Steel Mills
CMC Reports 8th Consecutive Quarter of Positive Earnings
Written by Sandy Williams
October 24, 2013
Commercial Metals Company reported earnings of $4.1 million on net sales of $1.7 billion for its FY 2013 fourth quarter (ending August 31, 2013). Net earnings included an asset impairment charge of $25.9 million related to its Australian operation. In comparison, CMC reported net earnings of $30.2 million in fourth quarter 2012.
CMC net earnings for the full fiscal year were $77.3 million on net sales of $6.9 billion, compared to net earnings of $207.5 million on sales of $7.7 billion in FY 2012.
The Americas Mills segment shipped 653,000 tons of long products for net sales of $465 million resulting in adjusted operating profit for the fourth quarter of $58.4 million compared to $63 million in fourth quarter 2012. Segment volumes dropped by 7 percent and metal margins declined by 2 percent. Higher shipments, however, improved operating profit by 26 percent over the previous quarter.
Americas Fabrication shipped 276,000 tons for net sales of $384 million. Operating profit jumped to $8.2 million in fourth quarter 2013 from $1.5 million in 2012 mostly due to lower input prices and higher selling prices. Order book also improved over 2012 resulting in a better backlog to enter fiscal year 2014.
Americas Recycling shipped 588,000 tons for net sales of $346 million. The Recycling segment suffered a $6.7 million adjusted operating loss compared to a profit of $8.3 million in 2012. Nonferrous volumes and pricing dropped in fourth quarter offsetting higher volumes, selling prices and margins for ferrous scrap. The segment also took a $2 million operating loss on a long-term supply contract with a customer.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
SSAB announces $74M expansion in Alabama
The project will expand heat treat capacity at its Axis, Alabama plant
ArcelorMittal’s EAF in Alabama expects first heat in Q2
The facility at AMNS Calvert will be the first EAF in North America capable of supplying exposed automotive grades with domestically melted and poured material.
Nucor’s Topalian lauds Trump’s trade policies, downplays impact
Nucor’s top exec Leon Topalian said the benefit of the current administration’s aggressive trade policies “trumps” any risk of potentially higher raw materials prices.
SSAB reports higher production, shipments
But profits slipped vs. last year.
Nucor earnings slump in first quarter, but better times seen ahead
Nucor’s profits fell precipitously in the first quarter, but the company has a rosier outlook for the following quarter.