Headline: Reliance Steel Surpasses Revenue Expectations, Shares Climb

SCOTTSDALE, Ariz. - Reliance Steel & Aluminum Co. (NYSE:RS) reported its third-quarter earnings, which came in slightly below expectations but exceeded revenue forecasts, causing shares to rise by 1.58% in early trading on Thursday. The metal solutions provider posted an adjusted earnings per share of $3.64, falling short of the analyst expectation of $3.67. However, revenue was $3.42 billion, surpassing the anticipated $3.38 billion.

Reliance's sales fell 5.6% year-over-year, while the tons sold increased by 7.1% compared to the same quarter last year. The company attributed higher shipments to strategic growth efforts, which helped offset lower metal prices. CEO Karla Lewis stated, "Our businesses continued to perform well in challenging market conditions in the third quarter, once again outpacing the industry in shipments while maintaining a gross profit margin within our sustainable range."

For the fourth quarter, Reliance forecasts adjusted earnings per share between $2.65 and $2.85, below the analyst expectation of $3.41. The company anticipates shipments to decrease sequentially by 6-8% due to normal seasonality and economic uncertainty.

Throughout the quarter, the company generated $463.9 million in operating cash flow and repurchased $432 million worth of shares. Reliance maintained its quarterly dividend of $1.10 per share.