Worthington Slips To Loss On Charges

(RTTNews) - Metal products company Worthington Industries Inc (WOR) on Wednesday reported third-quarter net loss of $25.7 million or $0.39 per share compared with a profit of $40.6 million or $0.57 per share last year.

Results for the latest quarter included a non-cash impairment charges of $81.6 million for the company's Engineered Cabs business, and and $2.3 million of severance expense. The after-tax impact of these charges reduced earnings by or $0.78 per share.

Revenues for the quarter were up 4% at $804.8 million compared with $773.2 million in the prior year.

Analysts polled by Thomson Reuters estimated earnings of $0.39 per share on revenues of $832.6 million for the quarter. Analysts' estimates typically exclude special items.

Gross margin for the quarter declined to $24 million from $98.5 million last year, hurt partly by inventory holding losses fueled by rapidly falling steel prices in Steel Processing.

"Despite a challenging quarter, the overall health of the company is good," said CEO John McConnell. "We had solid volumes in Steel Processing, but the dramatic fall in steel prices throughout the quarter negatively impacted results.