AI Earnings Predictions for Worthington Steel Inc. (WS)

EX-99.1

2 ws-ex99_1.htm

EX-99.1

EX-99.1

EXHIBIT 99.1

Worthington Steel Reports First Quarter Fiscal 2027 Results

Includes financial results from Kloeckner & Co following majority acquisition

COLUMBUS, Ohio, October 6, 2026 – Worthington Steel, Inc. (NYSE: WS), a market-leading, value-added metals processing company, today reported financial results for the fiscal 2027 first quarter ended August 31, 2026. Except as otherwise noted, reported results reflect the impact of the Company’s acquisition of a majority interest in Klöckner & Co SE (“Kloeckner”).

First Quarter Highlights (all comparisons to the first quarter of fiscal 2026 on a continuing operations basis unless otherwise indicated):

• Net sales of $2,726.6 million increased 212% compared to $872.9 million.

• Operating income of $56.0 million compared to $48.3 million.

• Net loss attributable to controlling interest of $7.0 million compared to net earnings of $36.8 million in the prior year quarter.

• Diluted loss per share attributable to controlling interest (“Diluted EPS – Continuing Operations”) of $0.14, compared with Diluted EPS – Continuing Operations of $0.73 in the prior year quarter. Adjusted Diluted EPS – Continuing Operations per share of $0.57 compared to $0.77 in the prior year quarter.

• Adjusted EBIT of $78.5 million compared to $55.5 million.

• On June 3, 2026, subsequent to the end of fiscal 2026, the Company completed settlement of the offer and its acquisition of a majority interest in Kloeckner, securing approximately 62% of Kloeckner’s outstanding shares (the “Kloeckner Acquisition”), representing a significant milestone toward eventual operating control and value capture.

• On July 15, 2026, the Company commenced a public delisting tender offer for all outstanding Kloeckner shares not already held by the Company at a price of €11.00 per share. On August 12, 2026, the acceptance period ended and Kloeckner’s shares were delisted from the regulated market of the Frankfurt Stock Exchange at market closing. Upon settlement of the delisting tender offer, the Company acquired additional Kloeckner shares, increasing the ownership interest to approximately 62.11%.

• On September 8, 2026, subsequent to the end of the first quarter of fiscal 2027, the Company entered into a Domination and Profit and Loss Transfer Agreement (“DPLTA”) with Kloeckner. Effectiveness of the DPLTA remains subject to the required shareholder approvals and registration with the commercial register at Kloeckner’s registered seat and cannot occur before January 1, 2027.

• Declared a quarterly dividend of $0.16 per share payable on December 28, 2026, to shareholders of record at the close of business on December 14, 2026.

“This quarter marks an important milestone for Worthington Steel as we report our first results including Kloeckner,” said Geoff Gilmore, president and CEO. “The addition of Kloeckner significantly expands our capabilities and positions us as a more diversified metals processing and manufacturing company. At the same time, our core Worthington Steel business delivered solid operating performance, driven by higher direct volumes and improved pricing. As we move forward, our priorities remain clear: serving our customers, improving our operations and creating long-term value for our shareholders.”

Financial highlights for the fiscal 2027 and comparative periods are as follows:

(In millions, except volume)

1Q 2027

1Q 2026

Volume (tons)

1,943,340

928,866

Net sales

$

2,726.6

$

872.9

Operating income

56.0

48.3

Net earnings (loss) from continuing operations attributable to controlling interest

(7.0

)

36.8

Adjusted EBIT (Non-GAAP)(1)

78.5

55.5

Adjusted EBITDA (Non-GAAP)(1)

111.0

78.8

Equity in net income of unconsolidated affiliate

5.3

6.4

1

(Per diluted share amounts, after-tax)

1Q 2027

1Q 2026

Diluted EPS – Continuing Operations

$

(0.14

)

$

0.73

Restructuring and other (income), net

(0.03

)

(0.01

)

Kloeckner purchase derivative

0.01

-

Kloeckner acquisition-related expenses

0.37

-

Kloeckner securities investment loss, net

0.24

-

Debt issuance cost write-off

0.02

-

Pension adjustments

(0.01

)

-

Sitem Group acquisition completion bonus payment

-

0.03

Deferred tax asset adjustment

0.11

0.02

Adjusted Diluted EPS – Continuing Operations (Non-GAAP)(1)

$

0.57

$

0.77

Three Months Ended

Three Months Ended

August 31, 2026

August 31, 2025

Consolidated

Legacy Worthington Steel (2)

Consolidated

Volume (tons) - Total

1,943,340

921,234

928,866

Volume (tons) - Direct

1,501,949

604,289

585,073

Volume (tons) - Toll

441,391

316,945

343,793

Net Sales

$

2,726.6

$

953.9

$

872.9

EBIT (Non-GAAP)(1)

43.9

15.7

53.1

Adjusted EBITDA (Non-GAAP)(1)

111.0

75.1

78.8

(1) Results in both the current year period and prior year period were impacted by certain items, as further discussed and reconciled to the most directly comparable GAAP financial measure in the Use of Non-

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