New Zealand Professional Investment Services Firm

Forsyth Barr

We are proud to be a New Zealand owned firm, with 21 offices throughout the country and over 300 employees. We assist personal, institutional and corporate clients providing a full range of investment services.

Forsyth Barr is a foundation New Zealand Exchange firm (NZX) and accredited market participant. We have been confirmed by the Financial Markets Authority as a Qualifying Financial Entity (QFE).

Research is the cornerstone of our advice. We have one of New Zealand's leading teams of analysts. Our global affiliations ensure comprehensive research coverage of all major investment markets.

New Zealand Professional Investment Services Firm, Forsyth Barr

Equity Bottom-Up

<ul><li>As expected, Steel and Tube's (STU) 1H24 result was soft with lower volumes partially offset by better margins and cost control.</li><li>Sequentially, EBIT was largely flat vs. 2H23, which is a solid outcome given headline volumes were down a further -5% (-10% on a tonnes per day basis). </li><li>Cost out initiatives have progressed well, inventory has now largely normalised, and with net cash on its balance sheet STU is well positioned for both a continuation of soft activity as well as any rebound in demand. </li></ul>

As expected, Steel and Tube's (STU) 1H24 result was soft with lower volumes partially offset by better margins and cost control.Sequentially, EBIT was largely flat vs. 2H23, which is a solid outcome given headline volumes were down a further -5% (-10% on a tonnes per day basis). Cost out initiatives have progressed well, inventory has now largely normalised, and with net cash on its balance sheet STU is well positioned for both a continuation of soft activity as well as any rebound in demand. 

Steel & Tube Holdings - 1H24 Result — Solid Foundations