Steel Mills
Nucor: On Track for Best Year on Record Despite Q3 Downgrade
Written by David Schollaert
September 14, 2022
Nucor Corp., the largest steelmaker in the US, expects lower sequential results for its third quarter ending Oct. 1.
The Charlotte, N.C.-based steelmaker expects earnings of $6.30 to $6.40 per diluted share in Q3, according to earnings guidance figures released on Wednesday, Sept. 14.
That’s down from the record of $9.67 per diluted share in the second quarter and roughly 13% lower than the $7.28 per diluted share in Q3 2021, Nucor said.
The anticipated results for Q3 are lower than earlier statements made by Nucor president and CEO Leon Topalian during the steelmaker’s Q2 earnings results in July.
The company’s downgraded results come as Q3 earnings will be “considerably lower” versus the prior quarter “due to metal margin contraction and reduced shipping volumes, particularly at our sheet and plate mills.”
Its steel products segment is expected to have another strong quarter in Q3, with earnings roughly in line with its Q2 results, while its raw materials segment is expected to match the results generated in Q2 2022.
Despite the downgrade, Nucor anticipates that 2022 will be the most profitable year in its history.
By David Schollaert, David@SteelMarketUpdate.com
David Schollaert
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