Columbus, Ohio-based Worthington Industries, a diversified steel manufacturer and processor, announced Wednesday net earnings of $25.7 million fiscal Q1 2012 (ended August 31, 2011), a major drop compared to $51.9 million in fiscal Q4 2011, but still up from Q2 2011 earnings of $22.4 million. Net sales, on the other hand, which totaled $602.4 million in Q1 2012, were down from both Q1 2011 net sales of $616.8 million as well as Q4 2011 net sales of $675.7 million.
Nonetheless, Q1 2012 was a strong quarter for Worthington. Worthington's Steel Processing segment's net sales of $408.2 million were up 15 percent, or $53.3 million, over the prior year quarter. Higher average selling prices increased net sales by $45.9 million and a 14 percent increase in volumes favorably impacted sales by $7.4 million. Pressure Cylinders' net sales of $168.8 million were up 24 percent from the comparable prior year quarter. Net sales in the North American operations increased 19 percent over prior year.
Moving forward, John P. McConnell, Chairman and CEO of Worthington, was mainly bullish on future earnings, indicating that "We expect to continue to perform well, barring further economic deterioration," but warned "the stalled economy, and the uncertainty surrounding it, has hindered a quicker and more robust recovery which has an impact on our customers."