CMC Announces Changes to Segment Reporting

Commercial Metals Company (NYSE: CMC) (“CMC” or the “Company”) today announced that beginning with its first quarter of fiscal 2024, the Company will report financial results reflecting a realigned reporting structure, with three reportable segments: North America Steel Group, Europe Steel Group, and Emerging Businesses Group.

• North America Steel Group is primarily composed of all recycling, steel mill, rebar fabrication, fence post fabrication, and post-tension cable operations that were previously included within the Company’s former North America segment.
• Europe Steel Group is primarily composed of all recycling, steel mill, and steel fabrication operations that were previously included within the Company’s former Europe segment.
• Emerging Businesses Group is composed of the Company’s Tensar^® geogrid and Geopier^®, CMC Construction Services™, Performance Reinforcing Steel, CMC Anchoring Systems, and Impact Metals™ operations. These were previously reported as part of the Company’s former North America segment, with the exception of geogrid operations located outside of North America, which were included within the Company’s former Europe segment.
• The Company’s reporting for Corporate and Eliminations is unchanged.

Peter R. Matt, President and Chief Executive Officer, said, “Our realigned reporting structure better reflects how we view our operations and manage our Company, and provides important insights into the factors that drive value creation and the role of each segment within CMC’s strategy and future growth plans.”

The realignment of CMC’s operating segment structure corresponds directly to recent structural changes made within the organization. The decision to adjust segment reporting was made to better reflect: (i) the evolution of the Company’s solutions offerings outside of traditional steel products, (ii) the growing importance of non-steel solutions to CMC’s financial results and future outlook, and (iii) the Company’s chief operating decision maker’s approach to performance assessment, strategic decision-making, and the allocation of capital resources.

The announced realignment impacts only the Company’s segment reporting, and does not affect CMC’s previous consolidated results. Operational and financial statistics for fiscal years 2022 and 2023 under the new reporting structure can be found on pages 3 and 4 of this release.

For additional resources outlining the announced changes, please follow this link (https://ir.cmc.com/ir-toolkit), or visit our Investor Relations website at cmc.com/investors.

For further financial information, click here.

About CMC

CMC is an innovative solutions provider helping build a stronger, safer, and more sustainable world. Through an extensive manufacturing network principally located in the United States and Central Europe, we offer products and technologies to meet the critical reinforcement needs of the global construction sector. CMC’s solutions support construction across a wide variety of applications, including infrastructure, non-residential, residential, industrial, and energy generation and transmission.

Source: Commercial Metals Company