Algoma Steel reports Q1 EPS 85c vs. $1.49 last year

Reports Q1 revenue $827.2M, consensus $790.8M. Michael Garcia, the Company’s Chief Executive Officer, commented, “Thanks to the dedicated efforts of our employees, we delivered results that were modestly ahead of our previously disclosed outlook. We also made substantial progress on our transformative EAF project, deploying the next $74 million in the quarter to bring the cumulative total invested at June 30, 2023, to $341 million, or roughly 40% of the total expected cost, funded from existing excess cash from operations, as well as draws on committed project loan facilities. We expect to fund the remainder of the project with a combination of cash on hand, availability under our federal Strategic Innovation Fund (SIF) loan, drawdown of excess working capital, and expected cash flows from operations. We are uniquely positioned to simultaneously deliver strong financial results from our existing portfolio while advancing towards EAF commissioning, expected at the end of 2024.”