Press release
Steel Dynamics Provides Third Quarter 2022 Earnings Guidance
FORT WAYNE, Ind., Sept. 15, 2022 /PRNewswire/ -- Steel Dynamics, Inc. (NASDAQ/GS: STLD) today provided third quarter 2022 earnings guidance in the range of
About this update from Steel Dynamics, Inc.
[{"type":"text","content":"FORT WAYNE, Ind., Sept. 15, 2022 /PRNewswire/ -- Steel Dynamics, Inc. (NASDAQ/GS: STLD) today provided third quarter 2022 earnings guidance in the range of $4.93 to $4.97 per diluted share. Excluding the impact from costs associated with the startup of the company's Sinton Texas Flat Roll Steel Mill growth investment of an estimated $104 million, or $0.40 per diluted share, the company expects third quarter 2022 adjusted earnings to be in the range of $5.33 to $5.37 per diluted share. \n\n \n \n \n \n \n \n\n \nComparatively, the company's sequential second quarter 2022 earnings were $6.44 per diluted share, and adjusted earnings were $6.73 per diluted share excluding costs of $0.29 per diluted share, associated with startup of the company's Texas Flat Roll Steel Mill. Prior year third quarter earnings were $4.85 per diluted share and adjusted earnings were $4.96 per diluted share, excluding costs of $0.11 per diluted share, associated with construction of the company's Texas Flat Roll Steel Mill.\nThird quarter 2022 profitability from the company's steel operations is expected to be historically strong, but significantly lower than second quarter 2022 results, due to lower earnings from the company's flat rolled steel operations, as lower average flat rolled steel pricing is expected to more than offset lower raw material costs and higher shipments. The company expects flat rolled steel prices to stabilize as broad underlying steel demand and corresponding order activity remains intact from the automotive, construction, industrial, and energy sectors. The company's Texas Flat Roll Steel Division was hindered with high-cost steel substrate inventory during the third quarter 2022. The company believes the impact of this higher cost inventory will be alleviated before the end of the year.\nAs ferrous and nonferrous scrap prices have declined, third quarter 2022 earnings from the company's metals recycling operations are expected to be below sequential second quarter results, based on lower realized pricing and volume.\nThird quarter 2022 earnings from the company's steel fabrication operations are expected to be meaningfully higher than record second quarter results, based on continued strong volume and expanding margins, as realized pricing improves and average steel input costs declined. The non-residential construction sector r...