Overview

* Olympic Steel ( ZEUS ) Q2 sales beat analyst expectations at $496 mln, per LSEG data

* Net income for Q2 declines to $5.2 mln, adjusted EBITDA also down yr/yr

* Company remains focused on growth initiatives and acquisitions

Outlook

* Olympic Steel ( ZEUS ) expects sales growth from new processing and automation equipment

* Company remains focused on organic growth and strategic acquisitions

Result Drivers

* SEQUENTIAL EBITDA INCREASE - Despite declining market demand, co achieved sequential increase in adjusted EBITDA, attributed to strategic actions and operational disciplines

* TARIFF IMPACT - Positive trend in stainless and aluminum pricing following June tariff announcement, leading to increased inquiries for outsourced fabrication work

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Sales Beat $496 mln $491.10

mln (3

Analysts

)

Q2 EPS $0.45

Q2 Net $5.20

Income mln

Q2 $20.30

Adjusted mln

EBITDA

Q2 $0.16

Dividend

Analyst Coverage

* The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the iron & steel peer group is "buy."

* Wall Street's median 12-month price target for Olympic Steel Inc ( ZEUS ) is $40.00, about 19.7% above its July 30 closing price of $32.10

* The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 13 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)