Reliance Posts Q1 EPS of $5.16, Revenue Tops $4.03 Billion
Reliance reported Q1 net income of $264.9 million on revenue of $4.03 billion, with GAAP EPS of $5.10 and non-GAAP EPS of $5.16, beating analyst forecasts. Sequential tons sold rose 9.4% to 1.673 million, and the company repurchased $234.2 million of stock and guided Q2 EPS of $5.15–$5.35.
1. First-Quarter Financial Results
Reliance recorded Q1 net income of $264.9 million, up 32.6% year-over-year, on net sales of $4.03 billion, a 15.5% increase. GAAP diluted EPS reached $5.10 and non-GAAP diluted EPS was $5.16, both surpassing analyst estimates of $4.63 per share.
2. Operating Performance
The company sold 1.673 million tons of metal products, up 9.4% sequentially and 2.7% year-over-year, while average selling price per ton increased 5.3% sequentially and 12.6% year-over-year. Gross profit margin was 29.1%, improving 180 basis points from the prior quarter despite a $0.54 per-share LIFO expense.
3. Capital Allocation
Reliance generated $151.4 million in operating cash flow and declared $66.6 million in dividends. Management also repurchased $234.2 million of common stock and invested $64.2 million in capital expenditures during the quarter.
4. Q2 Earnings Guidance
For the quarter ending June 30, Reliance expects GAAP EPS between $5.15 and $5.35, reflecting confidence in continued volume growth, pricing momentum and margin stability across its metals service center operations.