ASTL News & Events

Algoma Steel Group provided guidance for its quarter ended June 30. Total steel shipments for the quarter are expected to be in the range of 175,000 tons to 180,000 tons and Adjusted EBITDA is expected to be in the range of C$5M-C$15M. Note that the guidance for Adjusted EBITDA includes the benefit of a final insurance settlement amount of C$45M related to the coke-making utility corridor incident in January 2024, as well as an expected capacity utilization adjustment benefit of approximately C$50M-C$55M. Rajat Marwah, CEO of Algoma, commented, "The Q2 demonstrated the continued resilience of our transformed business, with record plate sales and our first electric arc furnace, or EAF, unit continuing to ramp up as expected, even as broader market conditions continued to weigh on total shipment volumes. We look forward to bringing our second EAF unit online in the second half of the year and beginning its ramp up to our full expected capacity, completing our transformation. While tariffs remain a structural headwind, we continue to make strong progress on our pivot to a more Canada-centric strategy, and the recent rise in steel prices is encouraging. As Canada's only producer of discrete plate, we remain well-positioned to serve growing infrastructure, construction, and defence demand."

Reports Q1 revenue C$296.9M, consensus C$305.95M. Rajat Marwah, the company's CEO, commented, "The first quarter of 2026 represented a genuine turning point for Algoma. We permanently closed our blast furnace on January 18, bringing 125 years of coal-based steelmaking to an end and completing what we set out to do: transform this company into a modern, low-carbon steel producer. That transition was not without cost in the quarter, as shipment volumes were lower and transition costs remained elevated while we ramped up our new steelmaking platform. But the direction is clear and the trajectory is improving. Our EAF is running 24 hours a day, our plate mill is producing Volta low-carbon steel at scale, and we are leaning into our competitive advantage as Canada's only producer of discrete plate."

Algoma Steel and Roshel have formed Roshel Algoma Defence, a joint venture to establish a Canadian Centre of Excellence for ballistic steel production. This partnership is built to deliver sovereign ballistic steel defense solutions, including full-cycle capabilities such as metal fabrication, forming, welding, and machining in Canada. "Algoma Steel is ready to enhance Canada's defence capacity, starting now. This partnership with Roshel puts our production capabilities, our workforce, and our Sault Ste. Marie facilities directly in service of Canada's national security. Buy Canadian isn't just a policy for us, it's a strategy and a commitment to hundreds of good jobs." - Rajat Marwah, CEO, Algoma Steel.