Company: ZEUS
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0001437749-25-032420
Chunk: 41

Company: OLYMPIC STEEL INC
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 8
Chunk 41
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  million, or 9.3%, to $56.4 million in the third quarter of 2025 from $51.6 million in the third quarter of 2024. The increase in cost of materials sold was due to the increased material costs discussed above. Cost of materials sold decreased $12.5 million, or 7.2%, to $161.0 million in the first nine months of 2025 from $173.5 million in the first nine months of 2024. The decrease in cost of materials sold was due to the 7.0% decrease in shipping volume. We recorded $0.1 million and $0.9 million of LIFO expense, respectively, during the three and nine months ended September 30, 2025. We recorded $2.0 million and $2.6 million of LIFO income, respectively, during the three and nine months ended September 30, 2024. 

As a percentage of net sales, gross profit (as defined in footnote (b) in the table above) decreased to 30.9% in the third quarter of 2025 compared to 35.1% in the third quarter of 2024.  As a percentage of net sales, the LIFO expense recorded in the third quarter of 2025 reduced gross profit by 0.2%. As a percentage of net sales, the LIFO income recorded in the third quarter of 2024 increased gross profit by 2.5%. The decrease in the gross profit as a percentage of net sales in the third quarter of 2025 when compared to the third quarter of 2024 was due to average cost of inventory increasing more than the average selling prices. As a percentage of net sales, gross profit (as defined in footnote (b) in the table above) decreased to 32.3% in the first nine months of 2025 compared to 34.1% in the first nine months of 2024.  As a percentage of net sales, the LIFO expense recorded in the first nine months of 2025 decreased gross profit by 0.4%. As a percentage of net sales, the LIFO income recorded in the first nine months of 2024 increased gross profit by 1.0%.