Universal Stainless & Alloy Products ( (USAP) ) has released its Q3 earnings. Here is a breakdown of the information Universal Stainless & Alloy Products presented to its investors.
Universal Stainless & Alloy Products, Inc., headquartered in Bridgeville, PA, is a manufacturer and marketer of semi-finished and finished specialty steels, including stainless steel and nickel alloys, primarily serving the aerospace, energy, and heavy equipment industries.
In its latest earnings report, Universal Stainless announced record-breaking financial results for the third quarter of 2024, driven by robust sales in the aerospace sector. The company reported significant increases in net sales and net income compared to previous quarters and the same period last year.
The company’s third-quarter net sales reached a record $87.3 million, marking a 5% increase from the previous quarter and a 22% increase year-over-year. Premium alloy sales also achieved a remarkable growth, contributing significantly to the company’s revenues. Notably, aerospace sales, the largest market for Universal Stainless, rose to a record $71.4 million, up 32% from the prior year. The gross margin was reported at 25.2% of sales, showing a strong profitability trend. Additionally, operating and net incomes saw substantial growth, with net income at a record $11.1 million.
Universal Stainless also reported an increase in adjusted EBITDA to $19.3 million for the third quarter, reflecting a consistent improvement in operational performance. The firm utilized cash flow effectively to reduce net debt by $9 million sequentially and $20.3 million year-over-year, showcasing strong financial management.
Looking ahead, Universal Stainless remains optimistic about its business trajectory, particularly with ongoing demand in the aerospace sector. Despite facing some non-recurring costs and the pending transaction with Aperam, the company is poised to continue its growth momentum, leveraging its strong market position and operational efficiency.
