PITTSBURGH PSC Metals
Inc. continues its struggle to return to profitability,
chalking up another first-quarter loss amid weaker ferrous
shipments and selling prices.
The Mayfield Heights, Ohio-based
metals recycler and broker posted a net loss of $6 million in
the three months ended March 31 compared with a $2-million net
loss in the year-ago quarter. Net sales dropped to $264 million
in the quarter vs. $332 million in the same comparison.
The companys nonferrous
sales totaled 67.6 million pounds, an improvement from 60.9
million pounds in the year-ago period, as the company saw an
increase in shipments of aluminum ingots and electric motors.
Average nonferrous selling prices in the quarter were down 8
cents, or 8 percent, primarily due to lower market pricing, New
York-based parent company Icahn Enterprises LP said in earnings
However, ferrous shipments were
down in the quarter, dropping to 376,000 tons compared with
455,000 tons in the year-ago quarter. Average ferrous scrap
selling prices were down $75 a gross ton, or 17 percent,
compared with first-quarter 2012.
The lower ferrous scrap selling
prices reflect steel mills lower utilization rates in the
quarter as well as a weak export market, the company said.
The company noted that
competition for feedstock continues to negatively impact margin
percentages. PSC Metals gross margin as a percentage of
net sales was a loss of 1 percent compared with income of less
than 1 percent in the year-ago quarter, the company said.
Parent company Icahn posted first-quarter net income of $277
million, up from $49 million in the same quarter last year, as
sales increased to $4.57 billion vs. $2.4 billion in the