Ryerson Holding Corporation Reveals 2025 Financial Results with Key Strategic Developments

Overview of Ryerson's 2025 Financial Performance

Ryerson Holding Corporation, a prominent processor and distributor of industrial metals, has revealed its financial outcomes for the fourth quarter and the entire year of 2025. The results reflect significant achievements, including a merger with Olympic Steel, which is projected to amplify market presence and operational efficiencies in the coming years.

Key Financial Highlights

In the fourth quarter of 2025, Ryerson reported a revenue of approximately $1.10 billion. This marks a 9.7% increase in revenue year-over-year, although it represented a decline of 4.9% compared to the previous quarter. The decrease was attributed to a 4.9% drop in tons shipped, aligned with industry expectations given seasonal fluctuations and ongoing demand constraints in manufacturing sectors. Average selling prices per ton remained stable at $2,397, reflecting consistent market conditions despite a 6.3% annual increase.

Ryerson's debt level as of December 31, 2025, was reported at $463 million, showing a promising reduction from $500 million at the close of the third quarter. The company’s net debt also showed improvement, decreasing from $470 million to $436 million over the same period.

Strategic Developments

A significant milestone in Ryerson's trajectory was the completion of its merger with Olympic Steel, finalized in February 2026, shortly after the close of the fourth quarter. This strategic consolidation is expected to elevate Ryerson to the status of the second-largest metals service center in North America, enhancing customer experiences and unlocking approximately $120 million in annual run-rate synergies over the next two years.

Additionally, Ryerson successfully restructured its credit facility, increasing borrowing capacity from $1.3 billion to $1.8 billion. This extension is expected to fortify the company’s financial stability and provide essential capital for potential growth opportunities arising from the merger with Olympic Steel.

Q4 and Annual Financial Details

Q4 Results:

- Revenue: $1,104.8 million (Q4 2024: $1,007.4 million)
- Tons Shipped: 461,000 (Q4 2024: 447,000)
- Gross Margin: 15.3% (down from 17.2% in Q3)
- Net Loss: $37.9 million (compared to $14.8 million loss in Q3 and $4.3 million in Q4 2024)

Annual Performance:
For the entire fiscal year 2025, Ryerson's net sales totaled $4.57 billion, a slight decline of 0.6% from 2024. The year also witnessed a contraction in gross margin to 17.1% compared to 18.1% in the prior year, driven primarily by increasing costs of goods sold although parts of this impact were mitigated by a marginal increase in shipment volumes.

Management Insight

Ryerson's CEO, Eddie Lehner, expressed gratitude for the team's effort during a challenging year in the industrial metals sector. He mentioned the ongoing volatility in commodity prices and contractionary demand as significant hurdles, but indicated optimism citing increased customer activity trends that could positively affect upcoming quarters.

"We are excited about our merger with Olympic Steel and the potential improvements in customer service and operational synergies that this creates for our stakeholders," commented Lehner. This strategic partnership is intended to position Ryerson favorably to adopt growth strategies aligned with anticipated enhancements in U.S. manufacturing demand.

Future Outlook

Looking forward, Ryerson expects the first quarter of 2026 to reflect a recovery in gross margins, benefitting from the stabilization of inventory costs and increased demand forecasts. They predict a revenue range of $1.26 billion to $1.30 billion, which could translate into adjusted EBITDA ranging from $51 million to $54 million.

In summary, Ryerson’s 2025 results indicate a strategic response to market conditions through mergers and financial restructuring, providing a solid foundation for expected growth in 2026. Shareholders can look forward to a $0.1875 quarterly dividend declared for distribution in March 2026.