Quarterly ResultMay 12, 2026, 05:31 PM
Algoma Steel Q1 Net Loss $159.4M; EAF Transition Complete
AI Summary
Algoma Steel Group reported a Q1 2026 net loss of $159.4 million and revenue of $296.9 million, significantly impacted by the transition to Electric Arc Furnace (EAF) steelmaking and adverse tariffs. The company successfully completed its EAF transition, permanently closing its blast furnace, and is now fully operational with EAF Unit 1. Despite the financial losses, management highlighted operational progress, record plate sales, and strategic partnerships aimed at long-term growth and value creation.
Key Highlights
- EAF Unit 1 fully operational; blast furnace permanently closed January 18, 2026.
- Q1 2026 net loss of $159.4 million, compared to $24.5 million loss in Q1 2025.
- Q1 2026 revenue decreased to $296.9 million from $517.1 million in Q1 2025.
- Adjusted EBITDA loss was $28.7 million, including a $90.2 million capacity utilization charge.
- Steel shipments decreased 52.4% to 223,681 tons due to EAF transition.
- Record plate sales of 116,000 NT achieved, with further upside expected.
- Total available liquidity was approximately $553 million at March 31, 2026.
- Formed Roshel Algoma Defence joint venture and signed MoU with Hanwha Ocean.