Commercial Metals Company (CMC) Q3 2025 earnings summary

Executive summary

• Q3 FY2025 net earnings were $83.1 million ($0.73 per diluted share), with adjusted earnings of $84.4 million ($0.74 per share), and consolidated core EBITDA of $204.1 million at a 10.1% margin, reflecting sequential improvement and strong execution of strategic initiatives.

• North American construction and industrial activity remained resilient, supporting year-over-year growth in finished steel shipments and sequential margin recovery.

• Europe Steel Group exceeded breakeven, with shipment volumes up 20.9% year-over-year and improved cost management.

• Emerging Businesses Group profitability improved year-over-year, with adjusted EBITDA margin rising to 20.7%.

• Maintained a strong balance sheet and cash flow, enabling flexible capital allocation and continued shareholder returns.

Financial highlights

• Q3 FY2025 net earnings declined from $119.4 million ($1.02 per share) in the prior year period, with adjusted EBITDA falling to $204.1 million from $256.1 million year-over-year; core EBITDA margin dropped to 10.1% from 12.3%.

• Q3 finished steel shipments were 1,512K tons, up from 1,432K tons in Q3 FY24.

• Cash and equivalents at quarter end: $893 million; total liquidity over $1.7 billion.

• Share repurchases totaled $50.4 million for 1,113,014 shares; $254.9 million remains under authorization.

• Quarterly dividend of $0.18 per share declared, marking the 243rd consecutive payment.

Outlook and guidance

• Q4 FY2025 consolidated results expected to improve sequentially, with higher steel product margins and increased adjusted EBITDA margin in North America.

• Emerging Businesses Group and Europe Steel Group are both expected to see sequential and year-over-year improvement, with Europe Steel Group to receive a $28 million CO2 credit in Q4.

• FY2025 capital spending forecast reduced to $425–$475 million due to timing of West Virginia project expenditures.

• Long-term outlook remains positive, driven by infrastructure investment, reshoring, AI, energy transition, and housing demand.