US-based scrap recycler and steel producer Schnitzer Steel Industries Inc. on Thursday reported its financial results for its fiscal 2010 first quarter ended November 30, 2009.
Including revenues from discontinued operations, the company reported a net loss for the quarter, but a narrower one than it posted a year ago.
Schnitzer reported diluted earnings per share from continuing operations of $0.23 for its fiscal 2010 first quarter ended November 30, 2009. The company also reported a loss from discontinued operations in the first quarter totaling $0.53 per diluted share. Including the loss from discontinued operations, Schnitzer's diluted net loss per share was $0.30 or $9 million, compared with a loss per share of $1.21 or $34 million in the first quarter of 2009.
Schnitzer said that drivers of the results on a business unit level included the following:
- The Metals Recycling Business reported first quarter ferrous sales volumes in line with the levels in the prior year's first quarter with significantly improved margins. Sequential revenues reflected declines consistent with the experience in the first quarters of recent years.
- The Auto Parts Business reported record first quarter operating income, capitalizing on higher volumes from the Cash-For-Clunkers stimulus program and completing an acquisition of four facilities that adds to its scale and focuses its continuing operations on the higher margin self-service business that complements the Metals Recycling Business.
- The Steel Manufacturing Business continued to experience the effects of weak demand for finished steel products and higher average inventory costs resulting from higher raw material costs and lower production volumes.