About Ryerson Holding Corp.
Ryerson Holding Corp (NYSE: RYI) is a leading industrial metals processor and distributor based in Chicago, Illinois. Founded in 1842, the company supplies stainless steel, aluminum, carbon steel, alloy steel, and specialty metals to customers across North America and internationally.
Ryerson operates a network of service centers that provide value-added processing services such as cutting, sawing, and fabrication, enabling manufacturers to receive customized metal products. Its customer base spans industries including industrial machinery, transportation, construction, aerospace, and energy.
The company focuses on operational efficiency, digital ordering platforms, and strong supplier relationships to maintain competitiveness in the metals distribution sector.
Revenue and Shipments
In Q4 2025, revenue was $1,104.8 million, declining 4.9% quarter-over-quarter but increasing 9.7% year-over-year. For the full year 2025, revenue totaled $4,571.3 million, slightly down 0.6% from 2024. Tons shipped were 461 thousand tons in Q4 2025, down 4.9% QoQ but up 3.1% YoY, while full-year shipments rose 0.5% to 1,947 thousand tons.
Pricing and Margins
The average selling price per ton in Q4 2025 was $2,397, essentially flat QoQ and up 6.3% YoY, while the full-year average price declined 1.1% to $2,348. Gross margin in Q4 2025 was 15.3%, down 190 basis points QoQ and 370 basis points YoY, reflecting margin pressure, while full-year gross margin fell 100 basis points to 17.1%. Excluding LIFO, Q4 gross margin was 17.3%, down QoQ but up YoY, and the full-year margin improved to 18.3%.
Operating Expenses
Warehousing, delivery, selling, general, and administrative expenses in Q4 2025 were $205.3 million, up 2.4% QoQ and 8.9% YoY. These expenses represented 18.6% of revenue in Q4 2025 compared with 17.3% in Q3 2025 and 18.7% in Q4 2024. For full-year 2025, operating expenses totaled $809.6 million, up 1.0% from 2024.
Profitability
Ryerson reported a net loss of $37.9 million in Q4 2025 compared with a $14.8 million loss in Q3 2025 and a $4.3 million loss in Q4 2024. The full-year net loss was $56.4 million, widening significantly from $8.6 million in 2024. Diluted loss per share in Q4 2025 was $1.18, while adjusted diluted loss per share was $1.01. Adjusted EBITDA excluding LIFO was $20.4 million in Q4 2025, down QoQ but nearly double YoY, and totaled $138.5 million for the year, up 21.4% from 2024.
Balance Sheet Highlights
Total debt stood at $463.1 million at the end of Q4 2025, down from $499.7 million in Q3 2025 and slightly lower than a year earlier. Cash and cash equivalents were $26.9 million, resulting in net debt of $436.2 million. Net debt to LTM adjusted EBITDA (excluding LIFO) improved to 3.1x, compared with 3.7x in Q3 2025 and 3.9x in Q4 2024.
Cash Flow and Working Capital
The cash conversion cycle improved to 68.3 days in Q4 2025 from 78.6 days in Q4 2024. Net cash provided by operating activities was $112.7 million in Q4 2025, compared with a $8.3 million outflow in Q3 2025 and $92.2 million inflow in Q4 2024. For full-year 2025, operating cash flow was $87.0 million, down from $204.9 million in 2024.
Management Commentary
Eddie Lehner, Chief Executive Officer & Director, stated that the year, including the fourth quarter, was characterized by asynchronous commodity price volatility combined with a contractionary demand environment, particularly among OEM program customers.
He noted that on February 13, 2026, the company successfully closed its merger with Olympic Steel, and he welcomed the Olympic Steel team as the combined organization begins working toward realizing the full potential of the merger for customers and stakeholders.
Lehner said that during the fourth quarter, supply-side mill prices increased at a faster pace than average selling prices, while buyers in the distribution channel continued to resist price increases amid restrained demand. He added that contract price resets lagged and spot transactional pricing stagnated, resulting in more acute margin compression than anticipated. Despite these challenges, he emphasized that the company met its top-line guidance and exceeded its net leverage and cash flow targets.
Looking ahead, he stated that in the first quarter of 2026, the company is seeing price increases begin to filter into a more favorable demand environment, with quote and order activity tracking well ahead of both year-over-year and sequential levels. As a result, he said the company anticipates a recovery in gross margins along with improved operating leverage and operating income in the first quarter of 2026.
Shareholder Return Activity
On February 13, 2026, the Board of Directors declared a quarterly cash dividend of $0.1875 per share, payable on March 19, 2026, to shareholders of record as of March 5, 2026. During the fourth quarter of 2025, the dividend represented a total cash return of $6.1 million. The company did not repurchase any shares during Q4 2025, and as of December 31, 2025, $38.4 million remained available under the existing share repurchase authorization.
Merger with Olympic Steel
On February 13, 2026, Ryerson successfully closed its merger with Olympic Steel after receiving all required approvals, including shareholder consent from both companies. Under the agreed exchange ratio of 1.7105, Olympic Steel shareholders received Ryerson shares and now own approximately 37% of the combined entity.
The newly combined company operates an expanded footprint of around 160 facilities, with broader processing capabilities and product offerings. The merger is expected to deliver approximately $120 million in annual run-rate synergies by early 2028, driven by procurement scale, operational efficiencies, commercial enhancements, and network optimization.
Outlook – Ryerson Standalone
For the first quarter of 2026, Ryerson expects relatively strong customer activity compared with recent years. Same-store shipments are projected to increase 13% to 15%, with average selling prices expected to be flat to up 2% quarter-over-quarter, resulting in anticipated net sales between $1.26 billion and $1.30 billion. The company expects gross margin expansion as higher fourth-quarter inventory costs are realized in first-quarter pricing. Improved demand conditions are expected to drive stronger operating leverage and generate net income of $10 million to $12 million before merger-related expenses.
Ryerson anticipates recording $6 million to $8 million of LIFO expense and generating Adjusted EBITDA (excluding LIFO) of $51 million to $54 million. While cash is expected to be used in the quarter to support working capital and merger-related outlays, management intends to continue prioritizing reductions in net leverage throughout the year.
Combined Company Outlook
The Olympic Steel business is expected to contribute incremental revenue of $260 million to $280 million during the final six weeks of the quarter, along with Adjusted EBITDA (excluding LIFO) of $12 million to $13 million. On a combined basis, the company anticipates reporting first-quarter 2026 revenue between $1.52 billion and $1.58 billion, with Adjusted EBITDA (excluding LIFO) in the range of $63 million to $67 million.
