Nucor Announces Guidance for Second Quarter Earnings
06/16/2010 - Nucor says it expects to report earnings of $0.20 to $0.25 per diluted share for its second quarter ending July 3, 2010. Results include a $47 million LIFO charge.
Nucor Corp. announced that it expects to report earnings of $0.20 to $0.25 per diluted share for its second quarter ending July 3, 2010.
Projected results include an estimated LIFO charge of $47 million, which compares to a $24 million charge in the previous quarter (Q1-2010) and a $125 million credit in the year-ago quarter (Q2-2009). The projected earnings compare to earnings of $0.10 per diluted share in the previous quarter (1Q-2010) and a loss of $0.43 per diluted share in the year-ago quarter (2Q-2009).
The company noted that operating results (excluding LIFO) have improved significantly over the first quarter, due primarily to increased margins. Operating rates at the company’s steel mills are similar to the first quarter, with some improvements at the beam mills and plate mills.
The company also commented that the most challenging markets for its products continue to be those associated with residential and non-residential construction, which “continue to show little, if any, strength,” particularly for the company’s downstream businesses.
Nucor and affiliates manufacture steel products, with operating facilities primarily in the U.S. and Canada. Products include carbon and alloy steel bars, beams, sheet and plate; steel joists and joist girders; steel deck; fabricated concrete reinforcing steel; cold finished steel; steel fasteners; metal building systems; light gauge steel framing; steel grating and expanded metal; and wire and wire mesh. Nucor, through The David J. Joseph Company, also brokers ferrous and nonferrous metals, pig iron and HBI/DRI; supplies ferro-alloys; and processes ferrous and nonferrous scrap. Nucor is North America's largest recycler.
