Ryerson Holding Corp

Previous wording

Ryerson Holding is the acquirer of Olympic Steel under U.S. generally accepted accounting principles (“GAAP”), and as a result, our Condensed Consolidated Financial Statements for periods prior to the Closing Date do not include the results of operations, financial position, or cash flows of Olympic Steel. The results of operations of Olympic Steel are included in our Condensed Consolidated Financial Statements only from the Closing Date forward. Accordingly, our results of operations, financial condition, and cash flows after the Closing Date are not comparable to prior periods due to the inclusion of Olympic Steels’s results from the Closing Date. Throughout this document, where relevant, we identify the impact of Olympic Steel and separately provide "same store" information, which excludes Olympic Steel, to provide investors with additional insight into the operating performance of the legacy Ryerson business. Readers should consider both reported results and same-store results when evaluating period-over-period trends.

Current wording

Ryerson Holding is the acquirer of Olympic Steel under U.S. generally accepted accounting principles (“GAAP”), and as a result, our Condensed Consolidated Financial Statements for periods prior to the Closing Date do not include the results of operations, financial position, or cash flows of Olympic Steel. The results of operations of Olympic Steel are included in our Condensed Consolidated Financial Statements only from the Closing Date forward. Accordingly, our results of operations, financial condition, and cash flows after the Closing Date are not comparable to prior periods due to the inclusion of Olympic Steel’s results from the Closing Date. Throughout this document, where relevant, we identify the impact of Olympic Steel and separately provide "same-store" information, which excludes Olympic Steel, to provide investors with additional insight into the operating performance of the legacy Ryerson business. Readers should consider both reported results and same-store results when evaluating period-over-period trends. Olympic Steel contributed significantly to our reported results during the periods presented following the Closing Date. For further information, including purchase accounting impacts, please refer to Note 6: Acquisitions and Note 10: Segment Information in Part I, Item 1 - Notes to Condensed Consolidated Financial Statements.

Previous wording

The metals service center industry is cyclical, volatile in demand and pricing, and difficult to predict. In the second quarter of 2026, Ryerson’s average selling prices increased by 4.5% while shipments increased by 22.6%, or 4.0% excluding Olympic Steel ("same-store"), compared to the first quarter of 2026. Average selling price increases were supported by U.S. industrial metals prices reaching multi-year highs during the quarter as carbon pricing was driven by tight domestic supply, extended lead times, cyclical momentum, and restocking activity. Aluminum prices and Midwest Premiums also rose meaningfully during the quarter, largely due to supply disruptions in the Middle East, while nickel prices remained volatile in response to Indonesian quotas.

Current wording

The metals service center industry is cyclical, volatile in demand and pricing, and difficult to predict. In the third quarter of 2026, Ryerson’s average selling prices increased by 7.2% while shipments increased by 1.2%, or 1.8% excluding Olympic Steel (on a "same-store" basis), compared to the second quarter of 2026. Higher average selling prices were supported by tariff enforcement, resilient manufacturing demand, and constrained domestic supply of carbon products. Aluminum prices and Midwest Premiums also rose meaningfully during the quarter amid continued supply disruptions in the Middle East. Nickel prices, however, faced downward pressure following the easing of Indonesian mining restrictions. Year-over-year on a same-store basis, Ryerson's average selling prices have increased by 18.7% and tons shipped have increased by 14.2%.

Previous wording

According to the Metal Service Center Institute ("MSCI"), North American service center volumes increased by 2.9% in the first half of 2026 compared to the first half of 2025, supported by improved manufacturing demand. Ryerson's North American same-store volumes, by comparison, increased by 5.8% in the same periods, implying market share gains with particular relative strength in carbon products.

Current wording

According to the Metal Service Center Institute ("MSCI"), North American service center volumes increased by 5.0% in the first nine months of 2026 compared to the first nine months of 2025, supported by improved manufacturing demand. Ryerson's North American same-store volumes, by comparison, increased by 8.8% in the same periods, implying market share gains.

Previous wording

Increases in second quarter year-over-year North American same-store shipments were supported by relative strength in nearly all of our end-markets, led by strongest growth in our fabrication and welding sector, followed by growth in our machinery and equipment, machine shop, climate, and heavy equipment sectors. The only end-market that offset this year-over-year growth was our commercial transportation sector, however, we did experience improved shipment volume from commercial transportation on a sequential quarter-over quarter-basis.

Current wording

Increases in third quarter year-over-year North American same-store shipments were supported by relative strength in each of our end-markets, led by strongest volume growth in our fabrication and welding sector, followed by growth in our machinery and equipment and climate sectors. These sectors were among our fastest-growing North American same-store end markets on a sequential basis as well, supported in part by customers serving data center and power generation applications.

