Latest news with #WorthingtonSteel
Yahoo
7 days ago
- Business
- Yahoo
Worthington Steel Completes Acquisition of Controlling Equity Stake in Italy-Based Sitem Group
COLUMBUS, Ohio, June 03, 2025--(BUSINESS WIRE)--Worthington Steel, Inc. (NYSE: WS) ("Worthington Steel" or the "Company") announced today that it has completed the acquisition of a controlling equity stake in Italy-based Sitem S.p.A. (together with its subsidiaries, Stanzwerk AG, Decoup S.A.S. and Sitem Slovakia spol. s r.o., "Sitem Group") through its subsidiary, Tempel Steel Company, LLC ("Tempel"). Worthington Steel now holds an approximately 52% stake in Sitem Group, with the option to increase ownership in the future. "This marks a significant step in our strategic growth plan, enhancing our position in the European electric motor lamination market and strengthening our ability to support global automotive, industrial motor and transformer customers," said Geoff Gilmore, Worthington Steel president and CEO. "Sitem Group shares our commitment to quality, innovation and customer focus, and we are excited to build on our shared success." Sitem Group, one of Europe's largest producers of electric motor laminations, operates six manufacturing facilities across Italy, Switzerland, Slovakia and France. The company will continue to be led by its existing leadership team, including Chairman Fabrizio Scarca, CEO Marco Bartoloni and Chief Purchasing Officer Gabriella Scarca, from its headquarters in Trevi, Italy. The transaction included a combination of cash investment, the acquisition of shares from existing shareholders and the contribution of Worthington Steel's Nagold, Germany facility. This strategic investment supports Worthington Steel's long-term goal of expanding its presence in high-value electrical steel applications. About Sitem S.p.A. Founded in 1974, Sitem Group is headquartered and has one of its manufacturing facilities in Trevi, Perugia, Italy with two additional manufacturing facilities of Sitem S.p.A. in Milan, Italy, of Stanzwerk AG in Unterentfelden, Switzerland, of Sitem Slovakia spol. s r.o in Spišská Nová Ves, Slovakia and of Decoup S.A.S. in Villenaux-La-Grande, France. About Worthington Steel Worthington Steel (NYSE:WS) is a metals processor that partners with customers to deliver highly technical and customized solutions. Worthington Steel's expertise in carbon flat-roll steel processing, electrical steel laminations and tailor welded solutions are driving steel toward a more sustainable future. As one of the most trusted metals processors in North America, Worthington Steel and its approximately 6,000 employees harness the power of steel to advance our customers' visions through value-added processing capabilities including galvanizing, pickling, configured blanking, specialty cold reduction, lightweighting and electrical lamination. Headquartered in Columbus, Ohio, Worthington Steel operates 38 facilities in seven states and 10 countries. Following a people-first Philosophy, commitment to sustainability and proven business system, Worthington Steel's purpose is to generate positive returns by providing trusted and innovative solutions for customers, creating opportunities for employees and strengthening its communities. Safe Harbor Statement This press release includes forward-looking statements, including forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements regarding the Company's proposed acquisition of a controlling equity stake in Sitem Group, the expected timeline for completing the transaction, the anticipated benefits of the transaction to the Company's business and financial results, strategies, outlook, prospects, plans, objectives, expectations, future events and other statements that are not historical or current fact. Forward-looking statements are based on the Company's current expectations and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such forward-looking statements. Factors that could cause the Company's results to differ materially from current expectations include, but are not limited to, risks and uncertainties regarding the Company's and Sitem Group's respective businesses and the proposed acquisition, and actual results may differ materially. These risks and uncertainties include, but are not limited to, (i) the ability of the parties to successfully complete the proposed acquisition on the anticipated terms and timing, including obtaining required regulatory approvals and other conditions to the completion of the acquisition, (ii) the financing arrangements relating to the acquisition, (iii) the effects of the transaction on the Company's and Sitem Group's operations, including on the combined company's future financial condition and performance, operating results, strategy and plans, including anticipated tax treatment, unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, losses, future prospects, and business and management strategies for the