Algoma Steel Group down $20.4 million in Q4 amid lower steel prices, higher costs

SAULT STE. MARIE, Ont. – Algoma Steel Group Inc. says its net loss for the fourth quarter was $20.4 million, compared with earnings of $242.9 million a year earlier.

Net loss per diluted share was 19 cents, down from earnings of $1.45 the same quarter last year.

The Sault Ste. Marie, Ont.-based steel producer says revenue for the quarter ended March 31 was $677.4 million, down from $941.8 million.

Earnings for the full fiscal year were $298.5 million, down from $857.7 million the previous year.

The company says the net loss for the fourth quarter was primarily due to lower selling steel prices as well as higher costs.

CEO Michael Garcia says the results were in line with the company’s previous outlook, and that the quarter saw plate and strip operations return to normal production levels.

“We expect to continue this momentum into fiscal 2024, with expected strong first quarter shipments and operating cash flow.”

This report by The Canadian Press was first published June 21, 2023.

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