Previous wording

Improved demand conditions in the first six months of 2026 were supported by data points from the Institute for Supply Management’s Purchasing Managers’ Index (“PMI”), a key steel industry economic indicator. Monthly readings during the second quarter continued to be over the growth threshold of 50, establishing a six-month streak of expansionary activity. This growth trend contrasts the contractionary trend of the previous three years, during which readings were below 50 for nearly each of those 36 months.

Current wording

Improved demand conditions in the first nine months of 2026 were supported by data points from the Institute for Supply Management’s Purchasing Managers’ Index (“PMI”), a key steel industry economic indicator. Monthly readings during the third quarter continued to be over the growth threshold of 50, establishing a nine-month streak of expansionary activity. This growth trend contrasts the contractionary trend of the previous three years, during which readings were below 50 for nearly each of those 36 months.

Previous wording

First Six Months 2026 vs. First Six Months 2025 Performance, Total Company

Current wording

First Nine Months 2026 vs. First Nine Months 2025 Performance, Total Company

Previous wording

To provide greater insight into the Company’s operating trends apart from the period’s one-time transactions, Ryerson provides adjusted net income (loss) and adjusted diluted earnings (loss) per share figures, which are not GAAP financial measures, to complement the reported GAAP net income (loss) and diluted earnings (loss) per share figures. Management uses these metrics to assess year-over-year performance excluding non-recurring transactions. Adjusted net income (loss) and adjusted diluted earnings (loss) per share do not represent, and should not be used as a substitute for, net income (loss) or diluted earnings (loss) per share determined in accordance with GAAP. As illustrated in the below table, net income attributable to Ryerson Holding Corporation of $20.0 million in the first six months of 2026 includes $15.7 million of purchase accounting inventory adjustments, $6.8 million of advisory service fees related to the merger with Olympic Steel, impairment charges on assets of $0.9 million, and a gain of $0.6 million on an insurance settlement. In the first six months of 2025, the net loss attributable to Ryerson Holding Corporation of $3.7 million includes a $1.0 million gain on an insurance settlement and impairment charges on assets of $1.8 million. After adjusting for these non-core business transactions and the related income taxes in the first six months of 2026, the adjusted net income attributable to Ryerson Holding Corporation for the first six months of 2026 is $40.7 million compared to the $3.1 million adjusted net loss attributable to Ryerson Holding Corporation in the first six months of 2025.

Current wording

To provide greater insight into the Company’s operating trends apart from the period’s one-time transactions, Ryerson provides adjusted net income (loss) and adjusted diluted earnings (loss) per share figures, which are not GAAP financial measures, to complement the reported GAAP net income (loss) and diluted earnings (loss) per share figures. Management uses these metrics to assess year-over-year performance excluding non-recurring transactions. Adjusted net income (loss) and adjusted diluted earnings (loss) per share do not represent, and should not be used as a substitute for, net income (loss) or diluted earnings (loss) per share determined in accordance with GAAP. As illustrated in the below table, net income attributable to Ryerson Holding Corporation of $52.0 million in the first nine months of 2026 includes $19.7 million of purchase accounting inventory adjustments, $7.3 million of advisory service fees related to the merger with Olympic Steel, impairment charges on assets of $0.9 million, a gain of $2.1 million on an insurance settlement, and a gain of $2.4 million on a litigation settlement. In the first nine months of 2025, the net loss attributable to Ryerson Holding Corporation of $18.5 million includes a $1.0 million gain on an insurance settlement and impairment charges on assets of $1.9 million. After adjusting for these non-core business transactions and the related income taxes in the first nine months of 2026, the adjusted net income attributable to Ryerson Holding Corporation for the first nine months of 2026 is $73.1 million compared to the $17.8 million adjusted net loss attributable to Ryerson Holding Corporation in the first nine months of 2025.

Previous wording

Tariffs. During 2025 and 2026, the U.S. government increased and expanded tariffs imposed under Section 232 of the Trade Expansion Act of 1962, as amended (“Section 232”), on steel, aluminum, and certain derivative and downstream products. The current framework applies different tariff rates based on factors including product classification, country of origin, metal content, and applicable trade arrangements, and in certain cases applies tariffs to the full value of an imported product rather than only its metal content. The government has also continued to modify product coverage, preferential treatment, and documentation requirements.

Current wording

Tariffs. During 2025 and 2026, the U.S. government increased and expanded tariffs imposed under Section 232 of the Trade Expansion Act of 1962, as amended (“Section 232”), on steel, aluminum, copper, and certain derivative and downstream products. The applicable tariff treatment varies based on product classification, country of origin, metal content, and applicable trade arrangements and exemptions. Certain tariffs apply to the full customs value of an imported product rather than only its metal content.

Previous wording

On February 20, 2026, the U.S. Supreme Court held that the International Emergency Economic Powers Act did not authorize the tariffs imposed under that statute. The ruling did not affect tariffs imposed under Section 232. The U.S. government has continued to pursue tariffs and other trade restrictions under Section 232 and other statutory authorities, contributing to continued uncertainty regarding the scope and duration of U.S. trade policy.

