Steel Mills
February 18, 2021
Dismal Aerospace, Energy Markets Weigh on Reliance Earnings
Written by Sandy Williams
“Extraordinary challenges on a global scale” is how Reliance Steel & Aluminum CEO Jim Hoffman characterized 2020 during the service center’s conference call this week. However, Hoffman was optimistic about the new year, “As I continue to say, America is going to need Reliance in order to rebuild.”
In the fourth quarter, Reliance sales fell 12.8% year-over-year with half of the decline blamed on dismal conditions in the commercial aerospace and energy markets. Commercial aerospace appeared to bottom out in the fourth quarter, and Reliance expects to see a slow gradual recovery in 2021. The other side of aerospace–defense, military and space—continue to be very strong and positive. “Energy is what it is, but there are little signs of relief recently,’ said Hoffman.
