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Universal Stainless & Alloy Products (USAP) investor relations material
Universal Stainless & Alloy Products Q3 2024 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Net sales for Q3 2024 reached a record $87.3 million, up 22% year-over-year and 5% sequentially, driven by strong aerospace and premium alloy sales.
Net income for Q3 2024 was $11.1 million ($1.11 per diluted share), up from $1.9 million in Q3 2023 and $8.9 million in Q2 2024.
Aerospace sales accounted for $71.4 million (82% of Q3 sales), up 32% year-over-year.
Premium alloy sales hit a record $23.7 million, up 44% from Q3 2023.
On October 17, 2024, a definitive merger agreement was announced for acquisition by Aperam S.A., expected to close in Q1 2025.
Financial highlights
Q3 2024 gross margin was $22.0 million (25.2% of sales), up from $10.9 million (15.2%) in Q3 2023.
Operating income for Q3 2024 was $13.0 million, nearly triple Q3 2023.
Adjusted EBITDA for Q3 was $19.3 million (22.1% of sales), double Q3 2023.
For the nine months ended September 30, 2024, net sales were $247.6 million, up 20% year-over-year.
Net cash from operations in Q3 was $11.9 million, used for capex and reducing net debt by $9.0 million sequentially.
Outlook and guidance
Premium alloy sales are expected to continue growing, supported by robust aerospace and defense demand.
Company backlog at September 30, 2024 was $260.1 million, indicating strong future sales.
Forward-looking statements highlight risks related to the pending merger with Aperam, regulatory approvals, and integration challenges.
No Q3 earnings call or webcast due to the pending transaction with Aperam.
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