Current wording

Although the U.S. Supreme Court’s February 20, 2026 ruling invalidated tariffs imposed under the International Emergency Economic Powers Act, the ruling did not affect Section 232 tariffs. The U.S. government has continued to pursue tariffs and other trade restrictions under other statutory authorities, contributing to uncertainty regarding the scope and duration of U.S. trade policy.

Previous wording

The tariffs introduce uncertainty towards customers' supply chains and may adversely affect end-market demand as customers may defer orders, reduce inventory levels, or adjust sourcing strategies in response. A significant majority of the Company’s metal purchases are domestic, therefore, the impact of tariffs on the Company’s financial statements has not been significant to date. In general, we attempt to pass the cost of tariffs on to customers to the extent possible. However, we may not be able to fully pass through tariff-related cost increases in all market conditions. While tariffs have helped to level the price between import and domestic purchases, customers are still reviewing their supply chains to determine which approach is best. The ultimate consumer of the goods and their geography play a significant role in determining which inputs are acceptable to manufacturers. The ultimate impact the tariffs will have on our financial position, results of operations, and cash flows remains to be determined.

Current wording

The tariffs introduce uncertainty towards customers' supply chains and may adversely affect end-market demand as customers may defer orders, reduce inventory levels, or adjust sourcing strategies in response. A significant majority of the Company’s metal purchases are domestic, therefore, the impact of tariffs on the Company’s financial statements has not been significant to date. In general, we attempt to pass the cost of tariffs on to customers to the extent possible. However, we may not be able to fully pass through tariff-related cost increases in all market conditions. While tariffs have allowed domestic mills to increase their prices while still allowing a flow of essential import material into the market, customers are still reviewing their supply chains to determine which approach is best for them. The ultimate consumer of the goods and their geography play a significant role in determining which inputs are acceptable to manufacturers. The ultimate impact the tariffs will have on our financial position, results of operations, and cash flows remains to be determined.

Previous wording

Iran Conflict. In addition, the ongoing conflict involving Iran and related attacks on commercial shipping in and around the Strait of Hormuz have disrupted maritime transportation and increased uncertainty regarding global supply chains. The duration of the conflict and the extent of its longer-term effects on the availability, cost, and timing of materials remain uncertain. To mitigate these risks, the Company has reduced its exposure to suppliers and shipping routes in the affected region where practicable and is evaluating alternative sources of supply.

Current wording

Iran Conflict. The ongoing conflict involving Iran and related attacks on commercial vessels in the Persian Gulf, Strait of Hormuz, and Gulf of Oman have continued to disrupt maritime transportation and create uncertainty regarding global supply chains and energy markets. These conditions may affect the availability, cost, and timing of materials and increase fuel, freight, and insurance costs, including for supply chains outside the affected region. The duration of the conflict and the extent of its effects remain uncertain. To mitigate these risks, the Company has reduced its exposure to suppliers and shipping routes in the affected region where practicable and is evaluating alternative sources of supply.

Previous wording

The following table sets forth our condensed consolidated statements of income (loss) data for the three-month and six-month periods ended June 30, 2026 and 2025 (certain percentages may not calculate due to rounding):

Current wording

The following table sets forth our condensed consolidated statements of income (loss) data for the three-month and nine-month periods ended September 30, 2026 and 2025 (certain percentages may not calculate due to rounding):

Previous wording

The following charts show the Company’s percentage of sales by major product lines for the six months ended June 30, 2026 and 2025:

Current wording

The following charts show the Company’s percentage of sales by major product lines for the nine months ended September 30, 2026 and 2025:

Previous wording

Revenue for the three-month and six-month periods ended June 30, 2026 increased from the same periods a year ago due to higher tons sold as a result of the merger with Olympic Steel on February 13, 2026 as well as higher average selling prices reflecting higher metal commodity prices and improvement in demand conditions in the metals industry. Of the $1,267.7 million increase in net sales over the six month period, $836.9 million was attributable to the inclusion of Olympic Steel results from the February 13, 2026 closing date through June 30, 2026. The remaining $430.8 million increase was attributable to same-store net sales growth. The same-store net sales increase was primarily attributable to approximately $262 million from higher average selling prices, including changes in product mix, and approximately $169 million from higher same-store tons sold, with amounts calculated using average selling price per ton and tons sold and subject to rounding. New products and services resulting from the Olympic Steel Merger did not have a material impact on the year-over-year change in net sales. On a same-store basis, average selling prices increased for all of our product lines in the three-month and six-month periods ended June 30, 2026 with the largest increases in our aluminum plate, aluminum flat, and aluminum long product lines. On a same-store basis, tons sold increased in the three-month and six-month periods ended June 30, 2026, compared to the year-ago periods for most product lines with the largest increases in our stainless plate, carbon long, stainless long, and carbon plate product lines.

