Los Angeles-based metals service center Reliance Steel & Aluminum reported net earnings of $165.6 million in Q4 2019 on net sales of $2.45 billion, compared to net earnings of $162.7 million on net sales of $2.69 billion in Q3 2019 and net earnings of $85.6 million on net sales of $2.81 billion in Q4 2018.
Total tons sold in Q4 2019 reached 1,375,700 net tons, compared to 1,476,600 net tons in Q3 2019 and 1,428,300 net tons in Q4 2018.
For the full-year 2019, Reliance reported net earnings of $701.5 million on net sales of $10.9 billion, compared to net earnings of $633.7 million on net sales of $11.5 billion in the full-year 2018.
Total tons sold in the full-year 2019 reached 5,861,600 net tons, compared to 6,112,600 net tons in the full-year 2018.
Commenting on the quarterly results, the company said in a statement that during the fourth quarter of 2019, shipments declined 6.8 percent compared to the third quarter of 2019, in-line with expectations resulting from the typical seasonal slowdown during the fourth quarter due to customer holiday-related shutdowns and fewer shipping days.
Demand for the products and services Reliance provides to the aerospace and automotive markets remained strong through the fourth quarter of 2019, the company said, adding that it maintains its positive outlook for these end markets and continues to invest in growing its capabilities in these areas.
The company said demand in non-residential construction, Reliance’s largest end-market, was solid in the fourth quarter, with notable strength in shipment volumes of carbon steel structural and tubing products. Reliance said it remains cautiously optimistic that demand will continue to strengthen in 2020.
Demand in heavy industry was steady during the fourth quarter of 2019, the company said, adding that it expects activity to remain at similar levels in the first quarter of 2020.
Lastly, demand in the energy (oil and gas) market remains at low levels, the company said, a trend it expects to continue in the near-term.