Los Angeles, California-based service center Reliance Steel & Aluminum reported Thursday Q1 2012 income of $116.2 million, a 26 percent increase from the same period a year ago, and a 71 percent jump from the $67.9 million in Q4 2011. The increase was a result of increased sales, tons sold and higher average prices. Sales were $2.29 billion in Q1, a 20 percent increase from the $1.91 billion in the same period a year ago and Reliance's tons sold for Q1 2012 were up 13.8 percent from Q1 2011 and up 11.2 percent from Q4 2011. Average prices per ton sold in Q1 2012 increased 5.3 percent year-on-year but only 1.3 percent from Q4 2011.
David H. Hannah, Chairman and CEO of Reliance said, "As we indicated in our earnings guidance update last week, the quarter overall was better than we originally anticipated. Demand was stronger, especially in January and February, aided in part by a more favorable pricing environment for most of our products. Sales dollars per day in March were down slightly from February due to a drop in tons sold per day, as the direction of carbon steel pricing became a little uncertain and stainless steel surcharges decreased."