Worthington Industries reports sales up-tick from “cash for clunkers”

US steel processor Worthington Industries Inc. has reported its fiscal 2010 first quarter earnings report, which reflect improvements from the previous quarter.

For the three months ended August 31, 2009, Columbus, Ohio-based Worthington reported net sales of $417.5 million and net earnings of $6.7 million, showing improvement from fourth quarter results when the company reported a net loss of $13.7 million. In last year's first quarter, the company posted record sales of $913.2 million and record net earnings of $68.6 million.

“I am pleased to see improvements in our performance as we begin to move forward from a difficult and challenging period,” stated John P. McConnell, Chairman and CEO. “Despite lower volumes in Steel Processing and Metal Framing, we are benefiting from our work to increase operational efficiencies and from new selling strategies. The Steel Processing business received a temporary lift from the Cash for Clunkers program, and the Pressure Cylinders business saw strength in many of its business lines. Metal Framing is focused on keeping costs in line with low demand which is a condition we expect to continue into 2010.”

“Looking forward, we anticipate a normal seasonal drop in demand beginning in November and bottoming in December,” McConnell said. “We are optimistic that volumes will begin to trend higher next year, but we will watch the opening months of 2010 closely. They should provide foreshadowing for the remainder of the year.”

Worthington Industries is North America’s premier value-added steel processor and a leader in manufactured metal products such as light gauge steel framing for commercial and residential construction; framing systems and stairs for mid-rise buildings; pressure cylinder products such as propane, oxygen and helium tanks, hand torches, camping cylinders, and scuba tanks; current and past model automotive service stampings; metal ceiling grid systems; steel pallets and racks; and laser welded blanks.