Worthington Industries, Inc. (NYSE:WOR) stock rose 0.059% (As on Dec 17, 11:20:09 AM UTC-4, Source: Google Finance) after the company posted mixed results for the second quarter of FY 22. Increase in sales was primarily due to higher steel prices along with increased volumes across the businesses and the recent acquisitions. The gross profit for the quarter increased to $185 million from $135 million in the prior year quarter and gross margin was 15% versus 18.5%. The adjusted EBITDA in Q2 was $168 million, up from $96 million in Q2 of last year. In Steel Processing, net sales of $938 million doubled from $469 million in Q2 of last year, primarily due to higher average selling prices and a slight increase in volumes. Total shipped tons were up 4% from last year’s second quarter through the inclusion of Shiloh’s BlankLight business and were flat excluding that acquisition. In Q2, steel generated adjusted EBIT of $72 million compared to $34 million last year. The large YoverY increase was primarily driven by higher spreads combined with slightly higher volumes. In the quarter, the scrap gap remained wider than historic averages. In Consumer Products, net sales in Q2 were $141 million, up 20% from $118 million in the prior year quarter. The increase was driven by the inclusion of sales from GTI, which we acquired in January, combined with higher average selling prices. Adjusted EBIT for the consumer business was $18 million, and adjusted EBIT margin was 13% during Q2 compared to $17 million and 15% in the prior year quarter.

Moreover, Building Products generated net sales of $121 million in Q2, which was up 29% from $94 million in the prior year quarter. The increase was primarily due to higher volumes as construction markets continue to grow and higher average selling prices. Building Products adjusted EBIT was $55 million, and adjusted EBIT margin was 45%, up significantly from $26 million and 28% in Q2 of last year. The large year-over-year increase was driven by record results at ClarkDietrich, contributed $27 million in equity earnings, combined with solid results from WAVE who contributed $22 million.

WOR in the second quarter of FY 22 has reported the adjusted earnings per share of $2.12, beating the analysts’ estimates for the adjusted earnings per share of $1.58, according to the Zacks Consensus Estimate. The company had reported the adjusted revenue of $1.23 billion in the second quarter of FY 22, missing the analysts’ estimates for revenue by 1.20%.