-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, DiyPDob5/9ztz2zq9ak9HVsrfRqxPZ+V3AXA8oWeUIgQD94VX+s2VL6zWnyqCycd 1/4ZKKq36QHiKGQYOq6cGw== 0001157523-07-004187.txt : 20070427 0001157523-07-004187.hdr.sgml : 20070427 20070427080404 ACCESSION NUMBER: 0001157523-07-004187 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20070427 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20070427 DATE AS OF CHANGE: 20070427 FILER: COMPANY DATA: COMPANY CONFORMED NAME: OLYMPIC STEEL INC CENTRAL INDEX KEY: 0000917470 STANDARD INDUSTRIAL CLASSIFICATION: WHOLESALE-METALS SERVICE CENTERS & OFFICES [5051] IRS NUMBER: 341245650 STATE OF INCORPORATION: OH FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-23320 FILM NUMBER: 07793310 BUSINESS ADDRESS: STREET 1: 5080 RICHMOND RD CITY: BEDFORD HEIGHTS STATE: OH ZIP: 44146 BUSINESS PHONE: 2162923800 MAIL ADDRESS: STREET 1: 5096 RICHMOND RD CITY: BEDFORD HEIGHTS STATE: OH ZIP: 44146 8-K 1 a5387640.txt OLYMPIC STEEL, INC. 8-K ================================================================================ UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report (Date of earliest event reported) - April 27, 2007 -------------- Commission File Number 0-23320 ------- OLYMPIC STEEL, INC. (Exact name of registrant as specified in its charter) Ohio 34-1245650 - -------------------------------- ---------------------- (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification Number) 5096 Richmond Road, Bedford Heights, Ohio 44146 - ----------------------------------------- ---------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code (216) 292-3800 -------------- Check the appropriate box if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under and of the following provisions: ( ) Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) ( ) Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) ( ) Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) ( ) Pre-commencement communications pursuant to Rule 13e-4 under the Exchange Act (17 CFR 240.13e-4(c)) ================================================================================ Item 2.02 Results of Operations and Financial Condition On April 27, 2007 Olympic Steel, Inc. reported its operating results for the fiscal quarter and year ended March 31, 2007. The Press Release is attached hereto as Exhibit 99.1. The information, including EXHIBIT 99.1 is furnished pursuant to Item 2.02, is not to be considered "filed" under the Securities Exchange Act of 1934, as amended ("Exchange Act"), and shall not be incorporated by reference into any of Olympic Steel, Inc.'s previous or future filings under the Securities Act of 1933, as amended, or the Exchange Act except as otherwise expressly stated in such filing. Item 9.01 Financial Statements and Exhibits (c) Exhibits. Exhibit No. ----------- 99.1 Press release of the Company dated April 27, 2007. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. OLYMPIC STEEL, INC. Date: April 27, 2007 By: /s/ RICHARD T. MARABITO ----------------------- Richard T. Marabito Chief Financial Officer (Principal Accounting Officer) 2 Exhibit Index ------------- 99.1 Press Release dated April 27, 2007 3 EX-99.1 2 a5387640ex991.txt EXHIBIT 99.1 Exhibit 99.1 Olympic Steel Reports 2007 First Quarter Sales and Earnings Results CLEVELAND--(BUSINESS WIRE)--April 27, 2007--Olympic Steel, Inc., (Nasdaq:ZEUS), a national steel service center, today announced its financial results for the first quarter of 2007. Net sales for the first quarter of 2007 totaled $259.4 million, an 8.6% increase from the $238.9 million for the first quarter a year ago. First quarter 2007 net income totaled $5.3 million, or $0.49 per diluted share, compared to net income of $8.0 million, or $0.76 per diluted share for last year's first quarter. Tons sold decreased 7.9% to 312 thousand from 338 thousand in the first quarter of 2006, in line with the Metals Service Center Institute statistics of a 7.4% decline in year-over-year flat rolled shipments for the first quarter of 2007. Olympic Steel's Board of Directors approved a regular quarterly cash dividend of $.03 per share to be paid to shareholders of record as of June 1, 2007, and distributed on June 15, 2007. Commenting on the results, Chairman and Chief Executive Officer Michael D. Siegal, stated, "We are pleased to report improved sales and earnings performance over the fourth quarter of 2006. The first quarter carbon steel market was quite challenging, as the year began with high inventories at steel service centers, causing a very competitive landscape." "Looking forward, carbon imports continue to be low, steel-making input costs such as scrap and pellets have risen, service center inventories are now at more balanced levels, and demand appears to be slowly recovering, leading to a potential improving price and earnings environment for the second quarter of 2007. On a longer-term view, we are increasing our capital spending in new equipment, facilities and technology solutions to support future growth. In 2007, we have placed orders for a new Red Bud stretcher leveler cut-to-length line in Minneapolis, and new laser, plasma, and machining equipment in Cleveland and Chambersburg to support our growing value-add services. We have also broken ground on an expansion to our existing Iowa facility, and our previously announced new IT system project is proceeding on plan," concluded Mr. Siegal. A simulcast of Olympic Steel's 2007 first quarter earnings conference call may be accessed via the Investor Relations section of the Company's website at www.olysteel.com. The simulcast will begin at 10:00 a.m. Eastern Time today and a replay of the call will be available for 14 days thereafter. Founded in 1954, Olympic Steel is a leading U.S. steel service center focused on the direct sale and distribution of large volumes of processed carbon, coated and stainless flat-rolled sheet, coil and plate steel products. Headquartered in Cleveland, Ohio, the Company operates 16 facilities. For further information, visit the Company's web site at http://www.olysteel.com. It is the Company's policy not to endorse any analyst's sales or earnings estimates. Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are typically identified by words or phrases such as "may," "will," "should," "expect," "anticipate," "intend," "plan," "believe," "estimate," "potential," or "continue," as well as the negative of these terms or other similar expressions. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. Readers are cautioned not to place undue reliance on these forward-looking statements. Such risks and uncertainties include, but are not limited to: general and global business, economic and political conditions; competitive factors such as the availability and pricing of steel, industry inventory levels, and rapid fluctuations in customer demand and pricing; the cyclicality and volatility within the steel industry; the ability of customers (especially in the automotive industry) to maintain their credit availability; layoffs or work stoppages by the Company's, suppliers' or customers' personnel; the availability and cost of transportation and logistical services; equipment installation delays or malfunctions; the successes of the Company's capital investments, efforts and initiatives to increase sales volumes, improve cash flows and reduce debt, maintain or improve inventory turnover, and reduce costs; the timing and outcome of efforts and ability to liquidate OLP's remaining assets; the adequacy of our existing information technology and business system software and the success of implementing our new information system; customer, supplier, and competitor consolidation or insolvency; the post-acquisition integration of PS&W and the Company's ability to pay regular quarterly cash dividends. Further information on these and other risks and uncertainties is provided under Item 1A "Risk Factors" of the Company's Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, which disclosure is incorporated herein by reference, and elsewhere in reports that the Company files or furnishes with the SEC. This release speaks only as of its date and the Company undertakes no obligation to publicly update forward-looking statements, whether as a result of new information, future events or otherwise, except to the extent required by law. You are advised, however, to consult any further disclosures the Company makes on related subjects in its reports filed with or furnished to the SEC. OLYMPIC STEEL SELECTED FINANCIAL INFORMATION (in thousands, except per share data and ratios) Three Months Ended March 31, ------------------- 2007 2006 --------- --------- SUMMARY RESULTS OF OPERATIONS: (unaudited) - ------------------------------------- Net sales $259,405 $238,871 Operating income 9,410 12,834 Income before income taxes 8,383 12,573 --------- --------- Net income $ 5,252 $ 7,981 ========= ========= Earnings per share: Net income per share - basic $ 0.50 $ 0.78 Net income per share - diluted $ 0.49 $ 0.76 March 31, ------------------- December 31, 2007 2006 2006 --------- --------- ------------ SUMMARY BALANCE SHEET DATA: (unaudited) - ------------------------------------- Accounts receivable, net $109,135 $ 99,383 $ 85,883 Inventories 189,988 137,408 210,738 Net property and equipment 87,270 81,973 87,359 Total assets 408,829 327,848 405,320 Current liabilities 111,567 95,853 92,340 Total debt 50,247 10,000 68,328 Shareholders' equity 239,439 211,487 234,237 Shareholders' equity per share 22.92 20.34 22.46 Debt-to-equity ratio .21 to 1 .05 to 1 .29 to 1 Three Months Ended March, ------------------- 2007 2006 --------- --------- OTHER DATA: (unaudited) - ------------------------------------- Capital expenditures 2,093 6,230 Cash dividends per share $ 0.03 $ 0.03 It is the Company's policy not to make quarterly or annual sales or earnings projections for external use and not to endorse any analyst's sales or earnings estimates. OLYMPIC STEEL RESULTS OF OPERATIONS (in thousands, except per share and tonnage data) Three Months Ended March 31, ------------------------------- 2007 2006 --------------- --------------- (unaudited) Tons sold Direct 273,326 281,805 Toll 38,263 56,363 --------- --------- 311,589 338,168 % change (7.9%) (6.0%) Net sales $259,405 $238,871 % change 8.6% (16.1%) Costs and expenses Cost of materials sold (exclusive of depreciation shown below) 212,031 81.7% 191,713 80.3% Warehouse and processing 13,675 5.3% 11,637 4.9% Administrative and general 10,264 4.0% 9,304 3.9% Distribution 6,309 2.4% 6,248 2.6% Selling 3,781 1.5% 3,436 1.4% Occupancy 1,753 0.7% 1,691 0.7% Depreciation 2,182 0.8% 2,008 0.8% --------- --------- Total costs and expenses 249,995 96.4% 226,037 94.6% --------- --------- Operating income 9,410 3.6% 12,834 5.4% Loss from joint ventures - (107) --------- --------- Income before financing costs and income taxes 9,410 12,727 Interest and other expense on debt 1,027 0.4% 154 0.1% --------- --------- Income before income taxes 8,383 3.2% 12,573 5.3% Income tax provision 3,131 37.3% 4,592 36.5% --------- --------- Net income $ 5,252 $ 7,981 ========= ========= Earnings per share: Net income per share - basic $ 0.50 $ 0.78 ========= ========= Weighted average shares outstanding - basic 10,435 10,259 ========= ========= Net income per share - diluted $ 0.49 $ 0.76 ========= ========= Weighted average shares outstanding - diluted 10,664 10,568 ========= ========= It is the Company's policy not to make quarterly or annual sales or earnings projections for external use and not to endorse any analyst's sales or earnings estimates. CONTACT: Olympic Steel, Inc. Richard T. Marabito, Chief Financial Officer 216-292-3800 Fax: 216-292-3974 -----END PRIVACY-ENHANCED MESSAGE-----