management, expansion and growth of the new combined company's operations, (iv) the potential impact of the announcement or consummation of the proposed acquisition on relationships with customers, suppliers and other third parties, and (v) the other factors detailed in the Company's reports filed with the U.S. Securities and Exchange Commission (the "SEC"), including its most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q under the caption "Risk Factors," as well as the other risks discussed in the Company's filings with the SEC. In addition, these statements are based on assumptions that are subject to change. This press release speaks only as of the date hereof. The Company disclaims any duty to update the information herein. View source version on Contacts Melissa DykstraVice PresidentCorporate Communications and Investor RelationsPhone: Sign in to access your portfolio
Business Wire
7 days ago
- Business
- Business Wire
Worthington Steel Completes Acquisition of Controlling Equity Stake in Italy-Based Sitem Group
COLUMBUS, Ohio--(BUSINESS WIRE)--Worthington Steel, Inc. (NYSE: WS) ('Worthington Steel' or the 'Company') announced today that it has completed the acquisition of a controlling equity stake in Italy-based Sitem S.p.A. (together with its subsidiaries, Stanzwerk AG, Decoup S.A.S. and Sitem Slovakia spol. s r.o., 'Sitem Group') through its subsidiary, Tempel Steel Company, LLC ('Tempel'). Worthington Steel now holds an approximately 52% stake in Sitem Group, with the option to increase ownership in the future. 'This marks a significant step in our strategic growth plan, enhancing our position in the European electric motor lamination market and strengthening our ability to support global automotive, industrial motor and transformer customers,' said Geoff Gilmore, Worthington Steel president and CEO. 'Sitem Group shares our commitment to quality, innovation and customer focus, and we are excited to build on our shared success.' Sitem Group, one of Europe's largest producers of electric motor laminations, operates six manufacturing facilities across Italy, Switzerland, Slovakia and France. The company will continue to be led by its existing leadership team, including Chairman Fabrizio Scarca, CEO Marco Bartoloni and Chief Purchasing Officer Gabriella Scarca, from its headquarters in Trevi, Italy. The transaction included a combination of cash investment, the acquisition of shares from existing shareholders and the contribution of Worthington Steel's Nagold, Germany facility. This strategic investment supports Worthington Steel's long-term goal of expanding its presence in high-value electrical steel applications. About Sitem S.p.A. Founded in 1974, Sitem Group is headquartered and has one of its manufacturing facilities in Trevi, Perugia, Italy with two additional manufacturing facilities of Sitem S.p.A. in Milan, Italy, of Stanzwerk AG in Unterentfelden, Switzerland, of Sitem Slovakia spol. s r.o in Spišská Nová Ves, Slovakia and of Decoup S.A.S. in Villenaux-La-Grande, France. About Worthington Steel Worthington Steel (NYSE:WS) is a metals processor that partners with customers to deliver highly technical and customized solutions. Worthington Steel's expertise in carbon flat-roll steel processing, electrical steel laminations and tailor welded solutions are driving steel toward a more sustainable future. As one of the most trusted metals processors in North America, Worthington Steel and its approximately 6,000 employees harness the power of steel to advance our customers' visions through value-added processing capabilities including galvanizing, pickling, configured blanking, specialty cold reduction, lightweighting and electrical lamination. Headquartered in Columbus, Ohio, Worthington Steel operates 38 facilities in seven states and 10 countries. Following a people-first Philosophy, commitment to sustainability and proven business system, Worthington Steel's purpose is to generate positive returns by providing trusted and innovative solutions for customers, creating opportunities for employees and strengthening its communities. Safe Harbor Statement This press release includes forward-looking statements, including forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements regarding the Company's proposed acquisition of a controlling equity stake in Sitem Group, the expected timeline for completing the transaction, the anticipated benefits of the transaction to the Company's business and financial results, strategies, outlook, prospects, plans, objectives, expectations, future events and other statements that are not historical or current fact. Forward-looking statements are based on the Company's current expectations and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such forward-looking statements. Factors that could cause the Company's results to differ materially from current expectations include, but are not limited to, risks and uncertainties