Current wording

Revenue for the three-month and nine-month periods ended September 30, 2026 increased from the same periods a year ago due to higher tons sold as a result of the merger with Olympic Steel on February 13, 2026 and increased demand in the metals industry as well as higher average selling prices reflecting increasing metals prices and supply constraints. Of the $2,284.0 million increase in net sales over the nine month period, $1,439.0 million was attributable to the inclusion of Olympic Steel results from the February 13, 2026 closing date through September 30, 2026. The remaining $845.0 million increase was attributable to same-store net sales growth. The same-store net sales increase was primarily attributable to approximately $486 million from higher average selling prices, including changes in product mix, and approximately $359 million from higher same-store tons sold, with amounts calculated using average selling price per ton and tons sold and subject to rounding. New products and services resulting from the Olympic Steel Merger did not have a material impact on the year-over-year change in net sales. On a same-store basis, average selling prices increased for all of our product lines in the three-month and nine-month periods ended September 30, 2026 with the largest increases in our aluminum plate, aluminum flat, aluminum long, and carbon plate product lines. On a same-store basis, tons sold increased in the three-month and nine-month periods ended September 30, 2026, compared to the year-ago periods for most product lines with the largest increases in our stainless plate, carbon long, stainless long, and carbon plate product lines.

Previous wording

The increase in cost of materials sold in the three-month and six-month periods ended June 30, 2026 compared to the year-ago periods is primarily due to the merger with Olympic Steel as well as an increase in average cost of materials sold per ton. In the three-month and six-month periods ended June 30, 2026 Olympic Steel contributed $468.1 million and $685.3 million to the change, respectively. On a same-store basis, the average cost of materials sold increased across all of our product lines in the three-month and six-month periods ended June 30, 2026 with the largest increases in our aluminum plate, aluminum flat, and aluminum long product lines. During the second quarter of 2026, LIFO expense was $17.0 million compared to $13.2 million in the second quarter of 2025. During the first six months of 2026, LIFO expense was $27.0 million compared to $20.0 million in the first six months of 2025.

Current wording

The increase in cost of materials sold in the three-month and nine-month periods ended September 30, 2026 compared to the year-ago periods is primarily due to the merger with Olympic Steel and higher same-store tons sold as well as an increase in average cost of materials sold per ton. In the three-month and nine-month periods ended September 30, 2026 Olympic Steel contributed $489.2 million and $1,174.5 million to the change, respectively. On a same-store basis, the average cost of materials sold increased across all of our product lines in the three-month and nine-month periods ended September 30, 2026 with the largest increases in our aluminum plate, aluminum long, and aluminum flat product lines. During the third quarter of 2026, LIFO expense was $30.0 million compared to $13.2 million in the third quarter of 2025. During the first nine months of 2026, LIFO expense was $57.0 million compared to $33.2 million in the first nine months of 2025.

Previous wording

Gross profit increased in the three-month and six-month periods ended June 30, 2026 compared to the year-ago periods primarily due to the merger with Olympic Steel as well as average selling prices increasing faster than the increase in average cost of materials sold. Of the $230.2 million increase in gross profit in the six month period, $151.6 million was attributable to the inclusion of Olympic Steel results from the February 13, 2026 closing date through June 30, 2026, and $78.6 million was attributable to same-store operations. The same-store increase was primarily attributable to the increase in same-store average selling prices and tons sold as discussed above, partially offset by higher average material costs and the increase in LIFO expense.

Current wording

Gross profit increased in the three-month and nine-month periods ended September 30, 2026 compared to the year-ago periods primarily due to the merger with Olympic Steel and higher same-store tons sold as well as higher average selling prices. Of the $404.4 million increase in gross profit in the nine month period, $264.5 million was attributable to the inclusion of Olympic Steel results from the February 13, 2026 closing date through September 30, 2026, and $139.9 million was attributable to same-store operations. The same-store increase was primarily attributable to the increase in same-store average selling prices and tons sold as discussed above, partially offset by higher average material costs and the increase in LIFO expense.

Previous wording

Warehousing, delivery, selling, general, and administrative expenses increased in the three-month and six-month periods ended June 30, 2026 compared to the same periods of the prior year primarily due to the merger with Olympic Steel on February 13, 2026, which increased operating expenses by $101.6 million and $149.2 million, respectively. On a same-store-basis, expenses increased $16.9 million and $32.4 million in the three-month and six-month periods ended June 30, 2026, respectively, as the same-store results included higher advisory services fees of $0.4 million in the second quarter of 2026 and $6.6 million in the first six months of 2026 related to the merger with Olympic Steel, including legal, consulting and investment advisor fees. In addition, the three-month and six-month periods ended June 30, 2026 included higher incentive compensation, increased benefit expenses, primarily due to higher payroll taxes in 2026 as payroll taxes were lower in the first six months of 2025 due to refunds received in the second quarter related to Employee Retention Credits for qualified wages paid during the COVID-19 pandemic, as well as higher delivery and operating expenses.

