Worthington Industries, Inc. (NYSE:WOR) Q4 2022 Earnings Conference Call June 23, 2022 8:30 AM ET

Company Participants

Marcus Rogier - Treasurer and IR Officer

Andy Rose - President and CEO

Joe Hayek - CFO

Conference Call Participants

Martin Englert - Seaport Research Partners

Phil Gibbs - KeyBanc Capital Markets

John Tumazos - John Tumazos Very Independent Research

Operator

Good morning, and welcome to the Worthington Industries Fourth Quarter Fiscal 2022 Earnings Conference Call. All participants will be able to listen-only until the question-and-answer session of the call. This conference is being recorded at the request of the Worthington Industries. If anyone objects, you may disconnect at this time.

I'd now like to introduce Marcus Rogier, Treasurer and Investor Relations Officer. Mr. Rogier, you may begin.

Marcus Rogier

Thank you, Chris. Good morning everyone and welcome to Worthington Industries fourth quarter fiscal 2022 earnings call. On our call today we have Andy Rose, Worthington's President and Chief Executive Officer; and Joe Hayek, Worthington's Chief Financial Officer.

Before we get started, I'd like to remind everyone that certain statements made today are forward-looking within the meaning of the 1995 Private Securities Litigation Reform Act. These statements are subject to risks and uncertainties that could cause actual results to differ from those suggested. We issued our earnings release yesterday after the market close. Please refer to it for more detail on those factors that could cause actual results to differ materially. Today's call is being recorded and a replay will be made available later on our Worthington Industries.com website.

At this point, I will turn the call over to Joe for a discussion of the financial results.

Joe Hayek

Thank you, Marcus, and good morning everyone.

We finished our fiscal year with a very strong quarter reporting Q4 earnings of $1.61 per share versus $2.15 in the prior year. Excluding a small one-time restructuring gain we generated $1.58 per share in the current quarter compared to $2.33 in Q4 of last year after adjusting for restructuring and a small gain on our investment in Nikola.

In Q4, we had inventory holding losses estimated to be $42 million or $0.64 per share, compared to inventory holding gains of $51 million or $0.71 per share in the prior year, an unfavorable swing of $93 million which is $1.35 per share.

Consolidated net sales in the quarter of $1.5 billion were up significantly compared to $978 million in Q4 of last year. The increase in sales was primarily due to higher steel prices, the inclusion of our most recent acquisitions, and higher average selling prices in both Consumer and Building Products.