Steel Technologies Inc. reported record net income of $10.5 million on record sales of $232.0 million for the third quarter, and record net income of $19.8 million on record sales of $547.7 million for the nine months ended June 30, 2004.

Third Quarter Results—Net income, a record $10.5 million ($0.81 per diluted share), compares with net income of $1.0 million ($0.10 per diluted share) in the year-earlier quarter, on approximately 32% more weighted average diluted shares outstanding. This resulted from the company's successful completion of a secondary stock offering of 2.9 million shares in March. Record sales of $232.0 million represent a 79% increase from $129.6 million for the same period a year ago.

Nine-Month Results—Year-to-date net income for fiscal 2004, a record $19.8 million ($1.80 per diluted share) compares with $6.8 million ($0.68 per diluted share) in the first nine months of fiscal 2003, on approximately 11% more weighted average diluted shares outstanding. Sales rose 42% to a record $547.7 million from $385.8 million for the same period last year.

Comments—"Our marketing strategies and expanded capabilities have resulted in new business growth that continued through the third quarter," said Bradford T. Ray, Chairman and CEO. "We achieved record performance and improved volume across all facilities and regions as a result of broader market penetration and the improving economic environment.

"Our record tonnage shipped in the third quarter increased 45% over last year," added Mr. Ray. "Recent investments have us well positioned to manage these higher volumes, and our financial performance reflects the positive impact from the increased throughput. We expect to close the year with another strong quarter as we continue to execute our market strategies.

"Our Mi-Tech Steel joint venture experienced substantial growth during the quarter. Sales increased 52% over year-earlier levels, fueling a significantly improved contribution to our earnings," Mr. Ray concluded.

Steel Technologies processes flat-rolled steel to specific thickness, width, temper, finish and shape requirements for automotive, appliance, lawn and garden, office furniture, agriculture, railcar, construction, hardware, and consumer goods. The company has 21 facilities, including its joint-venture operations, located throughout the United States and Mexico.