Current wording

Warehousing, delivery, selling, general, and administrative expenses increased in the three-month and nine-month periods ended September 30, 2026 compared to the same periods of the prior year primarily due to the merger with Olympic Steel on February 13, 2026, which increased operating expenses by $97.1 million and $246.3 million, respectively. On a same-store basis, expenses increased $28.6 million and $61.6 million in the three-month and nine-month periods ended September 30, 2026, respectively, as the same-store results included higher advisory services fees of $0.5 million in the third quarter of 2026 and $7.0 million in the first nine months of 2026 related to the merger with Olympic Steel, including legal, consulting, and investment advisor fees. In addition, the three-month and nine-month periods ended September 30, 2026 included higher incentive compensation, increased benefit expenses, primarily due to higher payroll taxes in 2026 as payroll taxes were lower in the first nine months of 2025 due to refunds received in the second quarter related to Employee Retention Credits for qualified wages paid during the COVID-19 pandemic, as well as higher delivery and operating expenses.

Previous wording

The three-month and six-month periods ended June 30, 2026 include an impairment charge of $0.5 million and $0.9 million, respectively, related to the impairment of buildings and equipment. The first six months of 2025 included impairment charges on assets of $1.8 million as we evaluated underperforming businesses.

Current wording

The first nine months of 2026 included an impairment charge of $0.9 million, related to the impairment of buildings and equipment that was sold. The three-month and nine-month periods ended September 30, 2025 included impairment charges on assets of $0.1 million and $1.9 million, respectively, as we evaluated underperforming businesses.

Previous wording

Our operating profit increased in the three-month and six-month periods ended June 30, 2026 compared to the three-month and six-month periods ended June 30, 2025, primarily due to the increase in gross profit discussed above.

Current wording

Our operating profit increased in the three-month and nine-month periods ended September 30, 2026 compared to the three-month and nine-month periods ended September 30, 2025, primarily due to the increase in gross profit discussed above.

Previous wording

Interest and other expense on debt increased in the three-month and six-month periods ended June 30, 2026 compared to the year-ago periods primarily due to a higher level of borrowings outstanding under the revolving credit facility (“the Ryerson Credit Facility”) as Olympic Steel's existing debt was paid off upon the merger close, partially offset by lower interest rates.

Current wording

Interest and other expense on debt increased in the three-month and nine-month periods ended September 30, 2026 compared to the year-ago periods primarily due to a higher level of borrowings outstanding under the revolving credit facility (“the Ryerson Credit Facility”) as Olympic Steel's existing debt was paid off upon the merger close, partially offset by slightly lower interest rates.

Previous wording

The other income in the first six months of 2026 includes foreign currency translation gains of $3.9 million. The other income in the first six months of 2025 includes foreign currency translation losses of $2.7 million, partially offset by a $0.5 million settlement gain related to lump-sum buyouts for the Central Steel & Wire ("CSW") pension plan.

Current wording

The other income in the first nine months of 2026 includes foreign currency transaction gains of $4.3 million. The other income in the first nine months of 2025 includes foreign currency transaction losses of $1.6 million, partially offset by a $0.7 million settlement gain related to lump-sum buyouts for the Central Steel & Wire ("CSW") pension plan.

Previous wording

Provision (benefit) for income taxes. Our effective income tax rate was 40.3% in the first six months of 2026 compared to 75.8% in the first six months of 2025. The difference between our effective income tax rates and the U.S. federal statutory rate of 21.0% was mainly due to state and foreign income taxes, certain permanent nondeductible costs, and the effects of certain discrete items recorded during the period, including one-time items related to the Olympic Steel Merger.

Current wording

Provision (benefit) for income taxes. Our effective income tax rate was 25.3% in the first nine months of 2026 compared to 25.1% in the first nine months of 2025. The difference between our effective income tax rates and the U.S. federal statutory rate of 21.0% was mainly due to state and foreign income taxes, certain permanent nondeductible costs, and the effects of certain discrete items recorded during the period, including one-time items related to the Olympic Steel Merger and research and development credits.

Previous wording

Earnings (loss) per share. The changes in earnings per share are due to the results of operations discussed above. In addition, we issued 19.5 million shares of common stock to complete the Olympic Steel Merger on February 13, 2026, partially offset by share repurchases of 113,733 shares since January 1, 2026.

Current wording

Earnings (loss) per share. The changes in earnings per share are due to the results of operations discussed above. In addition, we issued 19.5 million shares of common stock to complete the Olympic Steel Merger on February 13, 2026, partially offset by share repurchases of 273,383 shares since January 1, 2026.

