Nucor Corporation announced Thursday record year-end net earnings and sales results for 2006.
Nucor's consolidated net earnings for 2006 were $1.76 billion, an increase of 34 percent over net earnings of $1.31 billion in 2005. Consolidated earnings for the fourth quarter of '06 were $408.2 million, a 20 percent increase over Q4 '05 net earnings of $341.0 million, and a 21 percent decrease from the $517.6 million earned in the third quarter of 2006.
The company's consolidated net sales for 2006 were $14.75 billion, 16 percent higher than net sales of $12.70 billion in 2005. Q4 '06 net sales totaled $3.47 billion, up 8 percent from Q4 '05 net sales of $3.21 billion, and down 12 percent from Q3 '06 net sales.
The year-on-year increases in net earnings and sales were largely due to the increase in steel prices, up 7 percent from 2005, and the increase in shipments to outside customers, up 8 percent from 2005, while the decreases in sales and earnings from the third quarter were due to a 3 percent decrease in sales prices in Q4 when compared to Q3 and a 9 percent decrease in shipments in Q4 when compared to Q3.
With regard to the year ahead,
Nucor also stated in its press release that it expects good demand for its products in 2007 and for service center inventories to continue to decline, reaching acceptable levels by the end of the first quarter.