Universal Stainless Expects Gradual Recovery of Meaningful Market Demand
04/26/2013 - Universal Stainless & Alloy Products, Inc. announced that, based on preliminary results, it expects sales for the first quarter of 2013 to approximate US$49 million and for operating income and net income to be at the break-even level.
Universal Stainless & Alloy Products, Inc. announced that, based on preliminary results, it expects sales for the first quarter of 2013 to approximate US$49 million and for operating income and net income to be at the break-even level. The company plans to report full first quarter results on Wednesday, 1 May 2013.
Chairman, president and CEO Dennis Oates commented, "While our first quarter sales increased 4% on 8% higher shipment volume compared with the 2012 fourth quarter, production activity levels remain well below normal, reducing our margins. In addition, our operating costs now reflect increased depreciation expense related to our North Jackson facility, with equipment commissioning there now being essentially complete.
"We continue to expect that recovery of meaningful market demand will be gradual as we proceed through the year. In the meantime, we are beginning to receive customer approvals for our VIM-melted products, which is an essential step to realizing the substantial potential of North Jackson and to shift the mix of our sales toward higher margin premium alloys as planned."
Universal Stainless & Alloy Products, Inc., headquartered in Bridgeville, Pa., manufactures and markets semi-finished and finished specialty steels, including stainless steel, tool steel and certain other alloyed steels. The Company's products are used in a variety of industries, including aerospace, power generation, petrochemical and heavy equipment manufacturing. Established in 1994, our experience, technical expertise, and dedicated workforce stand committed to providing the best quality, delivery, and service possible.