regarding the Company's and Sitem Group's respective businesses and the proposed acquisition, and actual results may differ materially. These risks and uncertainties include, but are not limited to, (i) the ability of the parties to successfully complete the proposed acquisition on the anticipated terms and timing, including obtaining required regulatory approvals and other conditions to the completion of the acquisition, (ii) the financing arrangements relating to the acquisition, (iii) the effects of the transaction on the Company's and Sitem Group's operations, including on the combined company's future financial condition and performance, operating results, strategy and plans, including anticipated tax treatment, unforeseen liabilities, future capital expenditures, revenues, expenses, earnings, synergies, economic performance, indebtedness, losses, future prospects, and business and management strategies for the management, expansion and growth of the new combined company's operations, (iv) the potential impact of the announcement or consummation of the proposed acquisition on relationships with customers, suppliers and other third parties, and (v) the other factors detailed in the Company's reports filed with the U.S. Securities and Exchange Commission (the 'SEC'), including its most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q under the caption 'Risk Factors,' as well as the other risks discussed in the Company's filings with the SEC. In addition, these statements are based on assumptions that are subject to change. This press release speaks only as of the date hereof. The Company disclaims any duty to update the information herein.
Yahoo
31-05-2025
- Business
- Yahoo
Are Worthington Steel, Inc.'s (NYSE:WS) Mixed Financials Driving The Negative Sentiment?
It is hard to get excited after looking at Worthington Steel's (NYSE:WS) recent performance, when its stock has declined 6.6% over the past three months. It is possible that the markets have ignored the company's differing financials and decided to lean-in to the negative sentiment. Stock prices are usually driven by a company's financial performance over the long term, and therefore we decided to pay more attention to the company's financial performance. Specifically, we decided to study Worthington Steel's ROE in this article. Return on Equity or ROE is a test of how effectively a company is growing its value and managing investors' money. In other words, it is a profitability ratio which measures the rate of return on the capital provided by the company's shareholders. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. ROE can be calculated by using the formula: Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for Worthington Steel is: 10% = US$118m ÷ US$1.1b (Based on the trailing twelve months to February 2025). The 'return' is the income the business earned over the last year. So, this means that for every $1 of its shareholder's investments, the company generates a profit of $0.10. View our latest analysis for Worthington Steel We have already established that ROE serves as an efficient profit-generating gauge for a company's future earnings. We now need to evaluate how much profit the company reinvests or "retains" for future growth which then gives us an idea about the growth potential of the company. Assuming all else is equal, companies that have both a higher return on equity and higher profit retention are usually the ones that have a higher growth rate when compared to companies that don't have the same features. When you first look at it, Worthington Steel's ROE doesn't look that attractive. Yet, a closer study shows that the company's ROE is similar to the industry average of 12%. Having said that, Worthington Steel's five year net income decline rate was 8.4%. Remember, the company's ROE is a bit low to begin with. Hence, this goes some way in explaining the shrinking earnings. That being said, we compared Worthington Steel's performance with the industry and were concerned when we found that while the company has shrunk its earnings, the industry has grown its earnings at a rate of 11% in the same 5-year period. Earnings growth is a huge factor in stock valuation. It's important for an investor to know whether the market has priced in the company's expected earnings growth (or decline). This then helps them determine if the stock is placed for a bright or bleak future. Is Worthington Steel fairly valued compared to other companies? These 3 valuation measures might help you decide. Worthington Steel's low three-year median payout ratio of 19% (or a retention ratio of 81%) over the last three years should mean that the company is retaining most of its earnings to fuel its growth but the company's earnings have actually shrunk. The low payout should mean that the company is retaining most of its earnings and consequently, should see some growth. So there could be some other explanations in