Previous wording

We had cash and cash equivalents of $41.9 million at June 30, 2026, compared to $26.9 million at December 31, 2025. Our total debt outstanding at June 30, 2026 increased to $955.2 million compared to $463.1 million at December 31, 2025 as a result of the merger with Olympic Steel and net cash used in operating activities in the first six months of 2026. We had a debt-to-capitalization ratio of 42% and 38% at June 30, 2026 and December 31, 2025, respectively. We had total liquidity (defined as cash and cash equivalents and availability under the Ryerson Credit Facility and foreign debt facilities) of $757 million at June 30, 2026 versus $502 million at December 31, 2025. Our net debt (defined as total debt less cash and cash equivalents) was $913 million and $436 million at June 30, 2026 and December 31, 2025, respectively. The comparability of our cash, debt, and liquidity positions as of June 30, 2026 to December 31, 2025 is significantly affected by the acquisition of Olympic Steel, which closed on February 13, 2026. As part of purchase consideration in the merger, Ryerson paid $270.0 million, net of cash acquired, to extinguish Olympic Steel's existing debt and to settle certain outstanding performance based stock units that converted to cash upon close of the transaction and resulted in the consolidation of Olympic Steel's operations, assets, and liabilities beginning on the closing date. Total liquidity and net debt are not U.S. generally accepted accounting principles (“GAAP”) financial measures. We believe that total liquidity provides additional information for measuring our ability to fund our operations. Total liquidity does not represent, and should not be used as a substitute for, net income or cash flows from operations as determined in accordance with GAAP and total liquidity is not necessarily an indication of whether cash flow will be sufficient to fund our cash requirements. We believe that net debt provides a clearer perspective of the Company’s overall debt profile. Net debt should not be used as a substitute for total debt outstanding as determined in accordance with GAAP.

Current wording

We had cash and cash equivalents of $40.5 million at September 30, 2026, compared to $26.9 million as of December 31, 2025. Our total debt outstanding at September 30, 2026 increased to $1,006.1 million compared to $463.1 million as of December 31, 2025 as a result of the merger with Olympic Steel and net cash used in operating activities in the first nine months of 2026. We had a debt-to-capitalization ratio of 43% and 38% at September 30, 2026 and December 31, 2025, respectively. We had total liquidity (defined as cash and cash equivalents and availability under the Ryerson Credit Facility and foreign debt facilities) of $865 million at September 30, 2026 versus $502 million as of December 31, 2025. Our net debt (defined as total debt less cash and cash equivalents) was $966 million and $436 million at September 30, 2026 and December 31, 2025, respectively. The comparability of our cash, debt, and liquidity positions as of September 30, 2026 to December 31, 2025 is significantly affected by the acquisition of Olympic Steel, which closed on February 13, 2026. As part of purchase consideration in the merger, Ryerson paid $270.0 million, net of cash acquired, to extinguish Olympic Steel's existing debt and to settle certain outstanding performance-based stock units that converted to cash upon close of the transaction and resulted in the consolidation of Olympic Steel's operations, assets, and liabilities beginning on the closing date. Total liquidity and net debt are not U.S. generally accepted accounting principles (“GAAP”) financial measures. We believe that total liquidity provides additional information for measuring our ability to fund our operations. Total liquidity does not represent, and should not be used as a substitute for, net income or cash flows from operations as determined in accordance with GAAP and total liquidity is not necessarily an indication of whether cash flow will be sufficient to fund our cash requirements. We believe that net debt provides a clearer perspective of the Company’s overall debt profile. Net debt should not be used as a substitute for total debt outstanding as determined in accordance with GAAP.

Previous wording

Of the total cash and cash equivalents as of June 30, 2026, $15.5 million was held in subsidiaries outside the U.S. which is deemed to be permanently reinvested. Ryerson does not currently foresee a need to repatriate earnings from its non-U.S. subsidiaries. Although Ryerson has historically satisfied needs for more capital in the U.S. through debt or equity issuances, Ryerson could elect to repatriate earnings held in foreign jurisdictions, which could result in higher effective tax rates. We have not recorded a deferred tax liability for the effect of a possible repatriation of these earnings as management intends to permanently reinvest these earnings outside of the U.S. Specific plans for reinvestment include funding for future international acquisitions and funding of existing international operations.

Current wording

Of the total cash and cash equivalents as of September 30, 2026, $22.3 million was held in subsidiaries outside the U.S. which is deemed to be permanently reinvested. Ryerson does not currently foresee a need to repatriate earnings from its non-U.S. subsidiaries. Although Ryerson has historically satisfied needs for more capital in the U.S. through debt or equity issuances, Ryerson could elect to repatriate earnings held in foreign jurisdictions, which could result in higher effective tax rates. We have not recorded a deferred tax liability for the effect of a possible repatriation of these earnings as management intends to permanently reinvest these earnings outside of the U.S. Specific plans for reinvestment include funding for future international acquisitions and funding of existing international operations.

