Nucor reports decline in Q3 net earnings

Thursday, 19 October 2017 21:33:53 (GMT+3)   |   San Diego

Nucor Corporation announced today consolidated net earnings of $268.5 million for the third quarter of 2017. By comparison, Nucor reported consolidated net earnings of $323.0 million for the second quarter of 2017 and consolidated net earnings of $305.4 million for the third quarter of 2016.

Nucor's consolidated net sales of $5.17 billion in the third quarter of 2017 was consistent with $5.17 billion in the second quarter of 2017 and increased 21 percent compared with $4.29 billion in the third quarter of 2016.

Average sales price per ton in the third quarter of 2017 increased 2 percent from the second quarter of 2017 and increased 7 percent from the third quarter of 2016.

Total tons shipped to outside customers were 6,618,000 tons in the third quarter of 2017, a 2 percent decrease from the second quarter of 2017 and a 12 percent increase from the third quarter of 2016. Total third quarter steel mill shipments decreased 3 percent from the second quarter of 2017 and increased 18 percent from the third quarter of 2016. Third quarter of 2017 downstream steel products shipments to outside customers increased 10 percent from the second quarter of 2017 and increased 3 percent from the third quarter of 2016.

Overall operating rates at Nucor’s steel mills decreased to 83 percent in the third quarter of 2017 as compared to 88 percent in the second quarter of 2017 and increased from 74 percent in the third quarter of 2016.

In a statement, the company said, “Approaching the end of 2017, we are encouraged by a number of positive factors impacting our markets going into 2018. We see generally stable or improving market conditions for nonresidential construction, automotive, energy, heavy equipment and agriculture.  Although illegally traded imports remain at unacceptable levels, we are encouraged by the cumulative benefits of the domestic steel industry's successful trade cases.  We expect fourth quarter of 2017 earnings to be similar to slightly decreased from the third quarter of 2017, exclusive of the previously mentioned tax benefits recognized in the third quarter of 2017. We expect much improved performance by the raw materials segment driven by more consistent DRI production.  The downstream steel products segment is also likely to benefit from margin improvement. We expect the steel mills segment to see some decline mainly due to weakness in plate steel and typical seasonality.”  


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