Universal Stainless & Alloy Products Inc. remains
optimistic despite logging a third-quarter net loss as sales
declined due to harsh industry conditions.
conditions are expected to persist in the fourth quarter;
however, 2014 is expected to be a year of recovery in most of
our end markets," chairman, president and chief executive
officer Dennis Oates said in a statement.
margin for the quarter was $2.4 million (5 percent of sales),
down from $9.3 million (15.2 percent of sales) in the same
The thinning margins
were due to "a shift in sales mix to lower margin products,
lower surcharges due to the decline in raw material prices and
lower manufacturing utilization," the company said.
were flexed downward in response to market conditions through
most of our operations," Oates said.
Pa.-based company posted a net loss of $1.7 million in the
three months ended Sept. 30 in contrast with net income of $2.7
million in the same period last year on sales that fell 21
percent to $48.5 million, corresponding with a 15-percent
year-on-year decline in shipping volumes.
The results were in
line with the earnings guidance the company reported last month
amm.com, Oct. 28).
The company has also
decided to maintain staff at its North Jackson, Ohio, facility,
Oates said, describing the operation as "essential to our
strategic plan to move Universals product mix to
higher-margin premium alloys."