,” said Russel President and CEO John G. Reid in a conference call with analysts and investors this week. “Late in the 2020 third quarter and early in the 2020 fourth quarter, our metals service centers and steel distributors experienced a modest increase in demand and a rapid increase in coil and plate pricing. In our energy products segment, we have seen rig counts improve slightly and energy prices remain range bound. Results in the line pipe/OCTG component of this segment reflect the depressed rig counts.”
