Reliance Inc (NYSE:RS) Posts Mixed Q3 2025 Results, Beats on Revenue but Misses on EPS

Reliance Inc (NYSE:RS) has released its financial results for the third quarter of 2025, delivering a performance that narrowly surpassed revenue expectations but fell short on the bottom line. The market's immediate reaction has been muted, with the stock trading slightly lower in after-hours activity following the report.

Earnings and Revenue Versus Estimates

The company's performance relative to analyst forecasts presents a mixed picture. While the top-line figure demonstrated strength, profitability did not meet the anticipated mark.

• Revenue: Reported net sales of $3.65 billion, slightly above the analyst consensus estimate of $3.64 billion.
• Earnings Per Share (EPS): Reported non-GAAP EPS of $3.64, which came in below the estimated $3.79.

This divergence suggests that while Reliance Inc successfully drove sales volume to a record for a third quarter, it faced pressures that compressed its earnings relative to expectations. The company's ability to exceed revenue estimates, even marginally, indicates resilient demand for its metal products, but the EPS miss highlights challenges in maintaining projected profit levels.

Market Reaction

The financial markets have responded cautiously to this earnings release. In after-market trading, the stock experienced a slight decline. This price action reflects investor sentiment that is likely weighing the positive revenue beat against the more significant earnings miss. The tepid movement suggests the market is digesting the mixed results, without a clear catalyst for a sharp upward or downward move based solely on this report.

Key Highlights from the Quarter

Beyond the headline earnings and revenue figures, the press release outlined several operational and financial achievements for the quarter. The company demonstrated solid volume growth and continued its program of returning capital to shareholders.

• The record third-quarter tons sold, which increased 6.2% year-over-year, was a primary driver behind the revenue growth.
• The company maintained a strong gross profit margin of 28.3%, with its non-GAAP FIFO gross profit margin coming in at 29.0%.
• A notable shift was reported in inventory accounting, with a LIFO expense of $25.0 million this quarter, compared to a LIFO income of $50.0 million in the same period last year. This change represents a significant headwind when comparing year-over-year profitability.
• Demonstrating confidence in its financial position, Reliance repurchased $60.9 million of its common stock during the quarter.

Looking Ahead

With no explicit financial outlook provided in the press release, investor attention will now turn to the future estimates provided by the analyst community. For the upcoming fourth quarter of 2025, analysts are projecting revenue of approximately $3.47 billion. For the full 2025 year, the consensus sales estimate stands at about $14.49 billion. The company's performance against these future benchmarks will be critical in determining the stock's trajectory moving forward.

For a detailed breakdown of historical earnings, future estimates, and analyst ratings, you can review the full data on the Reliance Inc earnings and estimates page.

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Disclaimer: This article is for informational purposes only and is not intended as investment advice. The author has no position in any stock mentioned. Readers should conduct their own research and consult with a qualified financial advisor before making any investment decisions.