Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

A.M. Castle has reported a decline in both sales and revenue in the second quarter this year due to weak demand from the aerospace sector. 

 

Marec Edgar, Castle’s president and chief executive officer, said that the company does not foresee an improvement in volumes and revenue in the short- and medium-term, despite early signs of economic stabilization. 

 

The Illinois based metals trader qualified for a $10mn Payment Protection Program (PPP) loan in March, which kept its US operations afloat, while the firm’s French operations also sought a loan of €6mn ($7.16mn) from a government-backed scheme.

 

The trader generated net sales amounting to $84.7mn, down 42.7pc from $148mn in the same quarter last year.

 

The company’s adjusted EBITDA fell sharply in the second quarter, to display a loss of $600,000, compared with an adjusted EBITDA profit of $3.2mn in Q2 2019

 

AM Castle is a global trader and distributor of a variety of alloyed steel, aluminum, and nickel products, serving industrial, construction, heavy industry, and aerospace customers.

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