Nucor Corporation today announced record quarterly consolidated net earnings of $2.56 billion, or $9.67 per diluted share, for the second quarter of 2022. By comparison, Nucor reported consolidated net earnings of $2.10 billion, or $7.67 per diluted share, for the first quarter of 2022 and $1.51 billion, or $5.04 per diluted share, for the second quarter of 2021.
In a press release, the company said second quarter earnings were driven by increased profitability in the steel products segment, which continued to benefit from robust demand in nonresidential construction markets. In addition, the steel mills segment earnings strengthened due primarily to increased profitability at the bar and plate mills, Nucor said. Similarly, Nucor's raw materials segment generated increased profits in the second quarter due to relatively higher selling prices for both direct reduced iron (DRI) and scrap.
As for an outlook, the company said that as it enters Q3, demand remains stable and resilient across the major end-use markets it serves, and customer inventory levels appear right-sized relative to economic conditions. Though the company expects a decrease from the record-setting second quarter, it expects another strong quarter of profitability in the third quarter of 2022.
Nucor expects the steel mills segment earnings to be sequentially lower in the third quarter of 2022, due to lower expected shipment volumes and average selling prices, particularly at the sheet and plate mills. The steel products segment is expected to have another very strong quarter in the third quarter of 2022, Nucor said, with earnings roughly in-line with the second quarter of 2022. Raw materials segment earnings are expected to improve in the third quarter of 2022 due to higher realized pricing at the company’s DRI facilities.