Previous wording

Operating activities. Working capital fluctuates throughout the year based on business needs. Working capital needs tend to be counter-cyclical, meaning that in periods of expansion the Company will use cash to fund working capital requirements, but in periods of contraction the Company will generate cash from reduced working capital requirements. In the first six months of 2026, working capital requirements increased due to stronger demand and increasing metal commodity prices, which drove higher sales levels during the second quarter of 2026 compared to the fourth quarter of 2025, resulting in an increase in accounts receivables. Inventory increased in the second quarter of 2026 due to higher tons in inventory to meet increased demand as well as increased commodity price as of June 30, 2026 compared to December 31, 2025. Increased purchasing activity and higher payables balances caused by the increased metal prices discussed above, resulted in an increase in accounts payable compared to fourth quarter of 2025. Additionally, book overdrafts fluctuated based on the timing of payments. In the first six months of 2025, working capital requirements increased mainly due to higher sales levels compared to the fourth quarter of 2024 driving an increase in accounts receivables. There was a slight decrease in inventory, as commodity price decreases caused lower inventory costs as of June 30, 2025 compared to December 31, 2024. Increased purchasing activity and timing of payments at the end of the second quarter of 2025 resulted in an increase in accounts payable.

Current wording

Operating activities. Working capital fluctuates throughout the year based on business needs. Working capital needs tend to be counter-cyclical, meaning that in periods of expansion the Company will use cash to fund working capital requirements, but in periods of contraction the Company will generate cash from reduced working capital requirements. In the first nine months of 2026, working capital requirements increased due to stronger demand and increasing metal commodity prices, which drove higher sales levels during the third quarter of 2026 compared to the fourth quarter of 2025, resulting in an increase in accounts receivable. Inventory increased in 2026 due to higher tons in inventory to meet increased demand as well as increased commodity prices in 2026 compared to December 31, 2025. Increased purchasing activity and higher payables balances caused by the increased metal prices discussed above, resulted in an increase in accounts payable compared to fourth quarter of 2025. Additionally, book overdrafts fluctuated based on the timing of payments. In the first nine months of 2025, working capital requirements increased mainly due to higher sales levels during the third quarter of 2025 compared to the fourth quarter of 2024 driving an increase in accounts receivable. There was a slight decrease in inventory, due to lower tons in inventory as of September 30, 2025 compared to December 31, 2024, as the Company focused on working capital management. Increased purchasing activity and timing of payments at the end of the third quarter of 2025 resulted in an increase in accounts payable.

Previous wording

Investing activities. The Company's main investing activities are acquisitions and capital expenditures. During the first six months of 2026, the Company paid $270 million, net of cash acquired, to complete the Olympic Steel Merger. The Company also recorded $5.5 million of proceeds from sale of property, plant and equipment, due to the sale of two buildings classified as held for sale in 2026.

Current wording

Investing activities. The Company's main investing activities are acquisitions and capital expenditures. During the first nine months of 2026, the Company paid $270.0 million, net of cash acquired, to complete the Olympic Steel Merger. Additionally, in the first nine months of 2026 the Company received $6.1 million from insurance and litigation settlements.

Previous wording

Financing activities. The Company's main source of liquidity to fund working capital requirements is borrowings on the Ryerson Credit Facility. In the first six months of 2026, we increased credit facility borrowings to extinguish Olympic Steel's debt in conjunction with the Olympic Steel Merger. Additionally, credit facility borrowings increased in the first six months of 2025 and 2026, to fund higher working capital requirements due to increased demand in the second quarter compared to the fourth quarter. Cash dividends paid increased from $12.0 million in the first six months of 2025 to $19.4 million in the first six months of 2026 due to higher shares outstanding after 19.5 million shares were issued to complete the Olympic Steel Merger. In the first six months of 2026, we paid $8.3 million in fees related to amending the Ryerson Credit Facility and we repurchased $2.4 million of common stock.

Current wording

Financing activities. The Company's main source of liquidity to fund working capital requirements is borrowings on the Ryerson Credit Facility. In the first nine months of 2026, we increased credit facility borrowings to extinguish Olympic Steel's debt in conjunction with the Olympic Steel Merger. Additionally, credit facility borrowings increased in the first nine months of 2025 and 2026, to fund higher working capital requirements due to increased demand in the third quarter compared to the fourth quarter. Cash dividends paid increased from $18.0 million in the first nine months of 2025 to $29.2 million in the first nine months of 2026 due to higher shares outstanding after 19.5 million shares were issued to complete the Olympic Steel Merger. In the first nine months of 2026, we paid $8.4 million in fees related to amending the Ryerson Credit Facility and we repurchased $6.2 million of common stock.