that regard. For example, the company's business may be deteriorating. Additionally, Worthington Steel started paying a dividend only recently. So it looks like the management may have perceived that shareholders favor dividends even though earnings have been in decline. Based on the latest analysts' estimates, we found that the company's future payout ratio over the next three years is expected to hold steady at 18%. As a result, Worthington Steel's ROE is not expected to change by much either, which we inferred from the analyst estimate of 12% for future ROE. On the whole, we feel that the performance shown by Worthington Steel can be open to many interpretations. Even though it appears to be retaining most of its profits, given the low ROE, investors may not be benefitting from all that reinvestment after all. The low earnings growth suggests our theory correct. That being so, the latest industry analyst forecasts show that the analysts are expecting to see a huge improvement in the company's earnings growth rate. Are these analysts expectations based on the broad expectations for the industry, or on the company's fundamentals? Click here to be taken to our analyst's forecasts page for the company. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
09-05-2025
- Business
- Yahoo
Here's Why Worthington Steel (WS) Offers Attractive Value
Springview Capital Management, an investment management company, released its first quarter 2025 investor letter. A copy of the letter can be downloaded here. Springview Partnership returned –1.8% net of fees compared to a –4.3% decline in the S&P 500 Index and a –10.2% decline in the Nasdaq Composite. The firm's long investments detracted around –2.7% while shorts and hedges contributed about +1.3%. For more information on the fund's top picks in 2025, please check its top five holdings. In its first-quarter 2025 investor letter, Springview Capital Management highlighted stocks such as Worthington Steel, Inc. (NYSE:WS). Worthington Steel, Inc. (NYSE:WS) is a North America-based steel processor. The one-month return of Worthington Steel, Inc. (NYSE:WS) was 11.04%, and its shares lost 18.48% of their value over the last 52 weeks. On May 8, 2025, Worthington Steel, Inc. (NYSE:WS) stock closed at $26.16 per share with a market capitalization of $1.327 billion. Springview Capital Management stated the following regarding Worthington Steel, Inc. (NYSE:WS) in its Q1 2025 investor letter: "Worthington Steel, Inc. (NYSE:WS) is a recent spinoff in steel processing. The company serves cyclical end markets like autos and construction, both of which have been under pressure over the last 6–9 months. Earnings have followed suit. While WS is not our typical high-quality compounder, it offers compelling attributes: strong customer relationships, exposure to secular growth areas like electrical steel, a near-debt-free balance sheet, and a culture of operational excellence. A close up of a specialized steel product that is being processed in a manufacturing plant. Worthington Steel, Inc. (NYSE:WS) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 11 hedge fund portfolios held Worthington Steel, Inc. (NYSE:WS) at the end of the fourth quarter which was 16 in the previous quarter. In the third quarter of fiscal 2025, Worthington Steel, Inc. (NYSE:WS) posted earnings of $13.8 million, equating to $0.27 per share, compared to earnings of $49 million, or $0.98 per share, during the same quarter last year. While we acknowledge the potential of Worthington Steel, Inc. (NYSE:WS) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. In another article, we covered Worthington Steel, Inc. (NYSE:WS) and shared the list of best steel stocks to buy according to billionaires. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors. READ NEXT: Michael Burry Is Selling These Stocks and A New Dawn Is Coming to US Stocks. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
13-04-2025
- Business
- Yahoo
Worthington Steel Third Quarter 2025 Earnings: Misses Expectations
Revenue: US$687.4m (down 15% from 3Q 2024). Net income: US$13.8m (down 72% from 3Q 2024). Profit margin: 2.0% (down from 6.1% in 3Q 2024). The decrease in margin was driven by lower revenue. EPS: US$0.28 (down from US$0.99 in 3Q 2024). Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. All figures shown in the chart above are for the trailing 12 month (TTM) period Revenue missed analyst estimates by 3.4%. Earnings per share (EPS) also missed analyst estimates by 6.9%. Looking ahead, revenue is forecast to grow 1.9% p.a. on average during the next 3 years, compared to a 4.4% growth forecast for the Metals and Mining industry in the US. Performance of the American Metals and Mining industry. The company's shares are up 4.4% from a week ago. Before you take the next step you should know about the 1 warning sign for Worthington Steel that we have uncovered. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
