ZEUS Earnings Prediction
The chart below shows how ZEUS performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ZEUS sees a +1.19% change in stock price 10 days leading up to the earnings, and a +0.87% change 10 days following the report. On the earnings day itself, the stock moves by -0.99%. This data can give you a slight idea of what to expect for the next quarter's release.
ZEUS Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
470.00M
-10.72%
-10.69%
Gross Margin
14.02%
-6.35%
-5.72%
Operating Margin
1.24%
-71.49%
-53.73%
Net Margin
0.58%
-75.00%
-60.27%
EPS
0.23
-78.30%
-65.15%
No Data Available
ZEUS Earnings Analysis
Olympic Steel, Inc. Corporation (ZEUS.O) Earnings Conference Call
Positive
Resilient EBITDA Performance: Despite challenging macroeconomic trends, Olympic Steel generated $15 million in EBITDA on $470 million of sales in Q3 2024, demonstrating resilience across all three segments.
Debt Reduction and Stability: The company reduced its total debt by approximately $12 million to $197 million, enhancing its financial stability and flexibility for future investments.
Specialty Metals EBITDA Growth: Olympic Steel's Specialty Metals segment contributed $5.9 million in EBITDA, gaining market share in stainless and aluminum despite lower stainless surcharges.
Quarterly Dividend Payment: The company paid a quarterly dividend of $0.15 per share in Q3 2024, continuing a trend of regular dividends since 2006 and reflecting commitment to shareholder returns.
Capital Expenditures Overview: Capital expenditures for the first three quarters of 2024 totaled $22.3 million, with an estimated $30 million planned for the year, focusing on automation and higher-return opportunities.
Negative
Net Income Decline: 1. Declining Net Income: Net income for Q3 2024 was $2.7 million, a significant drop from $12.2 million in Q3 2023, indicating a 77.8% year-over-year decline.
Decline in EBITDA: 2. Reduced EBITDA: EBITDA decreased to $15 million in Q3 2024 from $27.1 million in the same quarter last year, reflecting a 44.5% decline in profitability.
Operating Expenses Increase: 3. Increased Operating Expenses: Consolidated operating expenses rose to $99 million in Q3 2024, up from $91 million in Q3 2023, primarily due to the addition of Central Tube & Bar's operating expenses.
Increased Tax Burden: 4. Higher Effective Tax Rate: The effective income tax rate increased to 30% in Q3 2024 compared to 27.7% in the same period last year, which could further impact net income.
Carbon Segment Volume Decline: 5. Volume Decline in Carbon Segment: The Carbon segment experienced a volume decline greater than the normal seasonal drop, attributed to lower demand from OEM customers, particularly in the heavy equipment sector.
ZEUS FAQs
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ZEUS Earning Call Sentiment
Olympic Steel, Inc. (ZEUS) Q3 2024 Earnings Call Transcript
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ZEUS.O
-4.1%Positive
The earnings call reflects mixed signals. Financial performance is weak, with declining net income and EBITDA, but the company maintains a positive long-term outlook and continues dividends. The Q&A indicates cautious optimism, with plans for M&A and internal investments to boost profitability. However, macroeconomic headwinds and pricing pressures pose risks. The neutral rating reflects the balance of these factors, with no strong catalysts for short-term stock movement.
