Key Points – Adjusted EBITDA turned positive at C$13.8 million, supported by a C$45 million insurance settlement, although excluding that benefit the company posted an adjusted EBITDA loss of about C$31 million.
Revenue fell sharply year over year as EAF transition work reduced shipments. – Plate shipments reached a second consecutive record of 125,000 tons, while average net sales realization rose 20.2% to C$1,361 per ton
Algoma is targeting roughly 600,000 tons of annual plate production by 2027, but planned third-quarter maintenance is expected to temporarily reduce volumes. – The EAF transition is nearing completion, with the second unit expected to produce its first steel late in the third quarter; however, tie-in work and maintenance should make Q3 the volume trough, with shipments forecast 10%–20% below Q2. Algoma ended the quarter with approximately C$437 million in available liquidity and expects about C$200 million in tax refunds during the rest of 2026. Algoma Steel Group (NASDAQ:ASTL) reported positive adjusted EBITDA in its second quarter of 2026 as the company continued its transition to electric arc furnace, or EAF, steelmaking, though lower shipment volumes and planned operational work remain headwinds heading into the third quarter.
Chief Executive Officer Rajat Marwah said the company generated adjusted EBITDA of C$13.8 million, within its prior guidance range. The result included a C$45 million final insurance settlement and a C$54.7 million capacity-utilization adjustment related to excess fixed costs from Algoma’s previous operating configuration. “As transition costs are falling, realized pricing is rising, and the transition we described to you last quarter is playing out as expected,” Marwah said. Plate Sales Set Another Record Algoma shipped 181,000 tons during the quarter, slightly above its guidance range of 175,000 to 180,000 tons but down from 472,000 tons in the prior-year quarter.