Improving Flat Rolled Market Lifts Profits at Steel Dynamics
07/18/2016 - Steel Dynamics Inc. saw its second-quarter profits more than double due in part to improving conditions in the flat rolled sector, the company said on Monday.
For the quarter, which ended 30 June, the company recorded a net income of US$142 million on sales of US$2 billion. In the same quarter last year, the steelmaker posted a profit of US$53 million on sales of US$2 billion.
In a statement, president and chief executive Mark Millett said flat rolled steel supplies are coming back into balance with demand, which has remained stable. He said imports of flat rolled steel are down about 25 percent through the first half of the year. At the same time, customer inventories are on par with demand.
"When combined with steady underlying demand, the result has been an improvement in domestic flat roll steel producer utilization, and we anticipate improved flat roll metal spreads in the third quarter 2016,” he said.
In a statement, president and chief executive Mark Millett said flat rolled steel supplies are coming back into balance with demand, which has remained stable. He said imports of flat rolled steel are down about 25 percent through the first half of the year. At the same time, customer inventories are on par with demand.
"When combined with steady underlying demand, the result has been an improvement in domestic flat roll steel producer utilization, and we anticipate improved flat roll metal spreads in the third quarter 2016,” he said.
