Commercial Metals Company (NYSE:CMC) reported stronger-than-expected fourth-quarter results on Thursday, lifted by expanding steel product margins and record contributions from its Emerging Businesses Group. Shares climbed 2.21% in pre-market trading following the earnings release.
The company posted adjusted earnings of $1.37 per share for the fiscal fourth quarter ended August 31, beating analyst estimates of $1.35. Revenue came in at $2.1 billion, slightly ahead of forecasts of $2.09 billion. Net income rose to $151.8 million, up from $103.9 million a year earlier, reflecting both sequential and year-over-year growth.
North American steel product metal margins expanded $69 per ton sequentially, boosting profitability in the North America Steel Group, where adjusted EBITDA jumped 18% year over year to $239.4 million. Margins improved to 14.8%, compared to 13.0% in the same quarter of the prior year.
“Fiscal 2025 was a pivotal year for CMC as we laid the groundwork of our transformative strategy, which we believe will position our Company for years of value-accretive growth going forward,” said Peter Matt, President and Chief Executive Officer.
The Emerging Businesses Group also delivered record quarterly results, with outstanding performance from Tensar. The segment’s adjusted EBITDA increased 19.1% YoY to $50.6 million, achieving a record margin of 22.8%.
Looking to the first quarter of fiscal 2026, CMC expects consolidated results to remain broadly in line with Q4. The company anticipates further sequential margin expansion in its North America Steel Group, supported by higher steel product margins.
CMC also maintained its quarterly dividend of $0.18 per share, marking its 244th consecutive dividend payment, underscoring its commitment to returning capital to shareholders.
Commercial Metals Company stock price
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