Algoma announces CEO change along with Q3 loss as tariffs weighed on its results

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SAULT STE. MARIE - Algoma Steel Group Inc. announced that its CEO Michael Garcia will retire from the company at the end of the year as it reported its earnings for the third quarter. 

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SAULT STE. MARIE – Algoma Steel Group Inc. announced that its CEO Michael Garcia will retire from the company at the end of the year as it reported its earnings for the third quarter. 

The company said Garcia will be succeeded by its current chief financial officer Rajat Marwah, effective on Jan. 1. Algoma said in a press release that Garcia had informed the board of directors late last year that he was considering retirement. Garcia was appointed as the CEO in June of 2022 and has more recently been leading the business through uncertainty as it has been hit hard by U.S. tariffs. 

The announcement came as the company reported a net loss of $485.1 million during the third quarter, compared with a net loss of $106.6 million during the same period a year earlier.   

A worker is shown at Algoma Steel in Sault Ste. Marie, Ontario on Friday, April 25, 2025. THE CANADIAN PRESS/Sean Kilpatrick
A worker is shown at Algoma Steel in Sault Ste. Marie, Ontario on Friday, April 25, 2025. THE CANADIAN PRESS/Sean Kilpatrick

The loss amounted to $4.46 per share, widening from a loss of 98 cents per share during the same period last year. 

The Sault Ste. Marie-based steel producer says it earned consolidated revenues of $523.9 million during the three months ended Sept. 30, down from $600.30 million a year earlier. 

The company says its direct tariff expense amounted to $89.7 million during the third quarter, a cost it did not incur last year. 

Algoma says its steel shipments amounted to 419,173 tons during the quarter, down from 520,443 a year earlier. 

Marwah said in a press release that the $500 million in liquidity support announced by the federal and Ontario governments will provide the company with long-term financial flexibility. 

This report by The Canadian Press was first published Oct. 29, 2025.

Companies in this story: (TSX:ASTL)

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