Previous wording

Total debt in the Condensed Consolidated Balance Sheet increased to $955.2 million at June 30, 2026 from $463.1 million at December 31, 2025, mainly due to cash utilized to pay off Olympic Steel indebtedness upon the close of the Olympic Steel Merger as well as increased working capital requirements due to increased customer demand under the combined business.

Current wording

Total debt in the Condensed Consolidated Balance Sheet increased to $1,006.1 million at September 30, 2026 from $463.1 million as of December 31, 2025, mainly due to cash utilized to pay off Olympic Steel indebtedness upon the close of the Olympic Steel Merger as well as increased working capital requirements due to increased customer demand under the combined business.

Previous wording

Total debt outstanding as of June 30, 2026 consisted of the following amounts: $962.0 million of borrowings under the Ryerson Credit Facility, $2.6 million of foreign debt, less $9.4 million of unamortized debt issuance costs. For further information, see Note 7: Long Term Debt in Part I, Item I - Notes to Condensed Consolidated Financial Statements.

Current wording

Total debt outstanding as of September 30, 2026 consisted of the following amounts: $1,014.0 million of borrowings under the Ryerson Credit Facility, $1.0 million of foreign debt, less $8.9 million of unamortized debt issuance costs. For further information, see Note 7: Long-Term Debt in Part I, Item 1 - Notes to Condensed Consolidated Financial Statements.

Previous wording

At December 31, 2025, pension liabilities exceeded plan assets by $33.1 million. Through the six months ended June 30, 2026, we have made $6.1 million in pension contributions and we anticipate an additional minimum required pension contribution of approximately $5.3 million in the remaining six months of 2026 under the Employee Retirement Income Security Act of 1974 (“ERISA”) and Pension Protection Act in the U.S. and Ontario Pension Benefits Act in Canada. Future contribution requirements depend on the investment returns on plan assets, the impact of discount rates on pension liabilities, and changes in regulatory requirements. We are unable to determine the amount or timing of any such contributions required by ERISA or whether any such contributions would have a material adverse effect on our financial position or cash flows.

Current wording

As of December 31, 2025, pension liabilities exceeded plan assets by $33.1 million. Through the nine months ended September 30, 2026, we have made $11.2 million in pension contributions and we anticipate no additional minimum required pension contribution in the remaining three months of 2026 under the Employee Retirement Income Security Act of 1974 (“ERISA”) and Pension Protection Act in the U.S. and Ontario Pension Benefits Act in Canada. Future contribution requirements depend on the investment returns on plan assets, the impact of discount rates on pension liabilities, and changes in regulatory requirements. We are unable to determine the amount or timing of any such contributions required by ERISA or whether any such contributions would have a material adverse effect on our financial position or cash flows.

Previous wording

For further information regarding our pension and postretirement benefit plans, see Note 8: Employee Benefits in Part I, Item I - Notes to Condensed Consolidated Financial Statements.

Current wording

For further information regarding our pension and post-retirement benefit plans, see Note 8: Employee Benefits in Part I, Item 1 - Notes to Condensed Consolidated Financial Statements.

Previous wording

We expect to make approximately $965 million in principal payments to satisfy our debt obligations, consisting of $3 million in foreign debt coming due in the next twelve months and $962 million related to the Ryerson Credit Facility coming due in 2031. Please refer to Part I, Item I - Notes to the Condensed Consolidated Financial Statements, Note 7: Long-term Debt for further information.

Current wording

We expect to make approximately $1,015 million in principal payments to satisfy our debt obligations, consisting of $1 million in foreign debt coming due in the next twelve months and $1,014 million related to the Ryerson Credit Facility coming due in 2031. Please refer to Part I, Item 1 - Notes to the Condensed Consolidated Financial Statements, Note 7: Long-term Debt for further information.

Previous wording

We expect to pay approximately $48 million of interest on the Ryerson Credit Facility over the next twelve months and $175 million thereafter. Interest payments related to variable rate debt were estimated using the weighted average interest rate for the debt instrument.

Current wording

We expect to pay approximately $53 million of interest on the Ryerson Credit Facility over the next twelve months and $178 million thereafter. Interest payments related to variable rate debt were estimated using the weighted average interest rate for the debt instrument.

Previous wording

We lease various assets including real estate, trucks, trailers, mobile equipment, processing equipment, and IT equipment. Non-cancelable operating leases expire at various times through 2045 and finance leases expire at various times through 2033. The total amount of future lease payments is estimated to be $480 million, with $58 million due over the next 12 months. We did not have any material leases signed but not yet commenced as of June 30, 2026.

Current wording

We lease various assets including real estate, trucks, trailers, mobile equipment, processing equipment, and IT equipment. Non-cancelable operating leases expire at various times through 2045 and finance leases expire at various times through 2033. The total amount of future lease payments is estimated to be $466 million, with $57 million due over the next 12 months. We did not have any material leases signed but not yet commenced as of September 30, 2026.