ASTLW - Algoma Steel Provides Fiscal Second Quarter 2024 Guidance | Benzinga
SAULT STE. MARIE, Ontario, Sept. 28, 2023 (GLOBE NEWSWIRE) -- Algoma Steel Group Inc. (NASDAQ:ASTL, TSX:ASTL) ("Algoma" or "the Company"), a leading Canadian producer of hot and cold rolled steel sheet and plate products, today provided guidance for its fiscal second quarter ending September 30, 2023. Unless otherwise specified, all amounts are in Canadian dollars.
Fiscal 2024 second quarter total steel shipments are expected to be in the range of 540,000 to 550,000 tons and Adjusted EBITDA is expected to be in the range of $75 million to $85 million.
Michael Garcia, Algoma's Chief Executive Officer commented, "Our operations have run in line with our expectations in the fiscal second quarter. Our Plate Mill modernization project reached a key milestone, as we commenced cold commissioning and ran trial plates through our heavy gauge inline shear. Hot commissioning continues and an expected ramp towards higher plate production is planned for the end of the calendar year."
"We are closely monitoring the evolving United Auto Workers union's work stoppages at certain North American auto manufacturing facilities and the impact they are having on steel markets, including lower than expected realized pricing for recent steel shipments. In the meantime, we expect to perform our normal annual steel making vessel reline, along with other planned seasonal maintenance during the fiscal third quarter. On the Electric Arc Furnace (EAF) project, work has advanced as expected during the quarter, with additional scope committed and priced as we continue to de-risk the project and work towards our expectation of a late calendar 2024 commissioning," Mr. Garcia concluded.
About Algoma Steel Inc.
Based in Sault Ste. Marie, Ontario, Canada, Algoma is a fully integrated producer of hot and cold rolled steel products including sheet and plate. Driven by a purpose to build better lives and a greener future, Algoma is positioned to deliver responsive, customer-driven product solutions to applications in the automotive, construction, energy, defense, and manufacturing sectors. Algoma is a key supplier of steel products to customers in North America and is the only producer of discrete plate products in Canada. Its state-of-the-art Direct Strip Production Complex ("DSPC") is one of the lowest-cost producers of hot rolled sheet steel (HRC) in North America.
Algoma is on a transformation journey, modernizing its plate mill and adopting electric arc technology that builds ...